Business Contract Purchase - BCP

Business Contract Purchase – BCP

Business Contract Purchase (BCP) - Yorkshire Fleet

Structurally similar to Contract Hire, Business Contract Purchase (BCP) enables customers to make fixed monthly payments. However, with Business Contract Purchase the customer has the option of retaining the vehicle at the end of the contract.

Features and Benefits of Business Contract Purchase

Improved cash flow
No depreciation risks
Accurate monthly budgeting
Fixed interest rate
The interest and service elements of each payment is fully allowable against taxable profit – Writing down allowance of 18% (8% if Co2 is above 130g/km)
Is treated by the Inland Revenue as a purchase
Road Fund Licence is provided for the full term of the contract.
The convenience of a full maintenance service, at a fixed monthly cost, is optional.

Deposit

Monthly Payments

End of Contract

At the end of the contract you have 2 options:

1. You can hand the vehicle back (Collection is free from any UK mainland address)
2. You can purchase the vehicle for the price agreed at the start of the contract

Your Yorkshire Fleet account manager will contact you 6 months prior to the contract end date to discuss your requirements. If you require a replacement vehicle, we will coordinate the collection of your current vehicle to correspond with the delivery of your new one.

Things to remember about Business Contract Purchase

The customer must decide at the end of the contract whether they wish to sell the vehicle, return it or keep it.
The customer must have a fully comprehensive insurance.