Business Contract Hire, also known as business van leasing, is a flexible finance solution that could help you avoid the risks associated with vehicle ownership and reduce business costs. BCH is a favourite fleet van leasing option in the UK.
Business Contract Hire is basically a long-term van rental, but can also apply to business cars or pickup trucks. A business van lease contract lasts between 24 and 60 months, after which the vehicle must be returned to the funding company.
A BCH agreement involves an initial rental, fixed monthly rentals for the duration of the agreement, and annual mileage limits.
The low initial rental costs make Business Contract Hire agreements popular. Compared with how much you might have to spend when you buy a van outright, this is a considerable saving. In addition, business owners appreciate that the BCH eliminates depreciation worries and that monthly rentals include road tax. Furthermore, BCH offers an optional full vehicle maintenance package for an additional monthly fee.
A Finance Lease is another option to consider if you're interested in leasing a van or a pickup truck. You can compare the two by clicking the button below.
BUSINESS CONTRACT HIRE VS FINANCE LEASE
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