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Contract Hire

How does Company Car Contract Hire work in the UK?

The funding of company vehicles, regardless of fleet size, can be a significant drain on financial and human resources, especially at a time when resale values are increasingly volatile.

Company car contract hire in the UK can remove both the financial and administrative burden from your business. It can deliver a tax-efficient form of funding which eliminates risk and smooths cashflow.

• Your company hires a vehicle from us for a pre-determined period at a fixed monthly rate.
• We retain ownership and at the end of the fixed period the vehicle is simply returned to us.
• The single, fixed monthly rental takes into account the cost of the car, its rate of depreciation, the length of the contract, mileage and any additional services you may wish to build in.
• The majority of our customers choose to include maintenance cover within their company car contract hire, with full RAC breakdown and recovery service, keeping drivers on the road without involving the company in complex or costly administration.

The Benefits

• Low initial payment, typically equal to 3 monthly rentals.
• Currently off balance-sheet funding as all ‘risk and reward’ remains with Autograph.
• Rental allowances typically provide accelerated tax benefits.
• We reclaim the VAT on the purchase of the vehicle, and pass that saving on to you in the form of lower monthly rentals.
• Removes disposal risk and protects your future profits.
• A maintenance-inclusive contract hire agreement will remove the inherent risks associated with running a fleet of company vehicles.
• Your monthly fleet outgoings are fixed and incorporate realistic running costs, giving you greater budgetary control.
• Improved gearing.
• Lines of credit can be better utilised for investment in your core business.
• Flexible company car hire contracts to reflect the changing nature of your business.
• Peace of mind.

For free advice on a Company Car Contract Hire options for your business, please contact our team at Autograph Contracts on 01622 871874 or who will be delighted to discuss it with you in more detail.  Alternatively arrange for us to Call You Back.