The lowdown on finance lease van funding
- Minimum capital expenditure;
- Flexible funding: choose low monthly payments followed by a ‘balloon’ payment; or larger payments and get a rebate at the end of the agreement
- Accurate monthly budgeting;
- A fixed interest rate is available on some contracts;
- Reduced administration;
- Optional replacement vehicle cover in event of breakdown
- For more on finance lease read Finance lease on a van
WHEN the time comes to buy a new van, whether just the one or a fleet of them, it’s vital to find the most suitable way for your type of business to fund it.
At the time of purchase there may or may not be some vantastic deals but there are certainly a variety of different ways to pay for the new vehicle.
One of those is finance lease van funding. And it worked in the case of this fleet.
South West Water had previously outsourced its leak detection operation and when it decided to bring it in-house to show its commitment to this strand of the business it needed 54 new vans – specially fitted out at that.
All 54 Peugeot Partner SE L2 HDi92 vans were supplied by local Peugeot dealerships Hawkins Motors in St Austell and Truscotts Group, with conversion by Hawkins – emphasising South West Water’s commitment to local suppliers – and equipped with specialist leak-detection equipment and traffic management signs and bollards to cater for roadside incidents.
That could be a big spend in one hit but South West Water has a considerable van fleet, such is the nature of its business, and since 2001 Peugeot has been its primary supplier of light commercial vehicles.
Bespoke five-year 100,000-mile finance lease van funding scheme and maintenance agreement
And so the 54 Partner vans have been funded by Peugeot Contract Hire via a bespoke five-year 100,000-mile Finance Lease van funding and maintenance agreement that was specifically developed for South West Water.
Mark Karkeek, South West Water transport manager, said:
“Faced with the opportunity to specify a whole new bespoke range of vans for this purpose provided us with a chance to do things quickly and utilised the expertise of our suppliers, helped by having first-hand experience of the durable Peugeot Partner van. Getting them modified for purpose by Hawkins, our local Peugeot dealer, who converted the vehicle with our specific and exacting conversion requirements, was greatly appreciated.”