Honda Business Contract Hire

Honda Contract Hire is a simple way for business customers to fund a new Honda without purchasing the vehicle outright. You pay fixed monthly rentals for an agreed period, while the leasing company owns the vehicle and takes the risk associated with its resale at the end of the agreement.

Honda Contract Hire provides businesses with predictable monthly costs without the depreciation risk associated with owning a vehicle.

Agreements are generally available for up to five years, with three-year agreements being particularly common. Depending on the agreement, maintenance, tyres, road fund licence and roadside assistance can also be included within the monthly rental.

At the end of the agreement, the vehicle is returned to the leasing company, subject to the agreed mileage and vehicle condition requirements.

Contract Hire can also offer financial benefits for businesses. Rentals may be treated as a business expense and offset against taxable profits, subject to the applicable tax rules. Where a vehicle has private use, 50% of the VAT on the finance element and 100% of the VAT on the service element may normally be recoverable.

For businesses looking to control cash flow and avoid tying up capital in company vehicles, Contract Hire can provide a straightforward alternative to purchasing a vehicle.

You can also find out more about Contract Hire on the Honda website.

Other Honda Finance products

For private customers, Honda Financial Services currently offers Personal Contract Purchase (PCP) and Hire Purchase (HP).

Further Information

If you would like to discuss Business Contract Hire or other ways of funding your next Honda, please contact our Business Manager, Mark Hannay, on 01932 877234.