A written and photographic record of the vehicle's condition at handover, signed by both businesses.
Use it when: You are handing a vehicle over, or taking one on, and you want the condition on that day agreed and recorded.
Why it matters
The business holding the agreement at the end of the term pays for any damage beyond fair wear and tear.
Without a record from the handover day, the incoming business can end up paying for damage it never caused.
It also protects the outgoing business from being blamed for damage that happened later.
Worth knowing
Photograph each corner of the vehicle, all four wheels, the roof, the boot floor and the whole of the interior.
Hold a newspaper or a phone showing the date in one of the photographs, so the date can't be argued about.
Compare what you find against the BVRLA fair wear and tear standard, which is what most funders use at the end of a lease.
The template
VEHICLE CONDITION RECORD
Vehicle: [MAKE AND MODEL] Registration: [REG]
Mileage at handover: [MILEAGE]
Date and time: [DATE AND TIME] Place: [ADDRESS]
Handing over: [COMPANY A], represented by [NAME]
Taking over: [COMPANY B], represented by [NAME]
Weather and light: [e.g. dry, daylight]
The rest of this template is free to members.
A template to adapt, not legal advice. Your own agreement and your funder's terms come first, and we'd always suggest checking anything you're unsure about with your accountant or solicitor.