No matter if your business is a limited company, PLC, partnership, or sole trader, there’s a business van finance deal for you.
Financing one company van or a whole fleet of company vans makes good business sense. Instead of putting strain on cashflow and tying up hard-won capital in your vehicles, spread the cost out over time. Pay for your vans as you use them to make money for your business. Choose from purchase or lease options, refinance an existing commercial vehicle, even free up liquid cash from vans you already own. Whichever route you choose, van finance for business puts you in the driving seat.
Protect your business cashflow. Spread the cost of buying new or used vehicles over time. Use the vehicle(s) as you pay for the vehicle(s). Just put down a modest deposit, then repay the balance of the purchase price with equal monthly payments. Never worry about rising interest rates, unseen costs, or mileage charges. HP payments remain fixed for the term of the loan, and you own the vehicle(s) outright when your last payment is made.
Keep your monthly payments extra low. Spread the cost of buying new or used vehicles over time but repay some of the purchase price at contract end with a lump sum known as a ‘balloon’. Use the vehicle(s) as you pay for the vehicle(s). Never worry about rising interest rates, unseen costs, or mileage charges. Payments remain fixed for the term of the loan, and you own the vehicle outright at contract end when you pay off the balloon.
Benefit from low monthly payments and maximum contract flexibility. Lease used or new vehicles and reclaim up to 100% of the VAT charged on your monthly payments – including maintenance, mileage, and service costs. Choose to buy the vehicle(s) at the end of the contract, opt for an operating agreement that could pay you back a surplus, or simply rent the vehicle(s) on long-term hire and hand them back at contract end.
Do more with the cash that’s tied-up in your vehicles. Sale and leaseback is like equity release. Recoup the cash value of your vehicles by selling them to a lender, then rent the vehicles back for business use. Stop sitting on a depreciating asset. Improve your balance sheet. Use the freed-up funds for working capital, investment, or to repay other debt. Pay a low monthly sum to use the vehicle(s), then return them to the lender when your contract ends.
Pay off the lump sum payment at the end of a HP w/ balloon purchase scheme without putting strain on cashflow. Simply keep the vehicle and repay the lump sum over time. Alternatively, choose van refinance to secure a better rate of interest from a different lender, or sell the van to raise liquid cash and then rent the vehicle back.
|Type of finance||Upfront deposit?||Balloon payment?||Do you own the van at end of contract?||Maintenance included?||Excess miles charges?|
|Hire Purchase with balloon|
|Sale and Leaseback||Possibly|
|Operating lease||Possibly, or you may collect a surplus|
Have your financial statements and vehicle quote ready.
Tell us about you and your business with our simple application.
If approved, you’ll receive a no-obligation, personalised quote.
Once you accept, we run some final checks to process your loan and deposit the money straight into your account.
Tom Floodgate was extremely efficient in arranging the finance for 4 vans for our business. Tom dealt with the dealers for us and made the process very smooth, he took care of everything for us. Tom is very polite and friendly and extremely helpful; he kept us up to date throughout.
Yes, you could get a van on finance as long as your business has sufficient income to repay the loan.
Business van finance rates start as low as 3%.
Yes, although you may be asked to pay a higher deposit or higher interest rate and fees. Even if you have been turned down elsewhere, it may still be possible to secure the business van finance you need.
Yes. Lenders will usually ask to see one to two years trading figures before providing a loan, but there are special business van finance deals for new businesses and startups. Note that you may be asked to provide a personal guarantee and/or pay a higher rate of interest on your loan.
Yes. Business van finance can be used to buy or lease new and used commercial vehicles.
Yes. A significant advantage to buying or leasing a company van over purchasing a company car is that 100% of the van’s cost can be claimed as a capital allowance. This means that the full value of the van is offset against your company profits, which reduces the amount of corporation you may pay. Additionally, you can usually reclaim 100% of the VAT element of the van’s purchase or leasing cost, and van operating costs, such as fuel, MOT and repairs are also tax deductible.
Yes. Lease payments and HP payments for commercial vans are 100% tax deductible.
Yes, although they will buy their commercial vehicle in the same way that they would buy a car - as a private citizen, not a limited company. Van costs are 100% tax deductible for sole traders and if they are registered for VAT, they may reclaim 100% of the VAT element of the lease or purchase cost.
Yes, although you may be required to pay a higher rate of interest and fees.
Yes, if your business makes a profit. Van purchase, lease and operating costs are 100% tax deductible. These costs may be set against annual profits, which will reduce the net income liable to corporation tax for limited companies, or income tax for sole traders.
Yes, although you may be required to pay a higher deposit, and/or rate of interest and fees.
This depends on your business’ financial circumstances and what your long-term intentions for the van are. If you wish to eventually own the van, then a finance deal may be best for you, but keep in mind that this will usually mean higher monthly payments than leasing. If you only want the van for the term of the contract and do not wish to ever own it, and you want lower monthly payments, leasing may be the better option for you.
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