Leasing & service
Leasing & service is quite similar to the long-term rental. The major difference lies in the number of additional services - in the case of leasing & service, you do not have to choose the mechanical service and the contract should provide for at least two of fleet management services.
Vehicles are provided for use under an operating lease agreement which specifies the agreed mileage and lease term. The minimum lease term is 24 months.
As part of the fixed monthly fee, Alphabet Polska may handle most processes related to the fleet maintenance and cover the relevant costs for you. Once a month you receive an invoice for the use of all cars covered by the agreement along with a management report. The monthly fee is fixed for the entire contract term and is a tax deductible operating expense.
Benefits for your company:
- fixed monthly fees
- risk related to servicing costs transferred to Alphabet Polska
Tax benefits:
- off-balance sheet funding
- reduced operating costs - Alphabet Polska can deduct VAT when purchasing vehicles and consequently, the lease payments are calculated for net car prices.
- lease payments are tax deductible operating expenses
- right to deduct VAT from the monthly fee up to the legally allowed limit
Financial benefits:
- attractive discounts for vehicle purchase and repair and maintenance services
- no risk related to the vehicle value during the lease term - the risk related to the residual value is borne by Alphabet Polska
