We’ve all been there – you’re driving along, happily bopping to the radio and the next thing you know, your van is scrapped, and you don’t know how to afford a new one.
It would be a nice world to live in if you could buy a new one outright, but most of us aren’t in that position.
So, what about a van finance deal?
The Benefits of Van Finance
With a van finance, you can get back on the road as soon as possible, keep some cash flow in the business and test out what you like in the newest models. Maybe you’ve always wanted to try an electric van but didn’t want to commit – we’ve got you covered.
Van financing for a business is a versatile solution and with so many different options available, you can find something that fits perfectly to your needs.
It is important to do your research and take a look at the financial health of your business before signing up to a van finance deal, but don’t worry if you don’t have a stellar credit history, there’s a lid for every pot and our sales team are on hand for this very reason. Give them a call on 02922 711 571 to talk through your options.
Types of Van Finance Deals
Okay, let’s say you’ve gone through your finances, you know what you like the look of (check out some of our deals here) and you’re ready to look at your options.
Usually, there’s an upfront cost or a deposit, and a balloon payment at the end of the leasing terms, and the rest is divided up in monthly payments – kind of like renting a property, but with wheels.
Depending on how long you want the van finance for (typically 2-5 years) you can control how much you pay each month. With some lease agreements, you don’t even have to keep the van at the end.
With a contract hire lease, you send it back to whomever funded your vehicle use, but these do come with the drawback of additional costs. Things like the mileage and condition of the vehicle come into play here.
The most popular type of lease with vans, however, is the finance lease. Also known as a capital lease, a finance lease gives you the vehicle without the substantial upfront costs of immediate ownership. It’s an incredibly attractive option for businesses because of how much control you have over the fixed monthly payments, the lack of damage charge – there is ZERO – and no mileage restrictions. The best part is a van finance deal is 100% tax deductible!
How Does Van Leasing Work?
While it is important to do your homework when it comes to leasing, a van finance deal can keep you on the road for work or personal use, help to build your credit score and keep some money back in the account. To find out more about finance leasing, have a look at our article, or if you’re ready to get shopping, check out our most impressive deals here.
