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For many people, one of the greatest joys of going on holiday is taking charge of a brand new, state-of-the-art hire car and enjoying a week or two of hassle-free, pleasurable driving. One disappointment of returning home, as unconscious as it may be, is having to go back to using one’s older, less comfortable car. Smart car users, however, have discovered a cost-effective way of bringing that luxury, care-free hire car feel into their everyday lives: contract hire car lease.
Just like hiring a car, contract hire enables the driver to have instant access to one of the latest vehicles on the market, with no worries about having to pay the road fund licence, and the backing of a full manufacturer’s warranty. Contract hire, then again, actually improves on standard car hire in the following ways. Firstly, the contract hire customer is able to choose any make, model and colour of vehicle, as if he or she were purchasing a car direct from the manufacturer. Secondly, the contract hire car lease customer is granted undivided use of this same vehicle for the entire length of the contract period (usually three years). Thirdly, the monthly rates for contract hire are enormously favourable, since they are, for the most part, derived from the value of the car’s depreciation over the contract hire period, rather than on its total sale price when new.
One reason why vehicle leasing is so popular with many companies, is that there is so much scope for accounting and taxation incentives. These benefits vary according to the type of lease chosen, with some types of lease having more than one of these benefits. One of the most widely recognised incentives of vehicle leasing, is a business’s ability to reclaim at least 50% of the VAT due on each monthly lease payment. This is a benefit applicable for VAT-registered businesses, which take out either a contract hire or finance lease agreement.
A second incentive is a business’s ability to offset the leasing costs against corporation tax. For van leasing under a contract hire agreement, 100% of the monthly lease payment can be offset against corporation tax. For cars under the same contract hire agreement, the amount may be reduced, depending on the emissions from the car. For those organisations that prefer to keep their lease payments off the balance sheet (in order, for example, to reduce their official outgoings so that funds can be allocated to another area of the business), undertaking a contract hire agreement will provide the solution they seek. On the other hand, should a business feel it could benefit from including lease payments as an asset on its balance sheet (so as to attract finance, for example), a finance lease will be the answer.
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Tags: car lease
Posted in Cars and Trucks · September 2nd, 2010 · Comments (0)
There are many new cars nowadays that comes with must have car accessories. But if you drive a car which doesn’t have essential accessories then you will have to buy it seperately. Cars like new Volvo, Ford cars, new BMW, new Mercedes and others have accessories such as SatNavs, chargers, speaker phones, digital device that sends the car message from the dealer about needing to fix something in the car or reminding them of servicing and other accessories.
So what are the top accessories require if you have an used car?
SatNav certainly has to be first thing you need to buy these days. Do you really want to go through A to Z every time you want to get to a new place? A to Z and Google map routes are definitel useful but you can’t use these when you are driving in a dark countryside road at night time because this can be very risky? Don’t think it would be wise to do that.
Iphone or Ipod charger for music is another essential accessory to have in your car. It would be very annoying if the battery runs out when you are going on a long drive, this is when you need to speak to someone or listen to music? Most people have an Ipod these days but having a car Ipod charger would be useful too. Another useful accessory would be Ipod plug. Some cars do not have “aux” which joins Ipod to car’s speakers. But you can get it installed. If you don’t want to spend money on that then you can always get an external speaker when driving. Another option to listen to music.
Another useful accessory to have is phone speaker. Sometimes you put the music loud when driving so you cannot see the phone ring. This is a system which stops the music as soon as the phone rings and the best part is that its hands free.
Tags: Accessories, cars, Technology, vehicles
Posted in Cars and Trucks · August 26th, 2010 · Comments (0)