If you’re looking to lease a van for your business, it’s important that you do your research and understand the pros and cons before committing to a contract. Below, we’ve rounded up some of the most frequently asked questions of van leasing to give you a helping hand.
- Why should you lease a van?
Perhaps one of the biggest benefits to leasing a van is that you don’t have to invest a big chunk of cash to get started – from your bank account, or from taking out a business loan. Leasing a van allows you to pay a monthly fee over the fixed term of the contract, meaning that you won’t have to cough up thousands of pounds. And, even though van leasing usually requires a deposit, this is a small amount that’s equivalent to a couple of monthly payments.
Another benefit to leasing a van is the fact maintenance costs are covered by the leasing company. You won’t have to worry about ongoing maintenance of the vehicle, as this will be covered as part of your plan and will be carried out professionally – usually by an authorised garage of the van manufacturer. Finally, many leasing providers offer the option of buying the van outright at the end of your lease period, should you want to keep hold of it.
- Are there tax advantages to leasing a van?
There are tax advantages to leasing a van, as you can claim the cost of the rental as an expense when filling out your tax return. Depending on the nature and size of your business, this could save you hundreds of pounds over the year. Check out this advice from the official Government website on car, van and travel expenses for self-employed business owners – you can claim expenses for everything related to your travel other than non-business driving, fines and travel between your home and workplace.
- What are the drawbacks to leasing a van?
We’ve already listed some of the biggest benefits of leasing a van above, but there are, of course, some downsides and drawbacks to consider, too. First, most leasing companies impose mileage restrictions on lease agreements, with heavy penalties for those who exceed the limits. Although you can pick up a van lease between one and three years, you may find that a long-term contract does not fit in with your changing circumstances, and could decide that temporary van leasing or van rental is more appropriate for your business.
- Where can you lease a van?
While there are hundreds of leasing companies to choose from, it’s important that you take your time and find one that’s right for your business. If you’re looking for UK van leasing, consider a company such as Leasewell. Not only do they have competitive terms, but they offer vans from some of the best van manufacturers, including Ford, Mercedes and Volkswagen.
Remember that, when it comes to leasing, it’s important to do your research and take your time. Never enter a contract until you’ve read the small print, and shop around to find the best deal for your business.