A finance lease is an alternative to hire purchase that offers more flexible way of funding a Mercedes-Benz or smart, car or fleet. It is especially suitable for VAT registered companies who want to handle the administration of their vehicles, and have the asset shown on their balance-sheet.
This VAT beneficial option allows the business to choose to pay the entire cost of the Mercedes-Benz or smart over the hire period (including interest charges) or pay lower rentals during the contract and pay a final rental based on the anticipated resale value of the vehicle.
Finance leases are popular with companies who want to avoid the large initial outlays required by many funding options. A finance lease can be agreed over a term that suits your company’s cash flow.
The Mercedes-Benz or smart car is hired to you for a fixed period without the option of ownership. Payments cover both the initial cost of the car and the finance charges. At the end of the contract the vehicle must be sold to an independent 3rd party (or alternatively we can dispose of it for you). You receive the proceeds from the sale of the car, less a small fee.
Business finance lease – Benefits to your business
- Low initial costs and monthly payments
- Use of the car without ownership
- Elimination of capital expense
- Improved cash flow with fixed monthly rental
- VAT reclaimable depending on usage
- Fixed interest rates
- Rentals allowable against taxable profits (proportionally)
- Use of Mercedes-Benz or smart without a large capital outlay
- Benefit from the net sale proceeds
- Service and maintenance packages available
Business finance leasing – Call for a personalised quote
Find out if a finance lease is right for your business by calling 0844 375 3263. We have an extensive range of funding options for Mercedes-Benz or smart cars that can be tailored to suit your company’s individual requirements.
Browse our best Mercedes-Benz and smart business contract hire and car leasing deals here.
* Only 50% of the VAT relating to the finance element is recoverable if car has private usage. 100% if business use only.

