Business Car Lease Deals

If you're a business owner or an employee, then business car leasing is calling your name. Also known as business contract hire, business car leasing is a great option to think about when compared to buying.

At LeaseLoco, we make it our mission to find you the best business car lease deal to suit your needs. We compare thousands of car leasing deals from high-quality leasing companies (all FCA-registered), letting you get behind the wheel of a brand new car by giving you the hottest car leasing deals on the market. What's more, we rank all business car lease deals out of 100 using our unique Loco Score algorithm – letting you see what's hot and what's … not! Or maybe you’re looking for a van? Not to worry, we've got plenty of business van lease deals available as well!

What Is Business Car Leasing?

So just how does business car leasing work?

A business car lease agreement (also known as a business contract hire agreement) is pretty similar to a personal car lease. You select your deposit, mileage, and then arrange to pay a series of fixed monthly payments for a set period of time on your new business lease car or van. Simples! The difference with business car leasing deals is that the lease is on behalf of a business and not for your own personal use. In other words, a business lease means that the car is going to be leased in your company's name. At the end of the fixed monthly payments, you'll return the business lease car to the leasing company – same as with a personal car leasing deal.

Once you've found a business car lease deal that takes your fancy and have gotten in touch with our leasing partners, you'll need to provide proof and details of your business, as well as pass a credit check. For more information on how all this works, you can read our FAQs for leasing in general. The greatest thing about business car lease deals is that you won't have to pay any VAT with the fixed monthly payments (assuming that the business lease car isn't used for personal use). But if the car is used for both business use AND personal use, you'll still be able to claim 50% of the VAT back (if VAT-registered). In addition, your fixed monthly payments on the business lease car are ‘off-balance sheet’, so they won't be shown as an asset or liability – meaning you won't look any worse off for investors looking to fund your business!

Business Car Leasing Eligibility

Business car leasing usually works best for these types of businesses:

• Sole traders
• VAT registered companies
• Limited companies
• Private limited companies
• Partnerships
• Public limited companies
• Charities

If you're not one of those, you may still be considered eligible for a business car lease. Our leasing partners will be able to advise you further on which business car leasing deals are available to you.

You will be asked to provide proof of your business: bank statements, audited accounts, proof of ID and address, along with any other basic company information. Similar to personal car leasing deals, you'll need to pass a credit check and be approved by the finance company who funds the business lease deal. That's because they want to know you'll be able to make the payments.

So if you're a company looking to get a business lease deal, it's vital that you have some financial history, and we know this can be a challenge for some new businesses. If you don't have much or any financial history, you'll likely be asked for more information in order to prove that you can make the fixed monthly payments for the business car leasing deal, such as providing a realistic cash flow forecast or possibly a director's guarantee.