FOR SMEs, a company car scheme is a necessity, where a means of transport is vital for the employees to do their job.

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 Škoda UK.

Škoda’s company car programme personalises the service offered to each business we work with; working collaboratively to meet their exact needs and ensuring that the solution offered is fit-for-purpose.

The team take a consultative approach to all customers, initially getting to understand the objectives for their company car fleet so that they are able to offer the most appropriate guidance and advice. Škoda prides itself on developing longterm relationships with all of its fleet customers so that they can future-proof their business and many have now been with the brand for several years, updating their fleets as new models are introduced.

Throughout the global pandemic, Škoda has adapted quickly and introduced several initiatives to ensure SMEs continue to receive a truly exceptional experience.

As part of the brand’s blended customer experience, Škoda’s innovative digital showroom has evolved to enable a truly unique digital experience for customers.

SMEs are able to connect virtually with a dedicated, trained and experienced Product Host to receive a 360 degree tour of Škoda’s range of vehicles, helping to give customers a better understanding of models, as well as demonstrating the different features on offer.

New vehicles are constantly added to the Virtual Showroom as they become available, including the all-new fourth generation Octavia – a model that has proved consistently popular with fleet customers.

A fleet focussed model – in the fleet-specific SE Technology trim – is always available on the Virtual Showroom, with customers able to determine exactly how these vehicles could work for their business needs.

The function is available outside of regular office hours too (10am-10pm every day), providing fleet customers with the convenience of arranging a time and date that suits their busy schedules. Supporting the digital experience is the Škoda Digital Assistant app, which enables retailer staff to connect with business customers via Zoom video calls.

The iPad-based app provides a host of features, including the ability for retailers to check the national stock database and product information, as well as to discuss any maintenance or servicing of their vehicles. The excellence and quality of the ŠKODA vehicle line-up has been further cemented over the past 12 months with a number of new car launches including the Superb iV and the all-new Octavia, which includes the Octavia iV plug-in hybrid variant.

Product innovations now mean that our cars are more efficient than before and offer increased technology, driver assistance and safety systems as standard above leading competitors, so that customers get the absolute best value for their money.

This translates into highly competitive P11d values across the range and combined with low running costs, the result is an attractive package when considering vehicle whole life costs.

Škoda has further developed and introduced several initiatives over the past 12 months and, alongside Volkswagen Financial Services, has launched SME Direct; a comprehensive fleet package that provides an efficient method for managing vehicle running costs, increasing efficiency and proactively reducing vehicle downtime.

The offer is exclusively available to small businesses running less than 20 cars on their fleet. Cost saving benefits for customers include:

• Free access to MyFleetPro web portal to manage entire fleet: Škoda Financial Services will help customers upload their data and show them how to use it, so it is stored in one place
• A 24-hour, UK based telephone concierge: Helping drivers with accidents, breakdowns, service bookings, glass and tyre repair
• No-quibble tyre replacement: Every tyre is replaced at no additional cost when needed (apart from malicious damage or vandalism)
• Each customer will have their own dedicated account manager: They will work alongside companies to keep customers’ fleets running efficiently
• Customers can pool their mileage: If some vehicles are over-mileage, but they haven’t exceeded the mileage on others, ŠKODA will balance it out to help avoid charges o
• £100 cover for end-of-contract damage costs: To help free up time from vetting invoices.

To help fleets with service, maintenance and repair (SMR) of their vehicle, Škoda operates a Fleet Service Level Agreement across its retail network.

The Service Level Agreement ensures defined lead times for service and maintenance work by prioritising customers with a maximum lead time of three working days if a courtesy car is not required.

Škoda will also follow-up directly with the Fleet Manager or driver within three working days of the work being completed in order to ensure complete satisfaction.

The Fleet Service Level agreement includes a fixed price service package for SME customers through the Škoda network.

All business customers have access to an online tool to check values from an SMR perspective. This tool provides a range of useful data and features, including the ability to determine the cost of running a particular model over a period of time, understanding the number of services predicted, when new tyres would be required and more so that customers have full transparency over what to expect.

Further support is available through Škoda Business Centres, which aim to provide a specialist service to a range of fleet customers, from small businesses to major corporate organisations.

Customers can visit their local centre where dedicated staff and Business Development Managers are on hand to deliver the necessary support, providing guidance and advice on which vehicles would be appropriate for the customers’ needs, including the different funding options available through Volkswagen Financial Services.

As well as advice, the business centres have access to a fleet of over 100 demonstrator cars which can be loaned out to perspective customers.

To find out more about Škoda’s company car programme click here