Contract Purchase

Contract Purchase

Avoid the risk of depreciating assets

Companies who want to own their vehicles, but avoid the risk of depreciating assets often prefer this option. This method of funding is ideal if you cannot fully reclaim VAT and is particularly suitable for financing the more prestige vehicles on the fleet.

Key benefits of Contract Purchase: Single, fixed monthly payment takes encompasses the value of the car, depreciation rate, contract term, mileage and any additional services you may wish to build in Maintenance and value added services can be included Capitas will guarantee the resale value of the vehicle at the end of the contract purchase agreement for a known, fixed amount Choose to include maintenance cover, with full breakdown and recovery service, keeping drivers on the road without involving the company in complex or expensive administration The big difference between Contract Purchase and Contract Hire is that you have the option to purchase the vehicle at the end of the contract period. A 'balloon payment' is payable which, once settled, makes you the legal owner of the vehicle. Alternatively you can return the vehicle to Capitas.