Contract hire: the intelligent choice
Contract hire is one of the most popular car lease schemes available.
You decide how long you want to hire a vehicle and tell us what your
total mileage is likely to be. We then agree a regular instalment
that we fix for the duration of the hire. At the end, you simply return
the vehicle. It's positively painless.
Contracts typically include full maintenance cover, but the beauty
of contract hire is that it is flexible. Services can be added or
removed as necessary. We find that our most popular agreements are
over three years and include full service and maintenance provision,
road tax, roadside assistance and some form of relief vehicle provision.
 |
Stability in an unpredictable worldContract Hire eliminates risk. It's ideal for organisations
who don't want the financial risk of running their company car
fleet. This fundamental concept is one of the primary reasons
why Contract Hire is the UK's most popular car lease scheme. |
Risk is eliminated
With contract hire, Arnold Clark are responsible for fluctuations
in interest rates, movements in residual values on your cars and any
unexpected maintenance costs. There's no need to worry over plummeting
vehicle residual values or escalating maintenance costs.
Fixed Transport Costs
From an accounting perspective, contract hire provides stability
in an unpredictable world. Because our rentals are fixed for the duration
of hire, your capital outlay is fixed and certain for the entire lifetime
of the car or van.
Low deposits
Deposits can be as low as one months rental, although the
deposit amounts vary dependent upon circumstances and the contract profile.
As an example, many of our public sector customers prefer to adopt an
annual payment profile, with one annual payment of 12 months rental.
No acquisition problems
Once you decide on the vehicle you require, it is up to us
to find that vehicle for you. We can supply any make or model of car
or van, using our preferred network of vehicle suppliers. We'll also
deliver each vehicle free of charge anywhere on the UK mainland.
No disposal hassles
With contract hire, you have no need of auctions or other
disposal hassles. At the end of your contract, we'll come and take the
vehicle away quickly and efficiently. Of course, we would hope that
you would take another vehicle from us, in which case, we'd tie the
two transactions together.
No capital investment
Because contract hire is a long term hire of a car or van,
you have no need to find large sums of money or finance to fund your
vehicle fleet. You keep your money and put it to good use within the
business!
Expert fleet analysis
With over 40 years industry experience, you'd be hard pressed
to find a better team of people to handle your fleet requirements. We
have specialist teams dealing with corporate and small business, plus
a separate team to handle our public sector clients. Whatever you need,
we have the answer.
Ease of administration
We take away the day to day hassles of running a car fleet.
Our administration department is responsible for processing maintenance
invoices and vehicle purchase and disposal invoices. We also take care
of road tax renewals, MoT renewals, traffic offences, safety recalls,
foreign travel requests and a host of other activities. As a result,
your paperwork is reduced, you save time and overhead costs and you
are able to devote much more time to your business.
Tax deductible rentals
Contract hire is regarded as an operating lease. This means
that it's on off-balance sheet car lease scheme. This allows you an
improvement in key financial ratios such as gearing and liquidity. Rentals
are fully tax deductible where vehicles are under £12,000. Cars
over this amount are subject to the 'half the excess' rule. There is
no restriction on the maintenance element of the rental.
VAT efficiency
Contract hire rentals attract VAT. However, as a leasing company
we are able to reclaim all of the VAT we pay when we purchase a vehicle,
which we then build into our rentals and pass onto you. In addition,
you are able to reclaim all of your VAT on the services included in
the contract and 50% of the finance elements - a key attraction when
compared to other forms of car lease or outright purchase.
|
Get a Quote |
|
Special Offers |
|
What Makes Us Different? | |
Sale and Leaseback |
