elmo Electric Cars For Business
Electric car subscriptions for business
elmo for business is the easy, flexible and low risk way to get you and your team into electric cars through your business. From premium models like the Audi e-tron to city slickers like the Renault ZOE, we’ve got you covered.
With elmo, there are two ways to do this. You can simply book as many subscriptions as you like through your business account and reclaim the VAT in the normal way, or we can run a Salary Sacrifice Scheme for you. More info on that later on!
What are the benefits of an electric car business subscription over a lease?
elmo re-imagines the traditional lease to suit the needs of modern businesses who want a flexible, seamless and convenient experience. By subscribing to electric cars for your business through elmo, you enjoy the following benefits:
- Book online in 5 minutes
- Approval in 1 working day
- Delivery in a week
- No deposit to pay
- Stop or swap car with 30 days’ notice in line with your chosen minimum term
- Convenient, all-inclusive package
- All subscriptions managed online
This means that, unlike a traditional business lease where you have to keep the car for 2/3/4 years, you can hand each car back after the first 60 days with elmoFlex or after 12 months with elmoSave by giving us 30 days’ notice in advance. Plus our pricing is competitive with a lease, so you’re not paying a premium for flexibility.
Finally, the all-inclusive package (vehicle, insurance, breakdown, vehicle excise duty etc) means there’s no admin work and you and your staff can simply start driving! See more about the benefits of an electric car here.
What’s included in a business subscription and how much does it cost?
You can view a complete breakdown of our pricing here. The advertised price includes as standard:
- The electric car
- Comprehensive insurance
- Service and maintenance costs
- Breakdown cover
- Fair wear and tear on tyres
- Vehicle Excise Duty
- Congestion charge autopay
For each car you subscribe to, you can choose to add optional extras from extra mileage and additional drivers to public charging.
Please note that the advertised price of each subscription includes VAT. We issue VAT invoices so you will be able to reclaim that cost if your business is VAT registered.
For a detailed breakdown of our pricing and how it works, head over to our pricing page.
Ready to get started? Here’s how it works…
It’s simple to create a business account and add subscriptions for you and your team.
- Sign your business up to elmo here
- Choose electric cars from our available selection
- Follow the steps online to book each car, naming an employee as the Main Driver
- After each booking, the elmo team will carry out approval checks and confirm a delivery date with the Main Driver
- To end a subscription, just give us 30 days’ notice before the end of your minimum term and we’ll collect the car from the Main Driver
If you have any questions, please start a live chat (in the bottom right) or email firstname.lastname@example.org
You can read more about how you and your team can save 30-60% on the subscription price through our Salary Sacrifice Scheme and for a more detailed step by step guide see our How It Works explainer.
Why not consider Salary Sacrifice instead?
Salary Sacrifice schemes are an excellent way to drive an electric car, for less. The cost of the car is taken from pre-tax pay, so the employer saves on Tax and National Insurance contributions. The employer also benefits from this scheme by offering employees an excellent benefit, plus with elmo – we manage everything for you, so there’s no additional admin headaches.
HMRC do consider salary sacrifice electric cars a Benefit-in-kind, so there is still some tax to pay. For electric cars, it’s currently set at just 2%, compared to 22% if you were to salary sacrifice a petrol car.
As a business, salary sacrifice schemes make a great deal of sense if you want to offer your employees a car. Plus with an elmo salary sacrifice scheme, there’s the added benefit of being all-electric. Improving your company’s environmental credentials.
Watch our short explainer video below to find out more about our salary sacrifice scheme.
Would the cars need to be for business use only?
No, provided the car is not being used for ‘hire & reward’, a business subscription for a company car or salary sacrifice vehicle can be used for personal and business use.
What resources are available about the tax implications?
The UK Government provides detailed information about salary sacrifice schemes and the tax implications.
Why is company car tax lower for EVs?
As part of the effort to incentivise the adoption of electric cars, the government has fixed the Benefit in Kind (BIK) tax paid on electric company cars to 2% until 2025. This is considerably lower than the tax employees would pay for a hybrid or ICE car benefit.
Is it expensive to allow electric car charging at a workplace?
There are a few cost implications to consider if you are thinking about installing car charging at the workplace. Firstly, there’s the initial charge point unit cost, which can vary anywhere between £1,000-3,000.
Then there is the cost to charge your employees’ cars. This will vary depending on the time of day, your provider, how often it is used and the type of car being charged.
Are electric cars suitable for long business trips?
More and more electric cars have 200+ miles ranges and public charging infrastructure is improving at pace, with plenty of apps that can help you plan the trip and manage your charging needs. Realistically, it depends on how far and where you are travelling though!
How does claiming fuel expenses work with electric cars?
Usually, claiming fuel expenses is worked out based on the distance covered, so your employees can still claim mileage expenses for an electric car in the same way. An average cost per mile will be used to work out your owed expense.
Can you get government grants for electric car charging points for businesses?
Yes. The UK Government has a voucher scheme called ‘The Workplace Charging Scheme’ which provides support towards the upfront costs of the purchase and installation of electric vehicle charge-points, for eligible businesses.
What are the current HMRC electric car business mileage rates?
This varies depending on whether the car is considered a company car, or a personal car being used for business travel. For company cars, the Government currently advises a rate of 5 pence per mile for fully electric cars. Hybrid cars are treated as either petrol or diesel for fuel rates – see the Advisory Fuel Rates for more information. If employees use their own personal vehicle (as would be the case with an elmo subscription), the Mileage Allowance Payments for electric cars are the same as for ICE vehicles: 45p per mile for the first 10,000 miles per year, and 25p per mile after that.
Is the process for claiming business mileage for electric cars different from claiming for fuel?
No, it works in a very similar way. However, HMRC’s advisory cost per mile is different for company cars, but not when personal cars are used for business travel.
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