If you need the use of a van for your business, it will take a large chunk out of your profit, so it may be worth considering a lease.

Another option if you don’t require the use of a van every day is to rent one. Many rental companies offer deals for businesses. If you are looking for van rental Bristol, there are several specialists such as www.autolynecarvanrental.co.uk/van-hire-bristol who have vehicles to suit.

Advantages and Disadvantages of Leasing

When you lease a business van, you pay to use it for the length of the lease, which is usually between two and three years. You are not the registered owner, but are the vehicle’s registered keeper and pay for this use in monthly instalments.

With leasing, you know exactly how much you’ll be paying each month and you have the advantage of being able to have a new vehicle every few years and can upgrade to the latest model. Most lease agreements come with the option of a maintenance package, meaning that all the servicing is included in the monthly payment.

Drawbacks include that you have to agree to a mileage limit and you’ll have to pay for any excess. If there is damage when you hand the van back at the end of the lease, this will also incur a charge. The British Vehicle Rental and Leasing Association says that lease companies and customers have to agree on what condition the vehicle is in and note any damage on the collection sheet.

Advantages and Disadvantages of Buying

If you own a business van, you have paid for it outright and it’s yours to do what you want. This means you can sell it when you want to, or lend it to someone else.

However, you need to find a large amount of cash upfront, which could impact cash flow. As with all vehicles, the minute you drive them off the forecourt they begin to depreciate in value. In addition, you’ll be liable for any servicing and repair costs for the duration you have it.