Find out how car leasing works, the difference between operating and finance leases, tax implications, typical terms, and end-of-lease things you must know.
Car leasing company
Driveline Fleet is a car leasing company with access to thousands of new, used and ex-lease cars, trucks, vans, utes, SUVs… you name it, we lease it.
We specialise in car leasing options to suit NZ businesses. We operate throughout New Zealand with consultants in Auckland, Hamilton, Tauranga, Hawkes Bay, Palmerston North, Wellington and Christchurch.
Thousands of cars
Through our specific vehicle manufacturer arrangements and a national network of car dealers, we can access thousands of new, used and ex-lease vehicles at any one time. All are available under our SmartLease™ car leasing package… and we pass 100% of our industry discounts on to you.
Fit-outs and optional extras too
We can help with all the optional extras too, from tradesman van custom fit outs to sign writing, tow bars, roof racks, alloy wheels and warranties. We can organise all the accessories and extras for you and even deliver your vehicle anywhere in New Zealand.
Making it easy
Based on the intended operating conditions and expected mileage, we’ll help you choose the best vehicle for your particular needs. We’ll help reduce your running costs and put you into the right car leasing package to maximise your tax advantages.
Operating lease vs finance lease
The generally accepted rules to classify as an operating lease are that:
- The term shall not exceed 75% of the economic life of the vehicle as set down by the IRD depreciation schedules.
- There shall be no right of ownership conferred to the lessee.
A lease will classify as a finance lease when the term exceeds the economic life rule and/or the lease agreement grants the lessee the right to own the vehicle at the end of the lease at an agreed value.
If car leasing doesn’t work for your business, we also offer traditional car financing (hire purchase).
Please do not hesitate to contact a Driveline consultant for more information on how the various types of lease work and how they could best be of advantage to your business.
N.B. We recommend that you seek independent accounting advice with respect to the various lease types and the methods of accounting for these.
SmartLease™ car leasing option
75% of our clients prefer our SmartLease™ car leasing package because it is one of the most flexible financing tools in the market. The SmartLease™ car leasing option is available for business use clients only and delivers cashflow and tax advantages over traditional hire purchase. Plus there are no ‘excess kilometre’ or ‘fair wear and tear’ charges at the end of the leasing term, as is common with other car leasing companies’ operating leases.
SmartLease™ car leasing is also available on our stock of late model ex-lease cars and second hand cars, trucks, vans, utes and SUVs.
- Absolute flexibility. SmartLease™ car leasing creates absolute flexibility for you and allows for changes in operating conditions over the term.
- Simple for tax accounting purposes. Payments are up to 100% tax deductible as an operating expense.
- Save on purchase price. Driveline enjoys substantial dealer discounts on new vehicles. We pass 100% of those discounts on to you. Compare our prices… you’ll be surprised.
- Reduced early termination charges. Your liability under most operating leases is the total of any outstanding lease payments yet to be made. Not so with Smartlease™ car leasing! We work on the same basis as traditional funding packages.
- No kilometre restrictions are set and no ‘excess kilometre’ charges. Smartlease™ is different. If you’ve previously leased a vehicles, clocked up more mileage than you anticipated and been stung with a whopping bill by one of our competitors at the end of a lease, you’ll know exactly what we mean.
- No ‘fair wear and tear charges’ at the end of term. Once again SmartLease™ is different with no ‘refurbishment’ charges at the end of the lease.
- You are not tied to a service contract. Get the car serviced by your regular provider at your convenience which saves you money long-term.
- New or used cars. SmartLease™ car leasing is available on both new and used cars.
- Free-up capital. SmartLease™ car leasing allows you to enjoy the benefits of ownership, while freeing up valuable capital to use for more productive purposes.
Deposit: Flexible, from as little as one month in advance.
Terms: Up to 75% of the economic life of the vehicle.
(Passenger cars up to 45 months. Trade vehicles and trucks up to 60 months.)
Call us today on 0800 275-374 to talk through how SmartLease™ car leasing can work for your business.