Finance Lease
How Finance Lease Works
You hire your vehicle for a fixed amount of time without owning it, and it's shown as an asset on your balance sheet.
You have two options:
- Choose the length of your agreement and pay an agreed amount up front. You then continue with monthly rentals throughout your agreement.
- Set a balloon payment, which is paid as a lump sum at the end of your agreement and lowers your monthly rentals.
What's included?
- Fixed regular rentals enable you to easily budget.
- Monthly rentals are based on only repaying part of the vehicle's initial value, keeping your monthly payments lower.
- BUSINESS CUSTOMERS ONLY: Tax allowances that could be deducted from taxable profits, because the vehicle appears as an asset on your balance sheet.
End of Agreement Options
Option 1: Extend your agreement
- Continue to use the vehicle for a further agreed period and pay a ‘peppercorn’ payment equal to one month’s rental per annum.
Option 2: Sell your vehicle to an independent third party.
- We will invoice the third party and return 95% of the sales proceeds to you.
Option 3: Return the vehicle and we will sell it on your behalf.
- We will sell the vehicle on your behalf and will return 95% of the proceeds to you (minus any re-seller fees).