How does business contract hire work?
How does business contract hire work? The monthly rental charge is calculated based upon the cost of the vehicle, the contract period and the anticipated resale value. It takes into consideration the predicted mileage, service and maintenance costs, together with any additional services such as relief vehicles.
Under a contract hire agreement the leasing company retains ownership of the vehicle at all times and therefore continues to absorb the subsequent risks such as unforeseen running costs, uncertain resale values and disposal
Companies can lease vehicles with or without a maintenance agreement, and contracts can also include a range of additional services that will be tailored to meet the specific needs of your business. These services may include one or more of the following:
- Direct driver liaison.
- Monitoring of fleet running costs and provision of analytical data.
- Alerts to exceptional events as and when they happen.
- Reduced vehicle maintenance costs through our approved, national network of providers.
- Maintenance management by qualified engineers who authorise work, check quality and vet every cost.
- Whole Life Cost (WLC) analysis to ensure your organisation gains maximum value from your fleet policy.
- Accident management services to deal with administration, control repair costs and provide risk management/cost reduction advice.
- Warranty and post-warranty claims management.
- Competitive daily rental.
- Reallocation programme.
- Vehicle disposals, handled by experts.
- 24/7 helpline for service bookings, breakdown/recovery and driver assistance.
- Fuel card management.
- Online mileage capture.
Your Account Manager will help you with all of your business car leasing requirements giving you a ‘one-stop-shop’ for all of your vehicle fleet management needs. For more information about how does business contract hire work, please contact us or call 0800 091 4252.