The following finance options are offered by Hendy MG when purchasing vehicles for a business.
Contract Hire is designed for businesses requiring fixed monthly rentals with no risk of depreciation or disposal worries. You can include a wide range of additional options, leaving you free to concentrate on running your business. We recover VAT on the vehicle, resulting in lower rentals for Hendy Business customers.
Many businesses find that regular fixed monthly rentals help with budgeting, cash flow and forecasting, leaving your capital free for other purposes. Fleet management services can be offered, thus reducing your administration time and costs.
Features and Benefits:
• Fixed rentals for the full contract period based on a set annual mileage which you determine
• Repayment periods can be monthly, quarterly, half yearly or annually
• Vehicle Excise Duty and Assistance included for the duration of the contract
• Can include optional maintenance package
• Rentals can be offset against taxable profits for maximum tax efficiency
• All of the VAT paid on rentals is recoverable for commercial vehicles
• 50% of the VAT paid on rentals is recoverable for cars where there is any private use of the vehicle
• At the end of the contract, provided the terms of the agreement are fulfilled, simply return the vehicle to us
This is a long-term rental agreement for private individuals.
The private individual pays regular monthly payments for the duration of the agreement and hands the car back at the end. The duration of the agreement and the mileage can be flexible so do ask for more details.
Many customers find that regular fixed monthly rentals help with personal budgeting.
Finance Lease is an excellent option if you want fixed monthly rentals, and do not need to own the vehicle.
With a Finance Lease, you pay fixed monthly rentals. At the end of the lease, the sales proceeds are repaid to you as a rebate of rentals. We can help you to reduce your monthly rentals by agreeing an anticipated future value on the vehicle (known as balloon rental).
Features & Benefit:
• Initial outlay 3 or 6 months rentals in advance
• Repayment periods can be monthly, quarterly, half yearly or annually
• Contract length decided by you - maximum 60 months
• Ability to tailor the final rental to suit your budget
• Rentals are allowable against profits reducing your tax liability
• All of the VAT paid on rentals is recoverable for commercial vehicles
• 50% of the VAT paid on rentals is recoverable for cars where there is any private use of the vehicle
• Monthly costs are fixed
• Normal depreciation risk
This is a popular method of funding for many of our customers. It is designed to provide fixed term funding and you own the vehicle at the end.
You decide the initial lump sum deposit and the repayment period. You then pay monthly payments for the life of the agreement. Assuming all outstanding payments have been made, you own the vehicle at the end of the agreement.
Features and Benefits:
• No VAT on payments
• Vehicles are treated as an asset and appear on your balance sheet - writing down allowances can be offset against taxable profits along with interest charges
• Initial outlay usually 10% of vehicle price
• Contract length decided by you
• Monthly costs are fixed
• No final lump sum payment
• Normal depreciation risk
• Able to take profit on sale
• You take ownership at the end of the agreement
This is when you buy a vehicle(s) without a leasing agreement and with one payment. This is the simplest way to purchase a vehicle or fleet of vehicles. The cash price of the vehicle(s) is paid upfront, which saves you money on paying interest on monthly payments as there are none.
Hendy Group are a credit broker not a lender. We can introduce you to lenders and their products which may have different interest rates and charges. We are not an independent financial advisor and you are not obliged to take our advice. We do not charge you a fee for our services. We typically receive commission from the lender (either a fixed fee or a percentage of the amount you borrow) but this does not affect the amount you pay. Authorised and regulated by the Financial Conduct Authority. Reference Number 311625.
