What are the benefits of leasing a van?
When running a business that requires Vans for delivery purposes, where to get them can be a challenge. Buying one requires lots of money and most small businesses cannot afford that in the beginning. Therefore, the best, most efficient, and cheapest way of getting a van is through leasing. Below we have listed the top 7 benefits of leasing a van:
- Low monthly payments
When leasing a van, you only pay for the purchase price and the predicted value of the van at the end of the lease contract. It’s different from a personal contract purchase whereby you have to pay interest, and unlike buying, you don’t have to invest a lot of money for the entire thing.
What we’re trying to say is van leasing gives you the opportunity to drive a nice expensive van on the exact monthly budget with no interest involved and you don’t have to worry about any surprises at the end of the month, for there won’t be any.
- You get a brand-new car of your choice
Driving the latest car is a luxury many cannot afford, it is expensive and requires you to be fully prepared. However, leasing allows you to drive a brand new car of your choice without having to spend lots of money, and the best part is you can upgrade each time your lease ends.
When you decide to buy a car, you’re committed that you’ll use it for a long time, no matter the troubles it gives you, you’re stuck with it. On the other hand, with leasing, you can upgrade to the latest models every two to four years, which is awesome for individuals who can’t manage to drive the same thing for many years.
- Low deposit or non at all
Personal contract purchase deals always require an upfront payment of either 10 to 20%, making this deposit is usually straining to some individuals. On the other hand, with leasing, you get to drive a brand-new van for as little as a monthly rental payment as your upfront payment. There are also other deals where there’s no upfront payment required. Because of this, leasing is considered a perfect option for many individuals.
- You avoid extra costs
Driving older vans is associated with many mechanical problems, therefore, updating your vehicle to the latest models lets you cut the maintenance costs of driving bolder cars. However, leasing covers all the car problems you might face under the warranty. Some leasing options also cover your van for routine services, repairs, and tyres, which is pretty awesome. And with leafing, you as well do not have to worry about road duty as this is usually included in the contract.
- The process of van leasing is quite simple
The process of van leasing is very easy and it will as well not take much of your time. All you’re required to do is choose the van of your choice, get a quote, apply for finance, sign your contract, decide when you want the van delivered, and then you’re good to go. Easy! The contract is usually arranged within 10 days so that you don’t wait for much longer.
- You don’t worry about depreciation
Buying a new car is a big investment and you need to be financially prepared for that, this is another reason why leasing is considered a better option for those who are not prepared. Van leasing is affordable, and you only have to pay fixed payments every month, you don’t have to invest a large sum of money.
With leasing, there are no surprises, everything you pay is agreed upfront, there are no grey areas on annual mileage or equity. Personal contract purchase includes the promise of equity at the end of your contract, which may materialize or not at all.
- Tax relief for your business
Not all businesses can afford to buy a brand new van, especially small businesses that are just starting up. But leasing gives your business the advantage to have a new van without having to invest much in it, you can as well take advantage of a range of tax breaks, from mileage rebates to low emission savings. You can as well reclaim up to 100% of the vat on your contract with business leasing, however, you need to discuss this with your accountant.
Conclusion
Leasing a van offers many benefits to individuals who are not ready to purchase a brand new van, you can enjoy a brand new van of your choice every few years without needing to think of a large amount of money.