vanstop - your 1 stop van shop

Vanstop Van Sales centre in Burntwood offers a range of finance packages to help you purchased your used van

Below is a selection of finance packages with descriptions on their respective benefits.  Whether you already know which finance option you wish to choose, or would like more information about the available alternatives, VanStop can help with a quote to suit you.

  • Contract Hire
  • Lease Hire
  • Hire Purchase

11A vehicle is hired to you for a fixed period (typically 3 years). Monthly payments are calculated based on the difference between the initial value of the vehicle and its projected residual value, plus finance charges. This means only a proportion of the vehicle's value is repaid, which avoids a large initial expenditure (typically just 3 months rentals in advance).

Enjoy all the operational benefits of ownership without the headaches of running costs and vehicle disposal. At the end of the agreed period you simply return the vehicle, freeing you from additional costs (excluding excess mileage or damage charges).

Contract hire is the most common form of funding and accounts over two thirds of all vehicle leases.

Benefits of Contract Hire:

  • Vehicle use without a large capital outlay
  • Improved cash flow with fixed monthly rentals
  • Reclaimable VAT (depending on usage)
  • Totally fixed and predictable costs
  • Outsourced administration and management
  • Off balance sheet funding
  • Rentals are allowable against taxable profits
  • Monthly rentals can be more economical than those found in a lease hire deal
  • No worry or risk at the end of the agreement as you simply give the vehicle back

33A vehicle is hired for a contract period in return for monthly rentals. The monthly rental is determined by the cost of the vehicle, the period and the estimated future value of the vehicle which is based on the proposed annual mileage.

A payment equivalent to the estimated future value is payable at the end of the contract, when the vehicle becomes the property of the lessee. The vehicle must be sold to a third party, with the user acting as an agent for the finance company.

Benefits of Lease Hire:

  • Maintenance packages are often available
  • Lease hire is a cheaper monthly alternative to Hire Purchase, the traditional method of financing
  • Significant tax and VAT concessions may be available depending on the individual deal
  • There are a large number of offers on the market offering different deposit and repayment terms
  • Vehicles will show as assets on the company balance sheet

22Hire Purchase is a method of acquiring assets without having to invest the full amount in buying them initially.

Typically, a hire purchase agreement allows the hire purchaser sole use of an asset for a period after which they have the right to buy them, often for a small or nominal amount. Ownership only passes to the purchaser at the end of the hire period.

Benefits of Hire Purchase:

  • The customer gains immediate use of the asset without having to pay or borrow a large amount for it
  • Vehicles will appear as assets on the company balance sheet, entitling the company to claim capital allowances against depreciation

Contact us for full details