Contract Hire

Contract Hire effectively allows you to ‘hire’ vehicles as opposed to owning them. This way, the concern of issues such as residual values or selling the vehicle when the finance term is up is alleviated.

A Contract Hire agreement can run for a period between 1 to 4 years.

Contract hire is classified as an operating lease for current taxation purposes; therefore it is regarded differently to 'purchase' contracts so you may benefit from certain tax advantages. Also, if you are a VAT registered business a proportion of the rentals may be tax deductible.