There are numerous options available for today’s motorcycle riders. If you would like to enjoy a weekend excursion or a week of feeling the wind in your hair, you can hire one at a very affordable rate. If you are looking for a motorbike to use long-term, there are financial products ranging from novated leases to standard bank loans, allowing you to cruise the open road easier than ever before.
Of course, you have to make sure you have the proper licenses to be able to drive your motorcycle on the road.
About Motorcycles for Hire
Motorcycles are ideal for anyone in need of a short-term rental. Quality motorbikes can be hired for as little as one day or up to one week or longer. With low rates offered by many motorcycles for hire companies, hiring one is a terrific way to see the countryside, entertain clients, and experience an adventure of a lifetime. The process is quick and simple, and often the only requirement is a driver’s license and temporary insurance, which can be taken care of by the motorbike hiring company. Premier motorcycle hire company Lamba Motorcycles have all their vehicles taxed and fully insured. Rentals can also include clothing and accessories like helmets, jackets, and gloves.
How Motorbike Finance and Novated Leases Work
With motorbike finance leases, the hire company retains ownership of the bike, and the lessee pays them a monthly rental or fee for the use of the bike as outlined in the contract. During the hire term, the lessee only pays to be able to use the bike and does not actually own or acquire equity for the motorcycle. During this time, the lessee is responsible for insuring, registering, and maintaining the motorcycle.
Typically, no trade-ins or deposits are needed to hire one, and the monthly payments are determined by the interest rate on the finance charge, the length of the lease term, and the motorcycle’s residual value at the end. At the end of the term, if the market determines that the value of the bike is less than what was expected prior to the lease term, then you as the lessee are responsible for paying the difference in order to finalise the contract. You may not typically receive equity in the motorbike, but many hire companies allow you to make a purchase offer on the bike at the end of the hire term or finance the residual value of the bike to obtain legal ownership.
Many employers are beginning to incorporate novated leases into salary packages in an effort to reduce their employee’s taxable income. This has proven to be a huge benefit to employees and a popular recruiting tool for business owners. With a novated lease, you would arrange for traditional hiring of a motorbike you have chosen. Then, you arrange for your employer to make the payments through the use of a novation agreement. This agreement remains valid throughout your tenure at the company.
Benefits of Motorcycle Leasing:
- Hire often comes with flexible terms that can range anywhere from 12 to 60 months.
- If used for business, the payments can be completely tax deductible.
- The interest rate stays the same throughout the duration of the lease agreement.
- Since the motorbike is used to secure the lease, the interest rates are lower than standard financing.
- An employer can claim tax deductions on the monthly payments.
Who Motorbike Leasing and Hiring Benefits the Most
Leasing is ideal for those who predominantly use motorcycles for business purposes. However, anyone interested in paying less than they would on financing a bike or using a bike for a short time should consider leasing or hiring as a cost-effective way of being able to ride the bike of their dreams.