If you are looking for a brand-new van for your business to drive it forward and can’t afford to pay the heavy amount that comes with buying a van, leasing is a better option for you. Leasing is a popular option in the UK because of the convenience and benefits associated with it. This article will help you know everything about leasing.
What is Van Leasing?
Van leasing is when you drive a van after paying a down payment followed by monthly payments. It is the same as renting, but for more than three or four years. You will have to pay the monthly payments as decided during the contract for the whole period of leasing. After the completion of your leasing term, you will hand your van back to the leasing company. If you are looking for cheap van leasing UK, you will find a number of affordable companies offering the best packages.
How to Lease a Van?
Here are the steps you need to know about how leasing works. If you are looking for leasing a van, look at the following steps.
- In the first step, you will have to choose the van you are planning to lease. You will have a variety of the latest models to make your business stand out. Know your business and choose the model.
- Choose the lease package you are willing to pay and can afford.
- Understand how many miles you think you will drive in the period of leasing.
- Choose the leasing period. The van leasing is typically between 2 to 5 years.
- You will need to provide all your financial details so that the company will make sure that you can pay the monthly payments.
- You need to mention to the company that how much you can afford as your initial payment to secure your new van.
- After the completion of all the paperwork, your van will be delivered to your door.
- You can enjoy the van for the whole length of the leasing period.
- Return the van at the end of the lease and upgrade to the latest model while starting the process again.
- You will need to pay additional charges in case of extra mileage or wear and tear.
What are the Benefits Involved in Van Leasing?
Leasing a van gets more popular due to the number of benefits it comes with. Here are the benefits you will get by leasing a van.
1. Manageable Costs
You will be required to pay an initial amount known as a down payment. The initial rental is usually between 1-12 months’ worth of rentals. Over the term of leasing, no cost fluctuation or interest is involved. As compared to buying a van, you will end up paying much less in leasing. You can also avoid the additional wear and tear and mileage charges if you return the van in good condition.
2. Affordable and Fixed Monthly Payment
Fixed monthly payment is the key benefit of leasing a van. With these fixed payments, you will stay on top of your budget. The monthly payments are way less than the payments involved in financing the van.
3. Not to Worry About the Depreciated Value
Like all the vehicles, vans also depreciate over time. The best benefit of leasing a van is that you will be not left with the worry of selling the used van. At the end of the lease, you will simply return the van to the company and upgrade to a new model.
What to Consider While Leasing a Van?
You need to keep the following points into consideration while leasing a van.
- The monthly amount is based on the annual mileage you mentioned in the contract.
- The extra miles on the agreed mileage will make you pay an excess mileage charge at the end of leasing.
- According to wear and tear guidelines, you must return the vehicle in good and maintained condition.
- You must return the vehicle at the end of leasing.
- The cost involved in terminating the lease contract could be more expensive.
If compared with buying or financing, van leasing comes with several benefits and leasing a van is much easier. Whether you are running a small business or a fully grown business, van leasing always saves you enough cost.