Business Finance Lease for Fleet Cars, Vans and EVs

Balance Sheet Advantage
As the leased vehicle sits on your balance sheet, it can provide some financial and tax advantages.

 

Flexible Costs
You have the freedom to adjust your ‘balloon’ (lump sum) payment and choose fixed monthly monthly payments that suit your budget.

 

Greater Buying Power
Our team of experts can help your money go further with access to a wide range of high-quality, multi-make cars and vans.

 

Profit from Resale
If you choose to sell the vehicle after the lease agreement ends, any profit above the contracted value is yours to keep.

An Operating Lease (commonly referred to as Contract Hire) gives you the use of a vehicle without the hassle and risks of ownership. At the end of the contract you simply return the vehicle to us and we bear the risk of the vehicles depreciation value.

 

At the end of the contract the customer decides whether to sell the vehicle as Alphabet’s agent to an unrelated third party and pay any applicable final payment or pass into a secondary rental period. Once in the secondary period the customer will be charged 1% the original capital cost of the vehicle on an annual basis, in perpetuity, until the vehicle is sold to an unrelated third party.

 

The agreement does not end unless and until the customer sells the vehicle, acting as an agent of Alphabet. The vehicle must be sold for a fair market value and the customer must send a copy of the sales invoice to Alphabet along with 1% of the sale proceeds payable to Alphabet, to discharge the lease.

It's essential to understand the various vehicle funding options available for your business.

 

Business vehicle leasing offers flexibility and efficiency. It's a convenient, cost-effective, risk-averse alternative to purchasing company cars and vans outright.

 

While purchasing your vehicles outright can give you complete control over your fleet, it requires high intial captial expenditure. You're also incur any depreciation in the value of the vehicles while you own them. Our team can walk you through the different business leasing options available, their respective benefits, and things you need to consider in order to help you decide which options are the right fit for your company's needs and budget.

Whether you're a seasoned fleet manager or someone with the responsibility of managing a fleet, the variety of options available can seem overwhelming. Our team of experts understand the intricacies of business car leasing and can help you determine which leasing solution suits your company's needs and objectives. We recognise that every business is unique and will work with you to offer leasing options which cater specifically to your company's requirements, ensuring the most cost-effective and efficient solution for your fleet.

The key difference between these two funding methods is that you have the option to buy the vehicle outright at the end of a Contract Purchase agreement.

 

Pros of Finance Lease

• As the leased vehicle sits on your balance sheet, it can provide some financial and tax advantages.
• Once the lease agreement ends, you are responsible for selling the vehicle to a recognised third party and any profit above the contracted value is yours to keep.

 

Pros of Contract Purchase

• You have the option to purchase the vehicle when your agreed lease ends.

The key difference between these two methods is that with Finance Lease, the leased vehicle sits on your company's balance sheet.

 

Pros of Finance Lease

• As the leased vehicle sits on your balance sheet, it can provide some financial and tax advantages.
• Once the lease agreement ends, you are responsible for selling the vehicle to a recognised third party and any profit above the contracted value is yours to keep.

 

Pros of Contract Hire

• You can plan ahead with confidence due to fixed monthly payments.
• At the end of the contract you simply return the vehicle to us and we bear the risk of the vehicles depreciation value.

There are many benefits to an Alphabet Finance Lease, whatever the size of your fleet. 

 

Protect your liquidity

Avoid large upfront investments, instead, spread your vehicles costs over predictable monthly payments supporting your cashflow from day one. 

 

Tax advantages

Lease payments are generally treated as operating expenses giving you the potential for tax benefits. Transparent terms let you plan with confidence. 

 

Flexible contract end

At the end of the lease you can either settle the vehicle’s residual value, refinance or return for resale. The choice is yours.

 

Balance sheet benefit

Your Finance Lease fleet vehicles will sit on your balance sheet. 

 

Costs catered to you

Enjoy the double benefit of being able to adjust your balloon payment and choose a lease amount that works for you. 

 

More buying power

You have access to our expert team who can make your money go further with access to a wide range of higher quality vehicles.  

 

Any resale profit is yours

When selling a vehicle after the agreement end, you can keep any profit above the contracted value.