Negotiating purchase price of company car

[Thatdoc]

Hi All,

I have been made an offer to purchase my company car as I am leaving the company. The offer they have proposed is decent, but I’m at loss on how to further negotiate via email. Does anyone have any tips on how to proceed? Thanks

[ZX10R NIN]

Simple if you want to make a counter offer Email it to them & go from there, it really is that simple.

[mfmman]

Thatdoc said:

Hi All,

I have been made an offer to purchase my company car as I am leaving the company. The offer they have proposed is decent, but I’m at loss on how to further negotiate via email. Does anyone have any tips on how to proceed? Thanks

No tips on negotiation as the last time I did this my employer just got their normal trade buyer to provide a valuation and it was 'offer that or don't buy it' or words to that effect. Make sure the price you are quoted includes VAT where it's applicable though

[Thatdoc]

Aha ok. Good tip on the VAT though!

[vindaloo79]

Find comparable cheaper on open market and I’ve heard that worked with one PH user with BCA.

However, I tried to negotiate with BCA for a VAG group lease and they wouldn’t budge at all. My reasoning is it was saving them money from paying for collections and the process of auctioning the vehicle, I offered about £500 less but rolled over after two attempts.

[Thatdoc]

I am going to propose an offer of 10% less based on the fact that the car has more wear and tear than normal due to my job role which I don’t think they fully understand. Let’s see if that gets me anywhere :-)

[edthefed]

Stick details in WBAC /MOTORWAY etc with an honest descrption

See what they value it at and if its more than you are been offered use that to negotiate upwards

If its less than you have been offered snap there hands off

[leyorkie]

Company car, especially on lease, costs are calculated to the penny. Residual value is fixed from day one any less and they are loosing money.
The residual value is what it is not much room for negotiation.
It’s usually a take it or leave it price but in today’s market cars are worth more than they were 2/3 years ago so there’s profits to be made over and above residual values.

[jonwm]

End of 2017 I purchased my company car from my father in law, it was an A5 sportback TDI, I got 1k off after negotiation on email. They added a stipulation I couldnt resell it within 3 months, not sure how they would know, I paid about £11k for it, it's probably still worth that now on wbac!

[Thatdoc]

Do you remember how you managed to get that 1k off?:-)

[chrisch77]

If it is a lease car then there is probably no room for negotiation, as the company will likely have offered it to you as an alternative to the cost of settling an early return to the lease company.

It’s a bit different if the car is owned outright by the company, as their offer to you will either be driven by market value (if they can be bothered) or more likely an accounting write down value based on it being a depreciated asset over a fixed time period. The latter offers more scope for you to get a bargain but only if the car is old enough that it has already been depreciated by the company to a lower value than the market value.