IntroductionIf you're looking to buy a new vehicle and require finance, the salesperson will offer you two options: lease or purchase. Great. So which one is right for you and your business?
The most important thing to remember at this point is that over the normal period (usually 3 years) for lease or hire purchase:
The overall cost of owning or leasing a vehicle works out to be approximately the same over the three years when all cost factors are taken into account.
Leases and hire purchase (HP) or loans are simply two different methods of vehicle financing:
- Leases finance the use of a vehicle,
- Hire Purchase finances the purchase of a vehicle.