The process for car leasing should be an open one.
- It should begin with a client referral, and then proceed to gain an understanding of the client’s needs and background.
- Finance Brokers/Providers should talk with more understanding to the accountant than anyone else; the accountant can be a bit cautious at first but often end up being great advocates.
- That’s because open and balanced view is required to tailor finance plans that keep everyone happy -client, end-user of the vehicle, and the accountant.
- It’s not about the cars, too many clients are taken in by a “shiny car” and a low monthly payment quoted by a dealer, but “low monthly payments can cost a lot.”
- Often, dealers set annual contract usage lower than is realistic. Time and again the lease arrangement is structured to incorporate low contract kilometres, with penalties of up to 40 cents per kilometre over the limit. ’It’s all written in the fine print’, but people don’t read it.
- Therefore it is foolish focus is on the monthly payment!
- Remember the car dealers’ main focus is to sell the car and he will try to make the monthly cost look attractive, if a vehicles contract kilometres are incorrect, and the kilometres are exceeded it certainly will not. You Pay!
- Frequently the fault with lease agreements is that they’re not bespoke to the needs of the business.
- Deal with a company that’s going to understand what your business needs – not just from a vehicle point of view. To obtain the right independent advice, negotiate the best vehicle purchase price with the dealer, and then contact your finance broker.
- He will then bespoke the finance and leasing products around your requirements, “one stop-shopping” – vehicle finance, insurance and warranty products with the right advice, giving total piece if mind!
Relationships should develop, ensuring decision makers’ converse with their staff, the staff will feel valued, clients and accountants will share common goals with Finance providers bringing balance to the whole process.