Do you pay your staff 5 yrs in advance?

Then why do it with a van?

Before you write a cheque and pay in full for a van, consider the impact that this will have on the cashflow of you and your business, and the widespread tax implications.

Paying outright for a vehicle can cost you dear sometimes. Nobody does it any more. If you need to spend money in this tax period, do it as advance rentals, which count as a tax break.
Ten reasons to lease rather than write a check.

1. Many manufacturers offer you a bigger discount, as it helps protect resale value.
2. Leasing is 100% tax efficient
3. It keeps the cash in your company and we all know that "Cash is King."
   It frees working capital
4. Advance rentals can be put down, if money is needed to be spent in this financial year.
5. A lease is considered an expense whereas a loan is considered a debt.
6. When you buy, depreciation is done over several years. A lease is done the same year.
7. Funding is often easier. To buy often needs a business plan and several years credit. A lease requires normally just six months credit history.
8. Avoid the technology trap. Keep up to date, when new models come out.
9. If you are planning on expanding or selling the company, leasing makes it look more attractive due to a higher net worth.
10. Compared with HP the initial deposit is much smaller, and the VAT can be paid monthly, and claimed back quarterly if you are VAT registered.