Currently VERY confused… Here’s the situation…

I have my own business, I am after a van. Size wise, I could probably get away with a long wheelbase Transit Connect or a Caddy Maxi, but to be honest, I think I’d be better off (despite the increased running costs) with a T5/Vito/Trafic sized van.

Now, the van will have to replace my car too. I’d prefer a few creature comforts (cruise would be nice, reversing cameras essential as I have a very narrow driveway, aircon etc.) and to be honest, money no object a T5 Highline or Sportline would be the obvious choice. The question is, to buy, to lease or to contract hire?

Milage is likely to be 12-15k per year. The van will be sign written, and NEEDS to look cool (it’s promoting a bike shop!) so to a point, I’m prepared to spend a few extra quid a month for body coloured bumpers and alloy wheels etc. But am I better off getting a low rate business loan and buying a decent 2nd hand van perhaps, or going brand new and paying the monthly payments?

And am I getting needlessly hung up on a T5? Is a Vito a better bet? I know the Trafic/Primastar/Vivaro is a good van, but it looks old and uncool, even if it’s no older than the T5. Or should I be looking to get away with a slightly smaller van (Caddy Maxi, Nissan NV200, Ford Transit Connect LWB etc.) as at most I’ll have to get 4, maybe 5 bikes with wheels intact, inside the back of the van at any time? For slightly convoluted reasons, I should explain that I need a load bay length of 2m or more which rules out the normal Caddy and SWB Transit Connect.

And which engine?!?! Not doing massive miles, I’d be tempted by a petrol, especially an LPG version (notice VW do a dual fuel Caddy with a 2l petrol), as LPG is bloody cheap again right now (30p a litre cheaper than 3 years ago when I had an LPG car myself!).

Anyway… Knowledgable people, please help!

new vivaro etc newly revamped llooks modern etc, old one driveg great, new transit also looks good.

vw, mb look old and dated also over priced to be sold overpriced when sh.

Buy at least you own something should buisness decline and youve not got to carry on leasing payments.

Try BT fleet for good quality used vans with warranty.

We have ran various vans, cars, and 4×4 for the last 15 years, and based on your mileage, leasing would be an option. Buying will have tax implications now and in the future, I still don’t understand them so suggest you get proper advice.

I must say after seeing the single track van at whinlatter yesterday, it looked excellent with the sign writing etc

Buy a good, tidy second hand van. Caddy maxi isn’t very high so may be an issue with large bikes standing with both wheels on.

We do van graphics, in my view, good sharp design on a tidy van is better than new van with less good and striking design.
eg.http://www.avonmouthsigns.com/getattachment/aa6aa764-e627-46c8-932f-a561e411d55c/Van.aspx

If you’re ltd., it’s got to be a newish t5, depreciated through the business quickly and then bought out the company.

Getting a Volkswagen through the company and then buying it later on would be a good way of getting one at a reasonable price.

You know I’m a Vivaro/Trafic fan, ive got one outside at the moment, 100k miles and it drives great!

It’s a Sportive with air conditioning and lots of electrics, only thing it doesn’t have is reversing sensors which are £20 and an hours fitting.

Oops double post.

Buy a good, tidy second hand van.

Easier said than done sometimes! Working on the guy who owns the motorbike shop 2 doors from me, he’s suggested he might offload his 09 plate Sportline T5 2.5TDi (174bhp) soon, it’s immaculate and though it’s done about 120k, it has wanted for nothing. It would be absolutely ideal, but he’s not known for being spontaneous (saying he’s going to sell it means he might do sometime in the next 3 years!).

Caddy maxi isn’t very high so may be an issue with large bikes standing with both wheels on.

That was my worry too… Hence why thinking I’ll end up with somethin T5 sized anyway, despite the extra costs.

If you’re ltd., it’s got to be a newish t5, depreciated through the business quickly and then bought out the company.

I am, and that’s kinda what I was thinking, though in no rush to own it personally (though I appreciate it makes sense financially if I do) as it’s my business, and I don’t really need a van personally.

You know I’m a Vivaro/Trafic fan, ive got one outside at the moment, 100k miles and it drives great!

I know mate, but in an industry where image is everything, I’m loathe to look like a cheapskate running around in the sensible yet uncool choice, even if it is other peoples perception rather than my own. That said, I know you get a lot for your money with a Trafic, they’re ok to drive, and the new one has just come out too.

Gotta be a T5 surely, for the image if nothing else in the industry you’re in. I’ve been looking recently and new highline’s are between 20-21k + vat on happynewvan, second hand they are on with VW for around 16-17k + vat at 2/3 years old with 50k on the clock. So the higher overall cost is much the same as any other van when you come to sell. I’d just buy new for a business.

Assuming your a ltd co you need to speak to your accountant about whether it’s better to have the van on the books or off.

Speak to SwissVans they are very helpful, can trick it out a bit and are doing 2.99% HP finance – as a business cost that’s a no brainer as it’s a lot less than borrowing from the bank, obviously dependent on the kind of finance that will suit your business best. They also said they could lump a one off cost in with it, i.e. mods/conversion etc so they might be able to put the cost of sign writing/fitting out onto the finance which could be useful?

Assume you know about company car tax etc if you use it personally – check with your accountant again but I think if your official salary is less than £8500 (which it should be if you’re ltd and they’re doing their job right) then there’s no charge. If you’re a normal rate tax payer then it’s still cheap at about £65 a month.

Also if it’s a T5 you really want try Leighton Vans in Sheffield, they do leasing now I believe.
I have no connection with them other than seeing the smart vans they turn out on Facebook and the fact they advertise leasing etc.

Gotta be a T5 surely, for the image if nothing else in the industry you’re in. I’ve been looking recently and new highline’s are between 20-21k + vat on happynewvan, second hand they are on with VW for around 16-17k + vat at 2/3 years old with 50k on the clock. So the higher overall cost is much the same as any other van when you come to sell. I’d just buy new for a business.

Largely what I’ve been thinking, it seems that a T5 is just a case of more cash tied up at any time (rather than losing a chunk more) to own one than the other vans. I don’t really have a problem with this as such, other than it just means I’ve got to find more money somehow (just about every spare penny is tied up in stock right now, going into summer).

Assume you know about company car tax etc if you use it personally – check with your accountant again but I think if your official salary is less than £8500 (which it should be if you’re ltd and they’re doing their job right) then there’s no charge. If you’re a normal rate tax payer then it’s still cheap at about £65 a month.

Been looking into it, there’s probably ways and means to deal with it to be fair. Normal rate taxpayer (if I could afford to, I’d pay myself less than £8500 a year, but I can’t!) and like you say, £65 a month isn’t the end of the world if needs be.

I would be looking for new accountants before a van .
LTD Co salary at level to not pay income tax , and a share divvy yearly?

Im not a ltd or an accountant , but thats the route a few of my friends have taken

Cash is going to get you far better return in stock than a van so a finance solution makes a lot more sense for a business unless you’ve got oodles of cash floating around. I’d look at a few different brands and compare monthly leasing costs – I think you’ll find they’ll all be broadly similar as they’re all competing for a similar market and even vw will try and pitch to the fleet buyers using the higher values to keep the leasing costs on par.

Leasing sounds like it could be a good option for you as it won’t tie up cash and will be a cheaper monthly option but you need to be pretty sure your needs of the van won’t change for the lease term, and be prepared to have nothing at the end of lease after paying for the van for a few years. There are a lot of benefits to putting a van through the business as a purchase be it cash or financed but if the extra cash each month can be better used elsewhere to grow the business that’s possibly a better option.

The salary/dividend thing probably isn’t something to bother about if you’re keeping to basic tax bracket, it’s only really beneficial if you start getting above it and look at ways of getting money out of the business other ways, I.e. Company car/van paying wives etc… As a sole owner you either pay income tax or corporation tax and any benefit either way the accountant normally gets! Vans are the one perk you can still do well on either way – if you can use a van as a daily driver they make such cheap company cars.