Flexi leasing for business
Flexi lease is ideal for those that want a return of capital at lease end and cost effective motoring without mileage restrictions. Flexi lease attracts full fleet discounts making this method of funding for business users well worth considering.
Flexi lease is also a good option for high mileage cars, commercials vehicles, and in particular specialist’s vehicles and those that are used for hard work that tests the vehicles depreciation curb over the lease period.
Lease agreements allow use of a vehicle without ownership, but still offers the return of all the asset value achieved from the sale, or the majority of the sale proceeds less a percentage to the finance companies in some instances.
Flexi Lease No Residual Value
This is as a fully amortized lease. Which is where the asset value is written down to a nominal figure over the lease period. Full capital return, less nominal 2.5% from the profit achieved from the sale is refunded to the lessee classed as a refund of rentals, or as per the terms of your agreement.
Finance Lease agreements are not subject to mileage restrictions. The customer is referred to as the lessee and is responsible to the Finance Company, the Lessor, to ensure the vehicle sale is carried out as per the lease agreement.
The customer, or lessee, arranges the sale of the vehicle on behalf of the finance company (the lessor), the owners of the vehicle. The lessor arranges the invoice and receives the funds from the sale.
Profit from the sale is refunded to the lessee classed as a refund of rentals, as per the terms of your agreement. If you part exchange the vehicle, it is normal for the dealer to complete the sales agreement direct with the finance company.
If you want to keep the vehicle, the finance company (lessor) usually offer a peppercorn rental service; this is a nominal annual charge that is also treated as a tax deductible rental.
Contract Hire may be referred to as Leasing, whilst this is a popular reference, a vehicle leasing agreement is not the same as Contract Hire, there are key differences.
Vehicle Lease agreements in the U.K. are usually subject to a residual value, where the lessee - the person who leases the vehicle - is responsible to the Lessor - the owner (Finance Company) - for the residual value amount.
Alternatively, there may be what is termed as fully amortized, which is where the asset value is written down to a nominal figure over the lease period.
To make life as simple as possible, the All Vehicle Contracts website helps you choose and compare which vehicle and vehicle lease deal is right for you. Interactive quotation options and full vehicle comparisons, on virtually any make, model or manufacturer, are available for you to explore and compare on line.