Although you will never own the vehicle, this option provides flexible financing for a minimum outlay and provides tax advantages. Monthly, quarterly or yearly rentals over the lease period (usually 2 - 4 years, depending on your mileage estimate) are significantly reduced because we are able to use the VAT exclusive price as the basis of calculation. We can also include "balloon" payment, to help you with cash flow. When the car is sold at the end of the lease, the proceeds (less a nominal sum), are refunded as a rebate of rentals. This rebate will attract VAT.
During the agreement the car is classified as an asset, and the rentals can be offset against taxable profits. If registered for VAT, you can claim 100% of the tax if the car is used exclusively for business or 50% if it is used privately.