BUSINESS LEASING

Contract Hire
Contract Hire is s popular choice for VAT registered businesses as this is a VAT beneficial financing package, one regular payment covers all (including maintenance if required) for an agreed period and mileage. Car tax is included and at the end of the term, you just hand back the car.

Finance Lease
Ideal for V.A.T registered businesses that want to handle the admin of their vehicles and have the asset shown on the balance sheet. A VAT beneficial finance option were the hirer can choose to pay the entire cost over the agreed lease period, plus an interest charge, or pay lower monthly rentals during the lease period with a final payment based on the anticipated resale value of the car.

Contract Purchase
For businesses with high value cars that would like the option to purchase the vehicles but do not want any depreciation risks. The business acquires the vehicle by paying fixed monthly instalments with the asset being shown on the company balance sheet and can either retain ownership at the end of the contract or hand the car back.

Lease Purchase/ Hire Purchase
For non-VAT registered business or individual that want l ownership of the car at the end of the contract. A funding agreement where ownership is acquired when all the payments, including the option to purchase have been made. Part of the capitol cost of the vehicle payment may be deferred into a balloon payment at the end of the agreement, the anticipated value of the car. If ownership is not important and the business is VAT registered, the best leasing option would be Contract Hire.

PERSONAL LEASING

Personal Contract Purchase
Personal Contract Purchase (PCP) is a popular method of funding your car when taking a Cash for Car option. It is essentially a purchase agreement where the monthly payment is kept low by the implementation of a Guaranteed Future Value (GFV).

The GFV is stated at the outset of the contract and is determined by your annual mileage. At the end of the contract term, you have three options:

1. Hand back the car to the finance company.(An excess mileage charge may be incurred if you exceed the stated mileage).
2. Purchase the car at the GFV value. (Regardless of market value. A re financing package can be arranged by Smart Lease.
3. Part-exchange the car.(This is the most popular option as it allows you the possibility of taking equity from the difference between the part-exchange and GFV figure on the vehicle. This amount can be used as a deposit on your next car ).

Full Maintenance contract can be included with this funding method.

Personal Contract Hire
Personal Contract Hire (PCH) gives the user a fixed equal monthly rental for a fixed contract term and mileage. At the end of the contract the car is simply handed back.Popular with company car drivers who are given a car or mileage allowance instead of company car.