CarLease UK recognise that car leasing (by which we specifically mean Contract Hire) is the fastest growing vehicle procurement method for businesses. If you are a sole trader, partnership or limited company looking for a vehicle, leasing should definitely be considered as part of the leasing v buying debate.

Why should my business lease a car?

  • Fixed period of car ownership ranging from 2 years to 5 years;
  • Option to include a maintenance package to cover servicing, maintenance and tyres i.e. "fully-maintained" lease;
  • Fixed rentals for the whole package, making budget planning easier i.e. certainty of cost/fixed cost motoring;
  • Flexible terms to meet your requirements with variable duration and mileage terms;
  • (as at the time of this article) Leasing removes depreciating assets from the balance sheet and the associated risks of owning vehicles;
  • If VAT registered, your business can claim back a proportion of the VAT on the finance rentals and the maintenance rentals; and
  • Above all, no depreciation concerns.

Why should my business buy a car?

  • The business can own the car as an asset;
  • Flexibly sell the car at any time during ownership; and
  • The car can incur as much, or as little mileage, as you require.

Both leasing and buying a vehicle possess a number of key benefits. However, both do have drawbacks which need to be carefully considered.

Drawback of my business buying a car?

  • Typically requires a large upfront payment/deposit;
  • You are subject to the uncertainties of depreciation;
  • Inability to include a maintenance programme (and therefore undertake cost of maintaining the vehicle);
  • Your business will be unable to secure a preferable level of “fleet discount”;
  • You have to undergo the hassle of selling the vehicle.

Drawbacks of a business leasing a car?

  • Contract is relatively inflexible – your business will need to pay an early termination fee to end the contract;
  • There are costs/penalties at the end of the contract if you do not maintain your vehicle in accordance with the funder’s requirements. If the vehicle exceeds the contracted mileage, excess mileage penalties will apply; and
  • You do not own the vehicle.

As you will see above, both methods of car procurement offer positives and negatives to any business. That being said, over the last 15 years car leasing (contract hire) has become the fundamental product of choice for business users when funding their cars. At the heart of this decision, is that businesses need certainty of cost for effective financial planning and businesses simply do not have the time to organise the buying and selling of cars.

What does my business need to do to organise a quotation?

In terms of producing a quote, if you could review the below before speaking with the team at CarLease UK we should be able to assist you quickly with the appropriate information:

  • Vehicle – which car are you seeking to procure? It is important to identify a particular car in order to produce a quotation;
  • Term – how long do you need to lease the vehicle for? As this is a long-term vehicle procurement method, the minimum contract period is 2 years and the maximum is 5 years. Generally, the longer you lease the vehicle for, the cheaper the monthly rentals are;
  • Mileage – how many miles do you drive per annum? The cost for the vehicle will depend largely on the miles covered, as this inherently linked to the depreciation of the vehicle. The more miles covered per year, the more expensive the rentals will be; and
  • Maintenance – while a contract does not have to include a maintenance package (to include the cost of servicing, maintenance and tyres), it is highly recommended to include this as part an agreement. As all contract hire vehicles must be maintained in accordance with the manufacturer’s recommendations it is often much more cost effective to include this into the contract, as opposed to doing this yourself.

In terms of finance, CarLease UK work alongside Network (part of Leaseplan), Lex Autolease and Novuna Vehicle Solutions, the UK’s leading car funders. As such, not only can we offer the strongest deals but we can also deal with a variety of requests, ranging from high mileage quotations to complicated large fleet management. We are confident our dedicated account managers will be more than capable in dealing with your bespoke requests.

While this should hopefully answer some of your queries, if you do require any further information about any of the above, please do not hesitate to speak with the team at CarLease UK today. Contact us by calling 01942 608 606 or by emailing

Back to top

Help, Assistance and Car Leasing Advice

Lease with Confidence @CarLease UK!

Browse All Manufacturers

We've got Choice in Abundance. You Pay One Fixed Cost!
Help & Leasing Advice | Lease Deals & Special Offers

Browse the latest Electric Lease Car Deals or Hybrid Lease Car Deals here @CarLease UK

Lease Car Reviews & News @CarLease UK - Helping Customers with Car Choice...

  • Choose from Every Make & Every Model
  • Personalised Factory Order Vehicles & In-Stock Leasing Deals
  • Optional Maintenance-Inclusive Contracts
  • Free Nationwide Delivery Service Included (Areas Covered)
  • Excellent Customer Service as Standard
  • Read our Trust Pilot Reviews or Read Our Blog
  • Select your Initial Rental/ Deposit from Low to High
  • Choose your Lease Terms from 24, 36 or 48 Months
  • Select your Annual Mileage from Low to High

We have over 50 Years in the Car Leasing & Automotive Industry!
Call - 01942 608 606 or Contact Us for leasing help & advice.
& Regulated By
Broker Member
Full Data
CarLease UK

CarLease UK, Car-E-Lease UK, VanLease UK and School Minibus Leasing UK
are trading names of CarLease (UK) Ltd.

Latest Special Offers - Car-e Alternative Fuel Leasing - Leasing Help & Advice - Contact Us

Browse our Popular Brands or the latest Mercedes Deals | Audi Deals | BMW Deals | VW Deals | Range Rover Deals | Nissan Deals

CarLease (UK) Ltd t/a CarLease UK, e-car lease and VanLease UK is Authorised and Regulated by the Financial Conduct Authority – our Firm Reference Number (FRN) is 706617.

Carlease (UK) Ltd t/a CarLease UK, e-car lease, VanLease UK and School Minibus Leasing UK is a credit broker and not a lender and will introduce you to a limited number of finance providers which have been carefully selected by us - please note that we do not provide independent financial advice. The finance providers that we use may make payment to us if you elect to enter into an agreement with them. The amount we receive will affect what you pay for your vehicle. The commission received may or may not be capped in accordance with that finance company’s policy. We may also receive an extra amount based on how much business we provide to that finance company, the types of products you take from the finance company and the quality of our service. For Regulated Customers you can ask us about the payments we receive from the finance company so long as this is in good time before the agreement is made. Failure to maintain rentals may result in the vehicle being withdrawn (this may affect your credit).

All images on this website are for illustrative purposes only and may not reflect the actual vehicle which is delivered to you. All prices shown are subject to change at any time and are subject to credit status and vehicle availability.

FRN 706617 | BVRLA Membership No. 1471 | Data Protection Reg. ZA088399 | VAT No. 200422089 | Registered in England 09312506

Our Registered Office - Kings Business Centre, Warrington Road, Leigh, Greater Manchester, WN7 3XG

Copyright 2021 © CarLease (UK) Ltd. All Rights Reserved

Contact Us - Call 01942 608 606

CarLease (UK) Ltd work alongside the select finance companies:

CarLease (UK) Ltd have a partnership and affiliation with: