A company car scheme is run for varying reasons, but mostly because there are a number of employees who need to use a vehicle to carry out their business.
However, many companies also offer a company car scheme to employees who do not necessarily require a car for work, but it’s part of a benefits package – a perk, rather than something that has some direct business use.
If carefully planned and effectively managed, a company car scheme can help cut employer national insurance contributions (NICs) and allow you to claim capital allowances that reduce taxable profits, as well as boosting morale among your existing workers and enhancing your strategy for recruiting new employees.
Many benefits may be attractive for both the employee and the employer. It is a controllable reward scheme that does not increase the wage and pension bill and there are no NI implications for employees.
On the other hand, the employer is now responsible for a fleet of vehicles, which costs time and money to manage.
There are manufacturers with some very good company car schemes and the winner of this year’s Business Motoring Company Car Programme Award is BMW UK.
Its extensive model range, including a large number of PHEV models making the BMW Group an ideal brand to support SME companies.
Its progamme features compelling business contract hire offers across the full range, there is a Business Partnership programme, designed specifically for the SME audience, which has a number of featured offers.
In addition, the BMW Chauffeur Programme offers selected models with higher mileage, such as the BMW 745Le.
When ordering a BMW or MINI on the Business Partnership Programme there is the opportunity to include maintenance with the monthly rental.
Not all SME companies have a Fleet Manager whose job is to obtain tyre quotes, raise purchase orders and manage maintenance budgets for their company cars.
In many cases these tasks fall to company managers, small business owners, or employees who have to fit these tasks in around their day to day responsibilities.
A maintained contract offers the convenience and reassurance of maintenance with a central point of contact. With total control over maintenance costs, you will never be faced with unexpected bills, can budget with confidence and manage company cash flow.
BMW Group’s maintenance team works directly with local BMW and MINI Centres, ensuring the minimum downtime. In addition, Local Business Development Managers are based at each retailer giving advice on tax, immediate delivery and business or personal contract hire rates.
They are knowledgeable about products and provide them with assets to aid communication with local businesses.
Support for SMEs
Whether it is a sole trader looking for a car that works for their business or an SME with a fleet of fewer than 50 company cars, the BMW Business Partnership has been designed specifically for them.
Its dedicated website (www.BMWBusinesspartnership.co.uk) provides the chance to learn about the programme benefits, search for models based on monthly budget or model preference, view latest contract hire offers and easily contact your Local Business Development Manager for further information.
Information is also available on alternative fuels, fleet funding, taking your car abroad, winter driving – a few examples of the guides BMW produces.
The Customer Promise – 10 commitments to SME customers.
A MINI Business Partnership customer can always expect the highest standard of customer service. Even so, we still believe there will always be room for improvement. That’s why we’ve introduced ten important commitments for all of our staff to follow as outlined on our website.