UK Commercial leasing

[juliette]

Hello,

I'm looking to lease a car through one of my businesses. I have 2 businesses and one is under a year old - a vegan cafe . I;ve been told I may not get the finance on the car through this business as it;s too young. I'd therefore like to get it under my other business - however I would like to have it sign written for the cafe as advertising. My question is: would i still be able to claim tax relief off my other business if the signage is written for another business but used for both? Thanks

 

[Fidget]

I don't think signage matters. In a previous job we had our fleet advertising a new set-up and I don't recall any tax implications on account of it. The snag might be in having to prove the business use in the company you're claiming the relief in.

Then there's the use by the advertised business. Is that being recharged to it?

On the general point of leasing. Be sure to carefully read the lease agreement. Penalties for early return for whatever reason are usually harsh. Same with estimated mileage - be realistic with that because again, go over it and you'll likely be hit with extra fees. Motoring offences is another one to watch - if these go to the lease company, it will just pay them and recharge them to you and add an 'admin' fee on.