In today's increasingly competitive business world it's now more important than ever to choose the right car for your business - and the best method of funding it.
Some Businesses may decide to simply use their own cash reserves, but in doing so could miss out on valuable tax benefits and cash flow advantages available through finance. Many businesses, however, prefer to spread the cost of their vehicles by using finance, leaving their capital available within the business for other uses.
Selecting Your Finance Provider
Banks are sometimes favoured by businesses, but these can only offer a limited range of finance facilities without the tax advantages some of our facilities provide. Your business's credit lines could then become unnecessarily limited. With C.F.L. you will find a finance plan geared to the particular needs of your business. C.F.L. offer a wide range of different finance facilities for business users, each designed to provide cast-effective finance by being offset against tax, either a depreciation or as interest expenses. And you'll find our interest rates compare very favourably with other sources of finding. The best plan for your business All of our finance plans for business users include flexible payment options to help you budget more easily and improve your business's cash flow.
Selecting Your Finance Plan
How do you decide which finance plan is best for your business?
- Bulk Purchasing Power
- No Maintenance Risk
- Fixed Monthly Costs
- No Disposal Risk
- VAT Recoverable on Purchase Price
All agreements offer low initial outlay. Capital is not tied up in depreciating assets, releasing credit or finds for your company's core activities.
Read on to see our full range of finance options, or click the links below to jump to the most relevant section. |
Contract Hire
ONLY AGREEMENT OFFERING OFF BALANCE SHEET FUNDING VEHICLE ADMINISTRATION REDUCED VAT ON RENTAL RECOVERABLE (Subject to Article 7 (2)(A) of the VAT (input tax) Order 1992(As Amended)
Off Balance Sheet Funding
Contract hire vehicles remain the property of the contract hire company and therefore do not appear on your balance sheet as a fixed asset. This results, in many cases, in having a greater return of fixed assets should your company be declaring profits.
Vehicle Administration Reduced
Other than vehicle choice, C.F.L. use their managerial time in the acquisition, maintenance and disposal areas freeing up your time for core activities.
VAT
VAT on rentals is recoverable, 50% if the vehicle is used for private use, 100% on the maintenance element of the agreement.
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Finance Lease
ON BALANCE SHEET FIXED RATE FUNDING BALLOON PAYMENT ENSURES LOWER MONTHLY RENTALS VAT ON RENTAL RECOVERABLE (Subject to Article 7 (2)(A) of the VAT (Input Tax) Order 1992(As Amended) RISK OF LOSS / OPPORTUNITY TO GAIN ON DISPOSAL
On Balance Sheet Fixed Rate Finding
Vehicles shown on balance sheet as assets, and facilitates budgetary control and exposure to a fluctuating money market.
Balloon Payment Offering Lower Monthly Rentals
In a balloon payment lease the diminishing value of the asset is reflected and determines the monthly rental with a final balloon payment covering the anticipated residual value; thus offering lower monthly rentals. Should the value of the vehicle be fully amortised over the initial contract length then a secondary period can be entered at a nominal
VAT on Rentals Recoverable
VAT on rentals is recoverable, 50% of the vehicle is used for private use.
Risk or Reward Upon Disposal
The Lessee can never own the vehicle and upon the sale by the Lessee at the end of the agreement the full sale price is forwarded to the finance house with a 95% rebate plus VAT returned to the Lessee of any monies over the balloon payment due. Any shortfall would be invoiced as an additional rental.
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Nearly New Vehicles
HAND PICKED NEARLY NEW LOW MILEAGE VAT QUALIFYING
C.F.L's nearly new vehicle programme offers selective vehicles showing significant cost savings over new.
Coupled with a ''soft'' early termination clause so long as three rentals in advance are paid and all rentals fallen due are collected, together with any recharge of possible excess mileage and damage, then the vehicle may be returned with nothing further to pay.
This offers fleet flexibility.
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