SME FLEETS looking to change out of petrol and diesel vehicles early but find themselves stuck in long-term leasing arrangements should consider the latest offer from SOGO Mobility, called ‘Equity Release’.
The flexible subscription service provider is offering a buy out of current lease agreements in order for SME businesses to switch to electric vehicles.
Commenting on the launch, Karl Howkins, Managing Director of SOGO, said:
The shift to electric and hybrid vehicles is happening quicker than anyone expected. Companies are seeking to make the change now and don’t want to be stuck in long-term arrangements. Our equity release programme will enable companies and drivers to access the vehicle they want when they need it.
SOGO says it has seen the number of EVs on its fleet grow to 40% through 2021, with an average lease term of six months.
The equity release scheme provides a fully managed service for SME fleets and small businesses: SOGO says it will handle negotiations and paperwork with the existing funding provider.
What’s more there is no cost to the SME. According to Howkins, the current high residual values on used cars outweighs the penalty costs of ending the contract early.
SOGO has launched a series of innovations since it launched in January, including an all-inclusive monthly leasing service that offers no upfront payments, servicing, breakdown cover and insurance. In May, it launched a monthly salary sacrifice scheme to unrivalled levels of flexibility.
In a first for the UK vehicle leasing and rental industry, SOGO teamed up with BP to operate a carbon-neutral fleet across petrol, diesel and EVs. It joined energy giant BP’s Target Neutral programme to help fleet customers measure, reduce and offset their carbon emissions.