Pros and cons of lease hire over buy

gdess59

Need a new car. I am a sole trader and use the car daily for work.

What are the advantages of lease hire over buying new, and can i claim the monthly cost back off the tax man?

flashg67

Unless there some leasing experts on here, with all due respect to all, I'd suggest using the 'find a member' link at http://www.bvrla.co.uk/Business/Default.aspx to clarify re the tax position.

Some useful info in their guide - http://www.bvrla.co.uk/Business/Guide_to_vehicle_funding.aspx

Some advantages though are: agreed upfront fixed costs (including maintenance if you want it), replacement vehicle options so you're not relying on courtesy car/hire cars, drive a newer/better/more reliable car, and the leasing company takes any hit if the market crashes and they get their sums wrong (though they'll make a profit if it goes the other way!).

weeyinathame

I am in the same boat. What my research so far says is leasing not the best way, hire purchase would be better but it also depends on the type of car you want and how long you want it for. Are you vat registered?