Contract Hire gives you the chance to drive a new car with no worries about the car’s resale value.
Contract Hire
Short term Contract Hire can offer one of the best ways of driving a brand new car, it works like a form of car rental. After an initial payment, you make a series of fixed monthly payments. At the end, you simply hand the car back.
Under a Contract Hire agreement, you never own the vehicle and you have to hand it back at the end of the term.
With Contract Hire you usually have to pay a number of rentals in advance; typically this can be 3, 6 or 9.
As with all rental agreements, there are some restrictions you need to bear in mind:
1: If you cancel your contract and return the car you’ll probably have to pay a fee, or may even be liable to pay all the outstanding rental payments.
2: You won’t be able to modify the car in any way – for example, adding a tow-bar – without permission. However, you can ask us to make modifications before you take it.
3: If you exceed the agreed mileage, you’ll have to pay a penalty for this extra mileage at the end of the agreement.
4: You must return the car in “good repair and condition” We operate under the terms of The BVRLA’s Fair Wear and Tear policy.
5: If you plan on taking your car abroad, you may need to get written permission from the finance company each time you do so and there may also be a charge.
There are many advantages to business Contract Hire not to mention you will be driving a brand new vehicle that can help to build and maintain your brand reputation, whilst keeping your employees feeling reassured, they are on the road with the latest safety technology. We can also help you on your journey to going green, with a range of electric and hybrid vehicles.
You can lease your vehicles with a low initial outlay and fixed monthly payments for easy budgeting.
Furthermore, VAT registered businesses can enjoy tax benefits when choosing business contract hire. You can claim back up to 50% of the VAT if the vehicles are used for both business and personal use. If you are using your vehicle fleet strictly for business, you could claim back up to 100% of the VAT.
CONTRACT HIRE EXAMPLES
Bimta Group Ltd is authorised and regulated by the Financial Conduct Authority, FCA No: 714469.
All finance is subject to status and income. Written Quotation on request. We are only able to offer Business contract hire and Personal contract hire.
