FLEXIBLE FUNDING SOLUTIONS FOR THE MAN TGE VAN
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CHOICES
From MAN FinancialServices
Working with you and your business
Negotiable initial deposit Monthly payments to suit you
A range of end of contract options
How Choices works
This product is broken into three parts and offers both flexibility and simplicity at the end of your agreed contract term. We will work with you to create the solution that’s right for your business and at the end of the term you can choose the option that works best for you.
• An initial deposit – negotiable but typically up to 10%
• Monthly payments – over a period to suit your requirements
• A guaranteed future value – giving you choices at the end of your contract term:
- Pay the guaranteed future value of the vehicle to give you total ownership
- Extend the contract term, with no additional interest charge until the guaranteed future value has been amortised*
- Return the vehicle to MAN FinancialServices**
- Part exchange or sell the vehicle to release any equity gained
*conditions apply.
**vehicle will be inspected to ensure it meets our standard return conditions and agreed mileage.
Key benefits
• Low capital outlay required as deposit
• Guaranteed Future Value known from the start of the agreement
• Flexible contract to meet your term and mileage requirements
• Simple and quick to arrange
CONTRACT HIRE
From MAN FinancialServices
Cost-effective vehicle operations without ownership
Low Initial Rental Monthly rentals (from 12 to 60 months) Return the vehicle
How Contract Hire works
Contract Hire from MAN FinancialServices offers a complete package, enabling you to hire the use of a commercial vehicle against a fixed period and anticipated mileage. When the contract period ends, you simply return the vehicle to us and, providing it meets the return conditions and mileage parameters agreed at the start, you have nothing more to pay.
You can configure your contract to include any of the following additional options, giving you a complete, worry-free solution:
• Road Fund Licence over the contract period
• Repair and maintenance
• Replacement tyres for the vehicle#1
• European breakdown cover
• Collection and delivery
#1 In accordance to fair wear and tear policy
1 The above note is intended as a summary of the principles of VAT and tax in this complex area. It is not intended to be and should not be construed as constituting tax advice and we make no representations, warranties or guarantees, whether express or implied, that the content is accurate, complete or up-to-date. MAN FinancialServices UK Ltd. cannot be held liable in any way for any reliance upon this document, whether in contract, tort (including negligence), breach of statutory duty, or otherwise, even if foreseeable. For specific tax advice relating to your particular set of circumstances, you should contact your own HMRC officer or your usual VAT / tax advisers.
Key benefits
• Low initial outlay
• Fixed cost that includes repair and maintenance
• Less administration at the end of the contract
• Off Balance sheet funding
• No additional final payment at the end of the agreement (subject to excess mileage and fair wear and tear)
• Rentals are allowable against taxable profits1
• An element of the VAT on rentals may be recoverable by VAT registered businesses1
FINANCE LEASE
From MAN FinancialServices
Tax-efficient vehicle acquisition
Initial Rental Monthly rentals (from 12 to 48 months)
Extend the lease or sell the vehicle to a 3rd party
How Finance Lease works
Finance Lease from MAN FinancialServices allows you to acquire a new MAN vehicle in a tax-efficient way meaning you can avoid drawing on your company’s capital reserves.
This is an on-balance sheet finance product. Payments can be tailored to suit your business cash flow needs, with flexible deposits and a hire period from 12 to 48 months.
• Rentals can be offset against taxable profits
• You can also benefit from writing down allowances, which is reflected in our competitive rates
• This option can also be fully amortised or have final payments based on the future value
• VAT spread over the term of the lease (VAT applies to rental, not purchase price)
• At the end of the agreed term, you have two options:
- Extend the lease for an annual peppercorn rental
- Sell the vehicle and retain the majority of the sale proceeds
Key benefits
• Fixed payments for ease of budgeting
• Tax benefits
• Shows as an asset on your balance sheet
• The VAT is added to each rental rather than being paid at the outset
• Most of the benefits of ownership
HIRE PURCHASE
From MAN FinancialServices
Flexible and cost-effective funding
Monthly payments (from 12 to 60 months) Own the vehicle Pay a Deposit
How Hire Purchase works
Hire Purchase from MAN FinancialServices allows you to efficiently own a MAN commercial vehicle, spreading the cost to suit you and your business. We offer flexible deposits and a hire period from 12 to 60 months. This option allows you to keep bank funding lines for core business investment.
Monthly payments can be reduced by deferring part of the cost of the vehicle to the end of the agreement, in this case a balloon payment will be agreed. This means you can own the vehicle in the long-term whilst minimising your monthly cost in the short-term.
After making the primary period payments, and settling the balloon payment if this option was agreed, there’s a small option-to-purchase fee enabling the title of the vehicle to pass to the customer.
Key benefits
• Customers can make full use of Annual Investment Allowance as well as Writing-Down Allowances
• Interest payments are tax-deductible
• VAT can be recovered on the asset purchased
• Customers can benefit from additional lines of credit
• Shown as an asset on your balance sheet Watch more
OPERATING LEASE
From MAN FinancialServices
Tax-efficient vehicle leasing
Low Initial Rental Monthly rentals (from 12 to 60 months) Return the vehicle
How Operating Lease works
An Operating Lease agreement from MAN FinancialServices allows you to lease a vehicle for a specific period which is shorter than the asset’s working life. As well as low-cost fixed monthly rentals, you hold no risk on the resale of the vehicle at the end of the agreed term for this off-balance sheet solution.
This option offers the lowest pre-tax rentals of any finance products offered by MAN FinancialServices. You have all the benefits of using a vehicle on the road, whilst bearing no risk of depreciation. At the end of the agreement you simply return the vehicle to us and, providing it meets the return conditions and mileage parameters agreed, there is nothing more to pay.
Key benefits
• Low initial outlay
• Obsolescence is avoided through fixed period funding
• Rentals are allowable against taxable profits
• Risks of ownership and depreciation are removed*
• Off-balance sheet funding
*Standard return conditions must be met
Correspondence address
MAN Financial Services UK Limited
Frankland Road
Blagrove
Swindon
SN5 8YU