Should I Lease a Ford Transit Custom?
Finding the right van for you and your business is important. As the best-selling commercial vehicle in the UK the Ford Transit Custom […]
November 21st, 2023
Whether you’re a small business owner who’s looking for a new van or a company that owns a fleet of vans, at some point you will have to consider whether you should lease a van or buy one outright.
In this blog post, we’ll explore how the two options compare, so you can evaluate which is better for your business.
The difference between a lease and outright purchase is that when you buy a van, you pay a one time cost and you are provided with full ownership of the vehicle. On the other hand, a van lease involves paying a fixed monthly fee while having full use the vehicle, and can offer flexible end of contract options around ownership.
At Global Vans, we can provide Hire Purchase arrangements where you pay a monthly fee and at the end of the lease period you own your vehicle. If you choose to Finance Lease your vehicle, you have options to keep, sell or trade-in your vehicle at the end of your lease. Or, if you want to do away with the hassle of disposal, Contract Hire vehicles are collected for you at the end of your lease, with no option for ownership.
> Read more about our van leasing options
If you’re looking to buy a van outright and you have the money, purchasing a van has always been the traditional option. However, it is fast being acknowledged that purchasing a van can have quite a few drawbacks for businesses. With leasing a van proving to be a more cost-efficient option.
Advantages of Purchasing a Van for a business
Disadvantages of Purchasing a Van for a business
Leasing a van for your business can actually provide numerous benefits over purchasing a van. Some of the advantages will ultimately depend on the type of lease that you agree to but overall, the advantages certainly outweigh the disadvantages.
Advantages of leasing a van for a business
> Read more about Van Maintenance here
Disadvantages of leasing a van for a business
> Read more about the Business Benefits of Van leasing
As mentioned above, there are numerous benefits of leasing a van over buying a van outright. The tax benefits are undoubtedly some of the main financial benefits for businesses considering leasing a van.
As mentioned above, a van lease can be claimed as a business expense and you can therefore reclaim VAT on both the initial payment as well as the monthly payments, if applicable. Buying a van on the other hand, only allows you claim capital allowances for the full cost of the van.
Leasing is a van is more cost-efficient than buying a van. You’ll save money with pre-agreed affordable monthly payments, a reliable and fuel efficient new van under Manufacturer’s Warranty, and you won’t have money tied up in a depreciating asset.
At Global Vans, our 20+ years of industry experience mean we benefit from great supplier discounts. We’ve done away with expensive showrooms to ensure we can pass those savings on to you! So you can be sure, you’ll save up to 40% more on your van lease than you would at a dealership!
> Browse our latest specials to find the best van leasing deals
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