How does van leasing work?
Van leasing lets you drive the latest vehicles for a low monthly cost over a fixed period. Whether your business needs one van or a full fleet, you can ‘rent’ it for an agreed time, then return the vehicle(s) at the end of your contract.
When you return the van at the end of the agreement, there’s no further commitment needed. You then have the option to either walk away completely (subject to any excess mileage and vehicle damage) or take up a new business van lease if you wish.
The monthly cost for the rental will be based on:
- The market value of the van
- The mileage agreed in the contract
- How long you wish to lease it for
- An additional maintenance and insurance package
Who can lease a van?
Most businesses can lease a van, but it’s especially popular with limited companies, sole traders and partnerships.
What’s included in a van lease?
Not only do you get a brand-new van that will provide invaluable support to your business, but there are also a number of added extras that are included:
- Free UK mainland delivery to a designated address
- Road tax for the duration of the lease
- Full UK manufacturer’s warranty
- Breakdown assistance for the first year
- Part exchange available on some models
Can I lease a van for personal or business use?
Our van contracts are usually available for business leasing only. However, while the van is paid for through your company, this does not mean it cannot be used for personal use outside of working hours.
You should also bear in mind that if the van is not used for non-working purposes at all, you will be eligible to apply for a higher tax rebate in your annual returns.
What happens when my van lease ends?
Once your business van lease has finished, we will arrange a free collection. At this point, the collection driver will need to inspect the vehicle for wear and tear and total mileage driven. The British Vehicle Rental and Leasing Association (BVRLA)have Fair Wear & Tear Standard guidelines, which we provide to all of our customers.
These checks are to ensure there is no excess damage to the vehicle that will require us to repair the van beyond reason. We expect standard wear and tear to occur during the course of the lease, but there may be additional charges for any repairs that have been caused through poor treatment, negligent behaviour or by an accident.
The odometer will also be checked to see how far the van has been driven, before comparing it against the mileage cap agreed when the lease began. If the mileage is excessively over the limit, you may be required to pay the difference in costs.
However, this could be as little as 5p per extra mile.
Before we collect the vehicle, we will get in touch with you to discuss what to do next. This will depend on the type of contract you originally took out. The options available will either be to walk away with no further commitment or sign up for a new lease on a brand new van. Your account manager will be able to explain the options that are available, so you can make an informed decision