Cool Stuff at WotsKool!

I have just come across an awkward video that was uploaded onto Youtube. I hope this guy was not van leasing this vehicle as he will be in a lot of trouble.

Business fleet managers have enjoyed the benefits of leasing their commercial vehicles for a long time. But now, many sole traders are taking advantage of some outstanding van leasing and contract hire deals and, for many, these are making the difference between staying in business and going under.

The benefits to business of leasing over outright purchase are well known. Importantly, for the small business person, the fixed, known monthly payments enable them to forecast their monthly expenditure accurately. Also, the initial payments are much less than is often expected when buying a van or commercial vehicle using a bank loan.

Van leasing contracts can include all maintenance costs and often will include road tax and other optional extras such as breakdown rescue and even replacement vehicles in the event of a problem.

Mr Saunders, a self employed carpenter, said:

“I desperately needed a new van but my cash flow was bad due to some customers not paying up on time. I thought I’d have to stop trading but then I found out about the advantages of leasing over buying and now I have a brand new Mercedes Sprinter on an affordable van leasing contract. It has truly saved my business.”

As well as the clear cash flow advantages leasing also brings a number of tax benefits which can be beneficial to the sole trader, particularly if they are registered for VAT.

So, before you go and take out another bank loan for a second hand van on outright purchase, do yourself and your business a favour and check out the latest van leasing deals. You will be pleasantly surprised to find what you can get for your money.

Not too long ago none of us here in the UK had even heard the term ‘credit crunch’. But now, thanks to endless coverage in the media, we all know that it means that it is becoming increasingly difficult to borrow money, particularly if you have a less than perfect credit rating.

To borrow almost any amount of cash your credit rating will be assessed. This means someone will poke around into your financial background to determine how much you currently owe and whether you have any outstanding bad debts.

In recent years it has been exceptionally easy to borrow funds for almost any purpose; a new house, a new car or even a holiday. This is because the economy has been booming. Wages have been relatively high, employment levels have been high and everything has been on the up and up. It became possible to buy a property and borrow enough money for a new car and a holiday, even if you had no money of your own, just a job.

Things have now changed. Irresponsible lending in the U.S. has led to a tsunami of mortgage defaulters. People were inappropriately sold mortgages that they have been unable to maintain. This is mainly a U.S. problem because they failed to regulate their lending activity effectively.

The knock on effect of this is that the news media, ever hungry for the next big panic story, are making the situation this side of the Atlantic a lot worse than it really is by exaggerating the current situation. They love sensational news and an economic ’slow-down’ simply isn’t sensational enough.

So what can you do to insulate yourself from the effects of this supposed ‘credit crunch’? Rather than buy expensive items like houses and cars you might consider renting for a while, until the economic climate has at least stabilised, which it will. Rather than buy that new car you might consider leasing. And if you are in business and you need commercial vehicles to keep your business going you would do well to look at the variety of incredible van leasing deals available today.

Whatever you do - don’t panic!

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