Van leasing is a simple way for businesses and individuals to drive a new van without buying it outright.
Instead of paying a large upfront cost, you pay a fixed monthly rental for a set period . . . then return the van at the end of the agreement.
It’s widely used by:
Tradespeople
Small businesses
Fleet operators
Sole traders
What is van leasing?
Van leasing (often called contract hire) is a long-term rental agreement. It offers some advantages and some drawbacks you need to consider before deciding to lease.
Advantages
Enjoy a new van with each contract
Leasing allows you to upgrade to a new van or model without the up-front costs. This keeps you in an a relatively new vehicle with all the latest technology and features
Include a maintenance package in your lease
Leasing already minimises the main costs for motoring - depreciation. However, a maintenance package gives you a predictable, monthly cost for keeping your vehicle in tip-top roadworthy condition
Lower the cost hurdle for the van you need
Saving up a lump sum for expensive vans, or waiting for finance loans to cover costs can lead you to missing out on the vehicle you need, or costing your business more in the long term. Leasing ensures you can get the van you want now, not later, for a simple monthly fee.
Disadvantages
Your monthly cost is based on mileage
High-mileage businesses will obviously cost more for leasing, but this can be configured at the leasing stage. It's important to work out your accurate mileage expectations and contact us straight away if you think that will be exceeded. It will likely work out cheaper paying an agreed price for extending your mileage rather than excess mileage at the end of your contract.
You don't own the van at the end of the contract
A standard business contract hire agreement means you return the van at the lend of the lease period - you don't own it. Similar to renting it for an extended period (the time specified in the lease). If ownership is needed, LeaseCar offers other arrangements for businesses which might be more suitable.
You must return the van in good condition
The value of the van is based on its condition, so you must return it in a condition commensurate with its age and mileage or there may be additional fees. See our guide on what counts as 'fair wear and tear' for leased vehicles.
How does leasing a van compare to buying?
Leasing vs Buying a van
Leasing
Lower upfront cost
Fixed monthly payments
No resale hassles
Access to newer vans
Buying
Full ownership
Asset on your books
Higher upfront investment
Exposure to depreciation
For many businesses, leasing protects cash flow and reduces risk.
What is the van leasing process?
Leasing is relativity simple: you lease a van, pay for fixed monthly payments and return the vehicle at the end of the term agreed.
Five simple steps take you through the process
Choose your van
Pick a van that suits your work and usage. Popular options include:
Ford Transit Custom – versatile all-rounder
Ford Ranger – ideal for mixed work/off-road
Toyota Hilux – durable and reliable
Land Rover Defender – rugged specialist use
Kia PV5 – newer electric option
Build your lease and provide details
Choose your contract length, mileage and provide details and financial information for your credit application.
Van delivery
Your van is delivered free to your home or business address.
Drive and enjoy!
You pay fixed monthly rental payments and use the van as agreed.
Return your van
At the end of the contract, return the van in fair condition and either consider a new lease or walk away with no obligation.
Getting the best deal for your business
Our website is updated daily with our latest offers and deals.
Models can go on offer for short periods of time and you may only have a limited window to take up an offer. It's a bit like booking a flight! Van lease deals change frequently due to manufacturer offers, available stock and market demand. Alternatively, why not make a general enquiry and we will keep in touch with some of the best deals as soon as they come out.
What affects the cost of van leasing?
Your monthly rental is based on:
The van make and model
Contract length
Annual mileage
Initial payment
Residual value (depreciation)
Vans for work use tend to have high mileage, heavy use and specialist specifications, which can cost more.
However, selecting the right kind of van for your business can ensure that you don't pay for unnecessary specifications, and have a vehicle that is ideally suited for your needs. The flexibility to upgrade at the end of the lease also means your van is usually covered by warranty, is generally more reliable than older fleet stock and therefor less likely to disrupt work through downtime.
The growth of electric vans (such as the Kia PV5) can also save you ongoing costs if there is a suitable model for your business. They are especially useful for urban businesses, delivery drivers and companies with sustainability targets.
Lower running costs
Lower emissions and access to clean air zones
Green credentials and lower carbon emissions
Why choose us for van leasing?
We offer a wide range of affordable funding and lease finance options including:
Business Contract Hire
Personal Contract Hire
Business Contract Purchase
Finance Lease
Lease Purchase
As one of the UK's leading van leasing and contract hire specialists, we pride ourself on both the quality and quantity of our range of van lease deals across many of the biggest van brands. Choosing the right van isn’t just about price — it’s about finding something that works for your business.
See our full range of van offers, our latest in-stock deals, or simply call us on 0344 745 1818 to discuss your business needs.
