The use of company cars is prevalent in the United Kingdom, despite the continuously increasing complex tax system it entails. Before, the tax paid for company cars was based on the number of business miles driven per year. However, since April 2002, the tax is calculated based on the quantity of carbon dioxide emissions per vehicle. Fewer emissions mean less tax.
Surprisingly, despite the complicated tax system, they still account for around half of the brand new cars bought every year. This is mainly due to the numerous benefits for the company and its workers:
1. Faster Mobility
Indeed, if the business has company cars, the mobility of the people who extend the services of the company and the deliveries of products will be much easier. Compared to riding public vehicles, travelling using private cars will ensure faster arrival to your destination with less hassle.
2. More Productive Days
Since faster mobility can save a great deal of time, you can also guarantee more productive days at work. You can use the time you have saved to run other work-related errands. It will be less likely that you will need to work overtime in the office or work place. Of course, more productive days can lead to higher returns on investment in the long run.
3. More Clients to Attend to
If the nature of your company requires the mobility of workers to gain more clients (e.g. insurance companies, direct selling, real estate, product deliveries, etc.) a company car is always advisable. These vehicles will allow your people to reach more clients, which equates to additional sales for your business.
There are also less stressful days if you have company cars because there is no need for your people to transfer from one public transport to another. Most employees resign from the companies they work for because of the hassles on the job. A company car contract hire will ensure that your employees and products are well taken care of.
5. Less Driving Costs for Employees
Since company cars are funded by the enterprise, they can help the workers save on fuel and driving costs. A company car can also serve as motivation to the employees of the company. For example: You can give a company car to the top agent or employee every month or so. This way, you can reward the employees who excel and motivate others to do the same.
Now that you know some of the benefits afforded by company cars, lease them now from ALD Automotive.