Your business uses the vehicle while paying a rental rather than a repayment. The monthly rental is determined by the initial cost of the vehicle (excluding VAT), the period of the finance lease and the residual value (the estimated future value of the vehicle at the end of the finance lease period once depreciation is taken into account), plus interest.
Minimum capital expenditure
Accurate monthly budgeting
A fixed interest rate is available on some contracts
No damage recharge as you are responsible for disposal of the vehicle
Finance lease is a very popular choice for VAT registered companies and businesses as they can claim back 50% of the VAT on the finance element for cars and generally 100% for commercials (subject to no private use). On contracts with maintenance the service element VAT is 100% recoverable
Rentals can be offset against the businesses profits. Cars with a CO2 output above 130g/km are currently subject to a 15% disallowance on the amount of the rental that can be claimed against the businesses taxation, for cars with a CO2 output of 130g/km or below, there is currently no disallowance
On-going advice and support
Optional full maintenance package with breakdown rescue cover
Optional GAP insurance which provides cover for the shortfall between the outstanding finance and the insurance value if the vehicle is declared a write-off by your insurance company
You will never own the vehicle as the vehicle must be sold to a third party as the end of the agreement
Operating risk associated with the vehicle
Interest rates can vary on some contract
You must have fully comprehensive vehicle insurance
More Information on Finance Lease:
Although you never take ownership, at the end of the finance lease contract a payment equivalent to the residual value is payable. Usually this means that the vehicle is sold and a proportion of the proceeds of the sale are returned to the lessee.
Most finance lease companies will offer a number of payment options to suit your cash flow. You can lower the monthly rental with a balloon payment at the end of the contract, or you can pay the entire cost in monthly rentals (normally referred to as a fully amortised Finance Lease), in which case you may be able to extend the finance lease with a secondary rental (sometimes called a peppercorn rental).
Select each vehicle to "blend" a deal which matches your desired contact profile and mileage
Have a question about vehicle leasing?
Top 10 benefits of vehicle leasing >LEARN MORE
Your simple 5-Step guide to getting started >LEARN MORE
Regal Garage (Bromsgrove) Ltd trading as Regal Autolease are a credit broker and not a lender, we are authorised and regulated by the Financial Conduct Authority. Registered No : 787993
Registered in England & Wales with company number : 00554796 | Data Protection No : ZA140638 | VAT No : 111 4829 00
Registered Office : Prydis, Senate Court, Southernhay Gardens, Exeter, England, EX1 1NT
All vehicle images and descriptions are for illustration and reference purposes only.
All vehicle leases are subject to credit approval and subject to change at any time.
Copyright © 2020 Regal Autolease, All rights reserved.
Driven with caffeine powered by CALAS