There are many options for acquiring a brand new car these days and using your company to source one is a great method. Lots of businesses are willing to pay the expense for one, two or even a larger fleet of company cars to provide that professional appearance and boost employee morale.
There are the obvious benefits to employees, as they receive a fresh car often at a cheaper rate than elsewhere, and it can also benefit the employer. Company car options vary from firm to firm but these are the best ways to get one.
Business Car Leasing
Business leasing works in a similar way to an individual leasing a car but on a much larger scale. It is cheaper than the business buying numerous vehicles outright and allows employees to have brand new cars at a cheaper cost to everyone. Ridgeway offer highly flexible options for getting the best quality corporate cars.
Business leasing is a tax-allowable expense and saves on VAT if used purely for business purposes, which can save the company a huge chunk of money to invest elsewhere. Hire purchase options allow ownership of the vehicles at the end of an agreed contract if that is a requirement.
If you’re looking to purchase a new car and not interested in leasing beforehand then taking out a business loan is a good option. The loan is attached to the business and not the vehicle, which better protects the individual in case of any kind of financial disaster. The vehicle belongs to the company as soon as it is bought, meaning it can be modified, sold and used by various employees if needed. They usually offer flexible repayment options and any excess money received can be utilised for other business purposes.
Employee Car Schemes
Not every business can afford company cars for all its employees, which is where employee car schemes come in useful. These offer great finance deals for employees all under the same roof and appear as a fantastic company benefit.
Employees and the company pay monthly fees, reducing the cost for both parties compared with leasing privately. The business is exempt from paying national insurance on the car benefit and employees don’t need to pay benefit-in-kind tax either. It is a great way for employees and the company to secure a number of top quality new vehicles at a lower rate.