How I run my business van - Tony Frost of A P Frost House & Garden Renovation
Van: Mercedes-Benz Sprinter 313 CDI lwb
Financing method: Lease purchase over five years
Tony Frost is a sole trader. He has been running his west London renovation business for 35 years.
Tony is clear on two things. He requires a van that can cope with 4.2m lengths of timber, take two tonne pallets of turf, and double as a workshop when it’s wet. And it must also look smart.
“I get all my work by recommendation,” says Tony. “The last thing I want to do is turn up in a rusty old van. It simply isn’t good business.”
Tony bought his van on a five-year lease purchase deal. There is one year left on the lease. “I like the Sprinter. It’s big, tough and smart. But it’s too expensive for me to buy outright. By structuring the payments in this way meant I could afford it.”
Before Tony took delivery, he paid to have the interior boarded out. “You need a flat floor to slide out pallets and heavy items,” says Tony.
At the end of the lease agreement, Tony is considering using his current Sprinter as a part-exchange deposit on a new model.
The advantage to Tony of his lease deal is:
- Structured payments smooth cash flow
- Allows affordability of correct van for his needs
- Interest on monthly payments charged to profit and loss account
- Tax allowance on capital cost of vehicle
Further information
- Portrait courtesy of www.magnusrew.co.uk
