Van Leasing 101: A Guide To The Process And The Perks
For over a hundred years vans have become a staple of transportation and commerce for a wide range of businesses. From construction to courier services, vans allow for easy relocation of goods and products whilst providing ample seating for a large crew. Van interiors can be customised to support specific industry needs, or refitted entirely to create a mobile home for vanlife enthusiasts.
According to government statistics, there are currently over 4 million vans in the UK, where these are utilised for a broad variety of purposes. As such there are also a number of ways that a van can be purchased, whether it is bought outright from a dealership or leased on a monthly basis.
Van leasing can provide an affordable way of accessing a suitable vehicle for both businesses and individuals, where contracts can be drawn up to suit a range of financial requirements. Read on to find out more about van leasing, including the different options available and the various benefits.
A popular way of facilitating the procurement of a new vehicle is to choose a van lease deal. This is a form of long-term rental contract, where monthly payments are made to secure the vehicle, which is then returned to the dealership at the end of a designated period.
Also known as Personal Contract Hire (PCH), this option typically includes various caveats, such as mileage limits. Mileage limits can vary depending on the contract type, where they tend to range from 5000 to 30,000 miles. You may be charged an additional fee if you exceed the limit on your contract. Additional charges could also be enforced if damage is caused to the vehicle beyond reasonable wear and tear. Details of this and the mileage agreement will be listed before the contract is signed.
Your monthly payments for the lease are calculated based on your mileage agreement and how much you’re able to pay upfront – the bigger the initial payment, the lower the monthly cost. Lease costs also vary depending on how long your contract is for, where this can vary from a few months to long term van leases of four years. Leasing is typically only available for new vehicles, where different financing options are available for used models.
Van leasing deals can provide a great deal of flexibility in terms of how long you will have the vehicle for. A short term lease usually lasts between one month and two years, where this can be ideal if you have changing business needs or if you’re unsure what model is right for you. Alternatively a long lease can last between two and five years depending on your preferences.
There are benefits to both of these options, where your final choice will depend on how you wish to use your vehicle. A key benefit of short term leasing is that it provides flexibility to make quick van changes as your business grows. Short leases are easier to exit than more long term contracts, meaning you can stay up to date with vehicle modernisations and technological improvements as they’re released.
Alternatively, long term leasing can provide you with stability and peace of mind. You will receive fixed rates that can protect you from price rises over the whole course of your contract, where you can also take full advantage of your manufacturer’s warranty. A longer lease can also mean lower monthly payments, as the cost of the van will be spread over several years.
A finance lease plan is an affordable option for businesses to obtain their ideal vehicle from Vanaways. This involves paying the whole cost of the vehicle over the lease period or a lower monthly rental cost with a balloon payment at the end of the contract. These plans allow your business to handle its own vehicle administration whilst avoiding mileage limits and damage charges.
There are numerous benefits to leasing a van compared to other financing options, where some of these include:
The best part about a lease contract is that it can provide you with flexibility as your business grows, where you can trade in for a brand new vehicle at the end of your contract, without the hassle of selling. This can also help you to stay up to date with modern van technology, giving your business the best opportunity for success.
Additionally, a lease agreement spreads out the cost of a new vehicle, where you don’t have to worry about finding a large sum of money to secure your van. This means you can get hold of a better vehicle than you would typically be able to afford, allowing you to facilitate all the needs of your growing business.
Lots of lease agreements cover more than just the cost of the van. You can also find packages that include road tax, breakdown cover and a manufacturer’s warranty, allowing you to save money throughout the lease period.
Because many extraneous costs are included in your leasing fees, you can accurately estimate how much your car will cost to maintain with this buying method. This can help you to avoid uncovered and unexpected costs associated with buying a vehicle outright.
Another benefit of leasing your new vehicle is that you can agree on fixed interest rates when you initially take out your contract. This prevents you from having to deal with an increase of costs over the course of your contract, helping you to manage your finances whilst you’re retaining your vehicle.
At Vanaways, we have a huge selection of vehicles available to suit a broad range of industry requirements. Each of these is available through a number of financing options, including leasing, part exchange and contract hire. Some of our many options include:
The Peugeot Expert – Available as a single or double cab, this van is perfect for transporting large crews as well as a range of goods. A plentiful cargo area and an array of safety features makes this a great option for your business.
The Ford Transit Connect – This Ford model comes with numerous customisation options, and provides plenty of storage space for a smaller vehicle. You can also enjoy a versatile loading space and modern connectivity features to make everyday driving more comfortable.
The Vauxhall Vivaro – This roomy and efficient van option offers a high payload for those businesses that are transporting heavy cargo on a regular basis. There is also a spacious and practical cabin to make long drives more comfortable, where this space can double as an on the go office.
The Renault Trafic – Choose this van for a range of interior storage features that can help to adapt your vehicle to your specific industry needs. It also offers a smooth and efficient engine for a comprehensive city driving experience, as well as numerous length and height options.
The Volkswagen Caddy – The Caddy is the ideal vehicle if you’re looking for an impressive load length to store all your cumbersome equipment. It also offers a car-like driving experience to keep you comfortable over long distances, as well as numerous modernised dashboard features.
At Vanaways, we offer a broad range of new van deals, where you’re bound to find the perfect motor to suit all your business needs. Our comprehensive range of financing options including part exchange and lease contracts are designed to help you drive away your dream vehicle at an affordable price.
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