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Contract Hire

How does it work?

The funding of company vehicles, regardless of fleet size, can be a significant drain on financial and human
resources, especially at a time when resale values are increasingly volatile.

Contract hire can remove both the financial and administrative burden from your business. It can deliver a tax-efficient form of funding which eliminates risk and smooths cashflow.

• Your company hires a vehicle from us for a pre-determined period at a fixed monthly rate.
• We retain ownership and at the end of the fixed period the vehicle is simply returned to us.
• The single, fixed monthly rental takes into account the cost of the car, its rate of depreciation, the length of the contract, mileage and any additional services you may wish to build in.
• The majority of our customers choose to include maintenance cover, with full RAC breakdown and recovery service, keeping drivers on the road without involving the company in complex or costly administration.

The Benefits

• Low initial payment, typically equal to 3 monthly rentals.
• Currently off balance-sheet funding as all ‘risk and reward’ remains with Autograph.
• Rental allowances typically provide accelerated tax benefits.
• We reclaim the VAT on the purchase of the vehicle, and pass that saving on to you in the form of lower monthly rentals.
• Removes disposal risk and protects your future profits.
• A maintenance-inclusive contract will remove the inherent risks associated with running a fleet of vehicles.
• Your monthly fleet outgoings are fixed and incorporate realistic running costs, giving you greater budgetary control.
• Improved gearing.
• Lines of credit can be better utilised for investment in your core business.
• Flexible contracts to reflect the changing nature of your business.
• Peace of mind.