///Marty
Member
- First Name
- Marty
- Joined
- Dec 23, 2020
- Threads
- 2
- Messages
- 11
- Reaction score
- 6
- Location
- Cheshire
- Vehicles
- BMW M3, 4S+ on order
- Thread starter
- #1
Hey guys,
Hoping some of the amazing financial wizards on here might be able to offer some advise on my personal circumstances as I have trawled through pages of finance / tax threads but have a slightly awkward situation.
My accountant doesn't seem to know a great deal about EV financing and hasn't really been helpful, I'm just trying to make sure that my biggest ever car commitment (first Porsche and first EV) doesn't go badly.
So I am the director of my own Ltd company which has been trading since 2011.
A few years ago a made one of my colleagues a director of the company mainly as a thank you for his hardwork and to give him the boost of the title etc. He does not sign on any of the accounts and does not draw dividends.
I take a nominal salary and top the rest up with a weekly dividend payment to myself.
We have always done OK although did have a bit of a blip last year due to not trading Jan-March due to Corona and as a result actually filed a small loss for the first time.
When we re-opened our doors we were non stop through til Christmas and actually the following three quarters made an equivalent amount of sales as I would normally expect for a 12 month period.
I've had a quote for a business lease from Porsche finance (which actually got cheaper over Christmas) and I've also been speaking with a broker regarding financing the car externally and the quote for that has come in quite a bit cheaper although due to the loss last year there have been some conditions posed such as a personal guarantee from me and my Co-director signing which I ideally wanted to avoid if possible.
I'm happy that we could cover the monthly payments as we have been paying off another company vehicle at £1500 a month for the last three years and that is now cleared and the vehicle owned fully.
We have the BBL sat in an account as a fall back, as well as enough funds to purchase a £90k spec 4S outright.
I also have £40k in personal funds which I could pay into the business as directors loan if required.
I have read that the business lease option will allow me to claim back 50% of the monthly rentals, but will essentially work out at a £40k+ spend over three years with nothing to show for it at the end.
I have also read that if purchasing outright that the corp tax offset can be split over the previous year (we don't make more than £90k profit per year) however having had a small loss on the books last year I'm not sure if outright purchase is the way to go.
Would be very appreciative of any advice or input from anyone in the know or those who have been through the same or similar situation.
I'm keen to get a decisions made and get an order placed.
Broker has a reservation for an April / May delivery and there is a potential option of getting a March / April delivery at the dealer due to someone pulling out.
Thanks in advance!
Marty
Hoping some of the amazing financial wizards on here might be able to offer some advise on my personal circumstances as I have trawled through pages of finance / tax threads but have a slightly awkward situation.
My accountant doesn't seem to know a great deal about EV financing and hasn't really been helpful, I'm just trying to make sure that my biggest ever car commitment (first Porsche and first EV) doesn't go badly.
So I am the director of my own Ltd company which has been trading since 2011.
A few years ago a made one of my colleagues a director of the company mainly as a thank you for his hardwork and to give him the boost of the title etc. He does not sign on any of the accounts and does not draw dividends.
I take a nominal salary and top the rest up with a weekly dividend payment to myself.
We have always done OK although did have a bit of a blip last year due to not trading Jan-March due to Corona and as a result actually filed a small loss for the first time.
When we re-opened our doors we were non stop through til Christmas and actually the following three quarters made an equivalent amount of sales as I would normally expect for a 12 month period.
I've had a quote for a business lease from Porsche finance (which actually got cheaper over Christmas) and I've also been speaking with a broker regarding financing the car externally and the quote for that has come in quite a bit cheaper although due to the loss last year there have been some conditions posed such as a personal guarantee from me and my Co-director signing which I ideally wanted to avoid if possible.
I'm happy that we could cover the monthly payments as we have been paying off another company vehicle at £1500 a month for the last three years and that is now cleared and the vehicle owned fully.
We have the BBL sat in an account as a fall back, as well as enough funds to purchase a £90k spec 4S outright.
I also have £40k in personal funds which I could pay into the business as directors loan if required.
I have read that the business lease option will allow me to claim back 50% of the monthly rentals, but will essentially work out at a £40k+ spend over three years with nothing to show for it at the end.
I have also read that if purchasing outright that the corp tax offset can be split over the previous year (we don't make more than £90k profit per year) however having had a small loss on the books last year I'm not sure if outright purchase is the way to go.
Would be very appreciative of any advice or input from anyone in the know or those who have been through the same or similar situation.
I'm keen to get a decisions made and get an order placed.
Broker has a reservation for an April / May delivery and there is a potential option of getting a March / April delivery at the dealer due to someone pulling out.
Thanks in advance!
Marty
Sponsored