.jpg)
Financing
Big Buddy offers a range of van leasing options on all vehicles we supply and fit out. These options include:
Van Contract Hire Leasing
Van Lease Purchase
Long-Term Van Leasing
Van Contract
Hire Leasing
Van contract hire leasing is an increasingly popular option because of its benefits over other forms of van leasing. These include how one fixed monthly payment covers all recurring running costs, such as:
-
Regular servicing.
-
Breakdown repair.
-
Annual motor tax.
-
CVRT testing.
Other benefits are easier budgeting for vehicle and fleet management costs, and how it can be 100% tax deductible.
Van Lease Purchase
A van lease purchase agreement is for those who know from the outset that they want eventual vehicle ownership.
The client pays an initial deposit, followed by a series of monthly payments and then a final balloon payment.
Advantages
-
Eventual ownership of the vehicle.
-
Allows the purchase cost to be spread over time.
-
No mileage restrictions.
Disadvantages
-
Responsibility for all servicing costs, breakdown costs, motor tax costs, and other associated costs.
-
Responsibility for disposal of the vehicle at the end of its useful life cycle.
-
Vehicle has already substantially depreciated before ownership accrues.
-
Final balloon payment can be larger than the residual value of the vehicle.
Long Term Van Leasing
Long-term van leasing is a more ‘traditional’ type of van leasing contract. The client agrees to lease a vehicle for a fixed monthly sum for a specified term. The client assumes responsibility for all other costs involved, such as servicing and repairs.
This is the preferred option for clients who may wish to purchase the vehicle when the lease term expires. It can also be the better option for those with access to their own mechanic(s), so that servicing and repair costs are not as high as they might otherwise be.
Advantages
-
Lower monthly payments than with contract hire leasing.
-
No large initial outlay.
-
Option to purchase the vehicle at the end of the lease.
-
No mileage restrictions.
Disadvantages
-
Responsibility for all servicing costs, breakdown costs, motor tax costs, and other associated costs.
