We use cookies to ensure that we give you the best experience on our website. Are you the type of person who likes to change their car every few years? Business leasing – or car contract hire – gives your company the advantage of driving the very latest vehicles at the lowest prices. If a business lease car is used for personal journeys then you'll need to pay company car tax. Business Car Leasing Explained Business car leasing or business contract hire (also known as BCH) is a useful way for a business to get access to a car without legally owning it. Rather than buying a vehicle outright, business owners can lease cars instead for their employees to use – with some offers making it very appealing to many. BMW business car leasing explained; discover the latest guides to help you with everything from Company Car Tax to alternative fuels for your business. When the contract ends the car is returned to the finance company. This cost is dependent on how much CO2 the car emits. Lessee This is the person who will be leasing the car - you! Personal contract hire prices are normally displayed including VAT, the deals on personal car leasing work along the same format as business contract hire with a 3 payments upfront as a typical deposit, then monthly paymenys over the remaining term. Skip to content Cookies on the MINI Business Partnership website. This rate will be billed at the end of the contract. Vehicle leasing or car leasing is the leasing (or the use) of a motor vehicle for a fixed period of time at an agreed amount of money for the lease. Business Car Leasing, commonly referred to as Contract Hire or BCH, is available to business owners and employees. The term of the lease is how long you will be leasing the car for. This type of car finance lets you lease a car for your business for a particular number of months (according to the agreement) and eventually return it to the finance company at the end of the contract. Our guide to personal contract hire tells you all you need to know. Personal leasing, or personal contract hire (PCH), is similar to business leasing except it caters for individuals not leasing a vehicle through a business.A personal lease is for personal use only and is not financed by a company but by an individual. Car leasing, and specifically a contract type called 'Personal Contract Hire', allows you to drive a new vehicle for a set time (usually between 2-5 years) by paying fixed monthly rentals until your contract ends.When the contract ends, you simply return the vehicle to the hire company & you can choose to upgrade to a new car again – just like you would a mobile phone contract. The guides in this section give you all the information you need about leasing a vehicle for your business. By leasing a car, you’re essentially renting it for a long period, typically two to four years but some lease providers offer shorter and longer terms. Leasing company vehicles using Business Contract Hire is a hassle free way to provide a fleet of new cars for your workforce. Company car leasing explained. Car Lease Coverage Explained. LEARN MORE Who Is Responsible For Maintaining the Car? We use cookies to ensure that we give you the best experience on our website. Business Car Leasing: Explained Trying to get your head around leasing on a whole is actually a bit of a struggle, but once you understand u2013 it’s actually really easy. PCH leasing allows you to drive a new car every few years, with relatively low monthly payments and no worries about the car’s resale value. We all know car leasing is complicated. Personal contract hire prices are normally displayed including VAT, the deals on personal car leasing work along the same format as business contract hire with a 3 payments upfront as a typical deposit, then monthly paymenys over the remaining term. How do I know if car leasing is right for me? Lessor This is the leasing company. Skip to content Cookies on the BMW and MINI Business Partnership website. Business Car Leasing Tax Implications Explained. Finally we describe, with example, how to determine if the deal is good, or not. Personal Car LeasingPersonal Contract Hire (PCH) is very similar to business contract hire with the exception of being able to reclaim the VAT. Because when we are confused, most of us do not ask questions. It is commonly used to source fleets such as taxis or vans. Car Leasing Explained; Car Leasing Explained. It works in a similar way to a personal contract hire (PCH) policy, but it is specifically designed for companies. Business Leasing is a cost-effective choice for businesses wanting to provide vehicles to their employees. How Car Leasing Works – Example Lease Deal One of the best ways to learn about car leasing (and most anything else) is by example. This gives the car dealership the upper hand on us. 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