Leasing is an excellent option for many businesses. The more affordable monthly cost and tax advantages of renting can have an appreciable effect on short-term expenses for fleet buyers.
A leasing arrangement from Lookers Land Rover gives you access to a vehicle (without owning it) for an agreed period. Both parties negotiate a suitable rental cost at the start of the agreement, as well as what they anticipate the value of the vehicle will be when the repayment period ends. This estimate forms the basis of a lump sum payment owed by the customer at the end of the term.
The customer then sells the vehicle on Lookers Land Rover's behalf, and uses the money gained to meet the cost of the final payment. The actual value of the car may be more or less than expected; in this case, businesses can actually make a profit on their leasing arrangement if the vehicle's residual value has held up well. Alternatively, of course, the proceeds may not be enough to cover the cost of the agreed final repayment and the business will have to cover the shortfall.
Leasing is a highly flexible and low-cost option that requires little administrative hassle. The lower rental costs are allowable against tax, and most of the time businesses can claim back up to 50% of the VAT on repayments. And as mentioned before, it is possible to make even more money back if a car can be sold at a better price than expected.
Head to any of the Lookers Land Rover dealerships, located in Bishops Stortford (Hertfordshire), Colchester, Chelmsford (Essex), or Battersea, Park Royal (London), call us, or fill in our enquiry form and a member of the Lookers Land Rover Corporate team will gladly assist you with further information on Land Rover Leasing possibilities.