Differences between Business and Personal Car Finance
With the car finance sector experiencing a tremendous growth in the recent years more options are becoming available as time progresses. For one, car finance is no longer limited to individuals, as business can also now benefits from the joys of getting a car on finance.
Due to the fact that business car finance remains clouded in mystery for many, it can be difficult for some to differentiate between business and personal car finance. Although both share many factors, they are two entirely different entities designed for unique purposes.
When it comes to personal car finance we are all familiar with the process. You get a vehicle, you sign a contract, you pay for the vehicle, and you own the vehicle. It’s quite simple and straightforward. Obviously the process involves many different stages but you get the gist of it.
Business car finance on the other hand is an entirely different process. It’s used by business often to purchase more than one company car at a time. Due to this, the costs are much higher and the terms of the contact are more complex. The gist of it remains the same; however, purchasing a fleet of vehicles is much more complicated than buying a single car for personal use. More rules and regulations come into play, which is why the process might seem a little daunting when first encounters.
Both personal and business finance are great options, depending on your requirement. If you’re a business owner looking to purchase a fleet of cars for your staff, then going with business finance is a no brainer. If one the other hand, you are an individual merely looking to purchase a vehicle for personal everyday use, you will obviously go with personal finance.
Most finance providers offer personal finance, but not all deal with business finance. If this is the option you’re after you might have to do a little digging around to find a lender willing to lend you the money required. There are numerous services dealing with business finance so you should have a problem finding one if you conduct a little research.