XL Business Finance
Follow us on Facebook Follow us on Twitter Follow us on LinkedIn

Vehicle Hire Purchase

Vehicle hire purchase, Manchester, Liverpool, London

Hire purchase is a popular and traditional method of finance whereby payments of capital and interest are paid over the term of agreement. The user may be classified as the owner for balance sheet purposes, but title of ownership remains with finance company until full balance of hire agreement is discharged. On final payment together with a nominal option to purchase fee, legal ownership passes from finance company to user. The capital cost can be written down for tax purposes on a reducing balance basis. Interest is also allowed against tax on this funding method. Monthly payments do not carry VAT.

What are the benefitsof vehicle hire purchase?

This is ideal for non-vat registered companies who would like ownership of the vehicle at the end of contract. The monthly payment can be tailored to meet your personal requirements by varying the initial deposit. i.e. The larger your deposit the smaller your monthly payment figure.

Contract Hire

Finance lease

Lease purchase

Personal Contract Purchase




We trust that this information will be useful to you. To discuss the right package for you please contact us today