Renault Finance

Contract Hire

This is the solution for companies who want to concentrate on their core business activities, while avoiding the financial risk and administrative burden of owning their vehicle fleet.

Key features and benefits include

• Fixed rentals for the whole package, making budgeting easy
• Flexible terms to meet your requirements with variable duration and mileage term
• Maintenance of vehicles can be included in monthly rentals, and so spread the cost
• Contract hire removes depreciating assets from the balance sheet and the associated risk of owning vehicles
• Flexible invoice arrangements help to considerably reduce administration
• Improved cash flow
• Minimum capital expenditure
• Fixed interest rate
• VAT recoverable on rentals 50% on cars the other 50% offset against taxable profit. 100% on commercials
• Reduced admin
• RFL provided
• Breakdown cover available
• Replacement vehicle available
• All VAT on maintenance recoverable

Personal Contract Hire

This is the solution for private individuals and is becoming more popular amongst car users and those who opt out of company car schemes.

Key features and benefits include

• Fixed rentals for the whole package, making budgeting easy
• Flexible terms to meet your requirements with variable duration and mileage terms
• Maintenance of vehicles can be included in monthly rentals, and so spread the cost
• Minimum capital expenditure
• Fixed interest rate
• RFL provided
• Breakdown cover available
• Replacement vehicle available
• Resale risk is removed completely

Finance Lease

Finance lease is a tax efficient option where you chose to pay either the entire cost of the vehicle, including interest charges, over an agreed lease period or to opt to pay lower monthly rentals with a final payment based on the anticipated resale value of the vehicle.

At the commencement of the contract, usage parameters for the vehicle are agreed, and assuming this does not vary, monthly repayments and interest rates are fixed for the duration of the contract.  Therefore you benefit through fixed costs but do take on the administration and operating risks.  At the conclusion of the contract you can continue to operate under a "peppercorn agreement" although you will at no time take ownership of the asset , alternatively you may sell the vehicle on as an agent for the finance house and retain the major share of any profit.

Contract Purchase

Companies who want to own their vehicles, but want to avoid the risk of depreciating assets, prefer this option.

Key features and benefits

• Similar benefits to contract hire regarding fixed payments and flexible terms
• Maintenance and added value services can be included
• The finance company guarantees the resale value of the vehicle at the end of the contract purchase agreement for a known, fixed amount
• Ownership passes to the customer at the end of the agreement when all payments have been made

Personal Contract Purchase

This is a conditional sale agreement which allows you the option to purchase the vehicle, or to simply hand it back at the end of the contract period.

You can elect to include the same comprehensive service, maintenance and repair options as are available through contract purchase.

Finance payments are not subject to VAT. If the optional service package is taken, VAT is payable on service costs.

Lease Purchase

Lease Purchase is an agreement designed to offer dedicated vehicle funding where the customer wishes to purchase the vehicle. It is purely a finance package, and does not include maintenance or the other added-value services (such as are available through contract purchase).

he customer is liable for the full value of the vehicle and has no option to return it at the end of the agreement.  Monthly payments are not subject to VAT.

The vehicle is registered in the name of the customer, and where this is a company, the vehicle will appear on the balance sheet, and writing down allowance will be available. However this is 25% per annum upto a maximum of £3000 per annum.

For further information on any of these products or advice on the taxable benefits please call one of our specialists at the Vospers Business Centre on 0845 263 8713 or alternatively e-mail businessdirect@vospers.com.

The best deals on personal car leasing, business car leasing, car contract hire, lease purchase, personal contract hire and finance lease contract hire at Vospers Business Direct.