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Benefits of Van Leasing

May 18th, 2023

Many companies are now seeing the benefits of cheap van lease deals as a cost-efficient alternative to buying.

Looking into leasing deals can be a great option for sole traders, start-up companies, growing businesses, and those looking to build up a fleet. As opposed to buying, leasing deals allow you to spread the cost of the new vehicle across an agreed term, rather than forking out a large chunk of capital upfront.

The financial benefits of spreading the vehicle costs across the term of leasing deals are; manageable monthly payments set within your budget and full visibility of future payments allowing for full control of your business outgoings. In addition, if your business is VAT registered, you will be able to reclaim the VAT paid on the lease vehicle.

New Ranger van leasing

Why Choose Van Leasing?

Easy To Manage Outgoing Payments

Choosing van leasing for your business means that you have a complete overview of your outgoing payments. With predictable monthly costs, you can accurately analyse how much you’re spending as an organisation. Your agreement will detail, in black and white, precisely what you will pay for the vans you are leasing.


Van leasing is a far more flexible option to choose, as opposed to buying a van outright. If you are ready for a new van, you may be able to upgrade to a more modern model early. If you have bought a van and wish to upgrade, you’re likely to have to spend more capital to make up the difference in value. However, this isn’t an issue when it comes to van leasing.

There’s No Price Depreciation

Leading on from this last point, you don’t have to worry about the price of your van depreciating when you take out a lease agreement. With a van leasing deal, you can simply hand your van back once the lease is over and get a newer model. Many leasing deals do not require you to purchase the van at the end of the lease period, which means you’ll get a brand new van rather than having to own a vehicle which is worth substantially less than when you first got it. (More on ownership and leasing below!)

Reduced Maintenance Cost

Finally, as van leasing arrangements provide you with a new van, you’ll have less maintenance and repair costs to contend with. If you buy a second-hand van you simply never know when it’s going to pack up. If you have a van leasing deal for a year or two, it’s unlikely that you’ll come across many issues that require substantial repair work. Aside from a road accident, you can rest assured that you will have little to pay in the way of maintaining your van.

Manufacturer Warranties are a big benefit of leasing a new vehicle and usually last between 3 and 5 years. You will also be able to sign up for a maintenance agreement (ours is called ServicePlus). This will cover servicing and most additional costs incurred in due course of your van’s use!


If you’re looking at cheap van lease deals, one area that differs from buying is ownership. Whether or not you can own the lease van at the end of the contracted term, depends on the finance agreement you choose. So, look into the detail of each financing option if you are interested in ownership.

Hire Purchase

Hire Purchase vans are owned by the lessee, who will pay off monthly instalments of the total vehicle cost. This means you can take advantage of the cost-efficiency of leasing deals while also taking advantage of the benefits of ownership you would have had from buying.

Finance Lease

Finance Lease, as a financing option, offers flexible options for the end of your lease. So, even though you will not own the van for the duration of the lease, you have an option to do so at the end. Alternatively, if you are not interested in ownership, Finance Lease also gives you the option to sell the vehicle on at the end of the lease term, or trade it in and part-exchange for a new vehicle lease.

Contract Hire

Contract Hire is an ideal option for anyone not interested in ownership. If your business would benefit from trading up to a new vehicle every few years, and you want to do away with the hassle of disposal, then Contract Hire represents a great option.

If you still have questions on leasing, please get in touch on 01179625314 to speak to one of our leasing experts!

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