Full-service car rental vs financial leasing: 5 things You should know

Need a car for your business without owning one?

Financial leasing may seem like an obvious option. However, it is not the only way for a business to use cars without taking on ownership.

AVIS full-service car rental takes a different approach: you rent your chosen vehicles for 2 to 5 years, with the costs of necessary vehicle operation and maintenance included in the monthly rental payment for the agreed period and mileage.

There are five key differences worth knowing when comparing these two options.

1. Ownership changes the whole equation

Financial leasing means paying for a car over time. You make regular payments throughout the agreed term and, depending on the agreement, may become the owner once it ends.

With AVIS full-service rental, the car remains with the rental company. You use it for the agreed 2 to 5-year period and return it afterwards. At the end of the rental period, you do not have to worry about selling the vehicle or its market value.

2. Look beyond the monthly payment

A monthly payment does not tell the whole story. Financial leasing can involve an upfront payment, financing costs, and the ongoing expenses of maintaining a vehicle. The exact conditions depend on the car and agreement.

The necessary operating and maintenance costs for the agreed period and mileage are included in the monthly rental payment. The service covers vehicle maintenance, seasonal tyre changes, replacement tyres and pick-up and delivery services. 24/7 assistance is also available for vehicle-related issues.

3. What happens when the agreement ends?

With financial leasing, the vehicle may become yours at the end of the financing agreement, depending on the contract. From that point, you are responsible for the vehicle as its owner, including deciding what to do with it as it ages.

With full-service car rental, the vehicle is simply returned when the agreed rental period ends. You do not have to sell it or continue managing it as an owner.

4. Mileage and condition still matter

Both options come with conditions that are worth checking before you sign an agreement.

With financial leasing, the vehicle’s mileage, age, condition, and market value can affect its value and your position as the owner over time.

With full-service car rental, the rental period and mileage are agreed in advance, with the relevant conditions set out in the rental agreement. You use the vehicle for the agreed term and return it when the rental period ends.

5. What do you actually want from your car?

Financial leasing can suit someone who wants to acquire a particular vehicle and is prepared for a longer financial commitment.

Full-service rental is aimed at a different need: using a vehicle for an agreed period while keeping its operating and maintenance costs within one monthly payment. For businesses, this can mean easier cost planning and less time spent dealing with vehicle maintenance and other day-to-day fleet-related tasks.

With AVIS full-service car rental, businesses can choose their vehicles and agree the rental period, mileage and services in advance.

Why choose full-service car rental?

With AVIS, businesses can use the vehicles they need without having to buy them. The monthly rental payment includes the necessary vehicle operating and maintenance costs, while services such as tyre changes, replacement car and pick-up and delivery take care of much of the day-to-day work involved in managing the vehicle.

AVIS also provides 24/7 assistance with vehicle-related issues, giving businesses a single point of support throughout the rental period.