If your business requires a fleet of vehicles, it’s needless to say that the fleet is going to be a big part of the operation – and the budget. Not only does your fleet of vehicles help you to generate cash flow, but it also generates expenses in running costs and repairs.
Car allowance is a set amount offered to you by your employer to contribute to the use and expense of a motor vehicle aka car. And there are no limits or restrictions on how you use the car.
Chattel mortgages are one of the most sensible ways of financing a vehicle. All over the world, businesses and individuals alike use chattel mortgages to purchase new and used cars, so there’s no wonder why you’re considering it too.
These days, even if you can’t or don’t want to buy a chariot (uh, we mean vehicle) outright, then that’s not a problem. We have the magical aid of car finance. But that raises another question: to finance or not to finance? In other words, should you finance your vehicle or buy it outright?
It’s in everyone’s best interests to try to minimise their tax, and claiming tax on your vehicle is one of the ways we can do this – provided you meet the requirements. Most people want to try and claim their car expenses for work, but they’re unsure of how to do it.
Let’s take a look at some of the factors you should consider before you finance your car.
