What is Business Contract Hire?
Business Contract Hire (BCH) is designed for small to medium businesses and fleet managers who would like to drive a new Kia without the risks and impacts of buying the vehicle outright. BCH offers businesses fixed monthly costs and no depreciation risks. Our vehicles come with a full manufacturer's warranty and all repairs and servicing is carried out by Kia technicians using Kia Genuine Parts. At the end of this period, you are not responsible for the disposal. You simply return the car without further cost, providing it has not exceeded the agreed mileage and the condition is reflective of its age and mileage. There is no option to own the car at the end of the contract.
How Business Contract Hire works -
1. Pay an advanced rental - Pay an initial upfront rental, the amount is dependant on the monthly rentals, usually the equivalent to 1 to 12 monthly rentals.
2. Set your terms - Set your contract length and mileage terms to suit your needs. BCH agreements can run from 18 to 48 months in duration.
3. Pay monthly rentals - Pay fixed monthly rentals for the agreed contract length. The rentals include Road Fund License with servicing and maintenance options available for an additional cost.
4. Return your vehicle - At the end of your contract you are not responsible for the disposal, you simply return the vehicle without further cost, subject to mileage and vehicle condition. There is no option to own the vehicle at the end of the contract.
You should also know:
- All agreements include road fund license, full manufacturer's warranty and Kia Genuine Parts are used for any repairs or services.
- Business Contract Hire agreements can run from 18 to 48 months in duration.
- Both excess mileage and vehicle condition charges may apply.
- VAT registered companies are able to reclaim 50% on the finance rental where employee private use is permitted, or 100% if the vehicle is solely for business use.
- Maintenance of the vehicle can be included in your monthly rental as an added option. 100% of the VAT on the maintenance rental can be reclaimed.
- Business Contract Hire is available to Limited Companies and Limited Liability Partnerships.
- Contracts are subject to a minimum of 18 months.
- There is no option to own the vehicle at the end.
Let our experts guide you through the process and tailor a quote specific to your business needs.