What is Business Contract Hire (BCH)?
Business Contract Hire is a popular vehicle leasing solution for companies that want access to new cars or vans without the burden of ownership. It allows businesses to lease a vehicle (or an entire fleet) for a fixed period -typically between 2 to 5 years, while making set monthly payments based on mileage and contract length.
At the end of the agreement, the vehicle is simply returned to the funder with no need to worry about resale values or depreciation. This makes BCH a cost effective and predictable option for businesses looking to maintain a modern fleet without tying up capital.
It’s suitable for sole traders, limited companies, and partnerships. Whether you’re leasing one van or several company cars, BCH can offer real financial and operational benefits-particularly when it comes to budgeting, tax efficiency, and flexibility.
Want to know more?
If you're exploring options for your next business vehicle or looking to review your current fleet, get in touch today. We'll walk you through everything and help you make the right decision for your business.
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Predictable payments help with cash flow and budgeting - making it easier to manage your business expenses.
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You don’t own the vehicle, so you’re not exposed to any drop in resale value.
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Up to 100% of the rental cost can often be claimed as a business expense (depending on CO₂ emissions), and VAT registered businesses can reclaim up to 100% of the VAT on maintenance and 50% on rentals.
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Keep your business running efficiently with the latest models, improved fuel economy, and modern tech.
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Add servicing, maintenance, and tyre cover to simplify running costs even further.
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When your lease ends, it’s important to be aware of potential hand-back charges. These may include costs for excess mileage, wear and tear beyond normal use, or any damage to the vehicle. We’ll provide full details upfront so you understand any responsibilities and can avoid surprises at the end of your lease.