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How Do Novated Lease Companies Make Money?

Novated lease companies generate revenue through various streams, providing a convenient and tax-effective option for employees to lease vehicles while ensuring profitability for the company. Here’s a breakdown of how they make money.

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Can a Sole Trader Do a Novated Lease?

Sole traders in Australia often face challenges when it comes to obtaining a novated lease. The reason lies in the fundamental structure of a novated lease, which typically requires an employer-employee relationship.

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Can I Run My Own Novated Lease?

Yes, it’s possible to run your own novated lease through a self-managed arrangement. This option provides more flexibility and control over the process, allowing you to tailor the lease to your specific needs. Here’s how it works and what you need to consider.

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Can a Director Have a Novated Lease?

Yes, a director can have a novated lease, provided they meet specific eligibility criteria. Novated leasing is an effective way for employees, including directors, to finance a vehicle through salary sacrifice …

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Can an Employer Do a Novated Lease?

Yes, an employer can offer a novated lease as part of a salary package, giving employees a tax-efficient way to finance a vehicle. Novated leases are a popular benefit, particularly in Australia, where employers play a key role in facilitating these agreements.

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