Company Cars: An Introduction

Company cars are a simple concept, but one that some businesses are reluctant to invest in. Whether you consider yourself to be a large or small outfit though, there is plenty that a company car could offer your company.

In this regard, here is a quick introduction to company cars. With a range of cars available for your company, from manufactures such as Lexus, there is an unparalleled amount of choice available. This means that you do not need to rush into a decision regarding which model you choose to select. In fact, taking the time to assess all of the options available is the best way to make sure that you choose an option that suits the specific needs of your business most effectively.

The Financial Side

Company cars, like anything, carry additional costs that need to be considered. In a business situation this is mainly a case of deciding what level of expense is justifiable.

First of all, company cars can be simply purchased or leased. The range of car ownership schemes available offer numerous options, allowing you to choose the methods that most efficiently suit the financial limitations of your company.

Additionally, there are also the running costs associated with a vehicle. Chief amongst these will be the respective company car tax. Before you take up any car, you should be aware of the running expenses involved; this can easily be figured out with a Company Car Tax Calculator.

Alongside this you also have the more obvious expense of fuel. This, in turn, comes down to two factors; how much the car is driven and the fuel efficiency of the car. For the former, this will depend on your business and the amount of times the vehicle is used for personal reasons. If you have employees that need to travel long distances for meetings or business, for instance, then the issue of fuel consumption will obviously require significant consideration.

If you’re looking to reduce costs wherever you can, a more effective, fuel efficient model would be a good start. This can also occasionally bring taxes down, which reward green technology and other carbon emission-reducing vehicles.

Benefits: Image and Advertising

Depending on the nature of your business, your public image might be particularly important. As such, your company car needs to reflect this.

A fleet of vehicles provides an impressive and high quality appearance, with the potential for free advertising. This allows people to instantly recognise your brand. It is worth noting that if the car is also used for personal use then this advertising will extend even further.

Likewise, when dealing with clients and other meetings where first impressions and presentation can count for a great deal, a car can go a long way in this regard. You wouldn’t let your top salesmen enter a room poorly or inappropriately dressed, so why would you do the same with a car? The right choice of car can suggest a sensible business nature that speaks volumes about your company.

KPN disposes of Ortel Mobile unit in Switzerland

Dutch telecommunications and ICT services provider Royal KPN NV (AMS:KPN) on Monday announced the sale of its Ortel Mobile Switzerland business to Treternity AG.

KPN did not say how much it got for the unit, which offers mobile services as a virtual network operator under the Ortel Mobile brand.

The disposal is part of the Dutch group’s strategy of aligning the focus of Ortel Mobile with its core markets, it said, adding it was exploring options for its other Ortel Mobile-branded operations.

The sale will have no impact on customers of Ortel Mobile Switzerland, the vendor added.

Apart from Switzerland, Ortel Mobile has offices in the Netherlands, Belgium, Germany, France and Spain, according to its website.

Syntel declares special $2 dividend

Syntel, Inc. (NASDAQ: SYNT) said its board of directors has declared a special cash dividend of two dollars and twenty-five cents ($2.25) per share, on Syntel’s common stock, payable on December 28, 2012 to shareholders of record at the close of business on December 18, 2012.

Syntel, Inc. (NASDAQ: SYNT) said its board of directors has declared a special cash dividend of two dollars and twenty-five cents ($2.25) per share, on Syntel’s common stock, payable on December 28, 2012 to shareholders of record at the close of business on December 18, 2012.

The aggregate amount of payment to be made in connection with this special cash dividend will be approximately $94 million.

In addition, Syntel announced that its board of directors has declared a regular quarterly dividend of six cents ($0.06) per share, on Syntel’s common stock, also payable on December 28, 2012 to shareholders of record at the close of business on December 18, 2012. The company also announced that the board of directors has discontinued all future regular quarterly dividends.

Syntel also announced that it has entered into an agreement to increase its line of credit with JPMorgan Chase Bank, N.A. from $20 million to $50 million and to draw upon the line of credit for $50 million to be used as partial funding for the special cash dividend. In connection with the increase in its line of credit, the company has provided a security interest in the US assets of Syntel, Inc. and certain of its US subsidiaries.

Syntel is a leading global provider of integrated information technology and Knowledge Process Outsourcing solutions spanning the entire lifecycle of business and information systems and processes. The company’s website is at www.syntelinc.com.