PPP Car Leasing Policy designed for Start-ups

The time in which we are living today is the age when start-ups are exploding Everywhere like never before. The sheer enthusiasm being brought by motivated young entrepreneurs is certainly to reckon with. These individuals are leaving no opportunity to prove their worth in this thriving culture of innovation and technology. One thing which is conspicuously inspiring in this saga of entrepreneurship is that these people have challenged the pedigree of overarching domination of big established businesses.

But in this current pandemic situation, to tackle financial problems, many founders are looking for new options to retain and incentivise their employees but have not been able to find any beneficial way. ?

This brings us to an important question:?- Why should start-ups adopt a car leasing policy?

Hiring the right talent: Difficulty in Hiring the right talent especially when large corporations are doing out incentives/Allowances for the talent pool available. It is difficult to match the compensation being offered in a large organization. However, car as an incentive in CTC for a new joiner can bring tax benefits & personal mobility for employees. For start-ups, it’s the best way to retain & attract new talents at zero cost.

How can a car leasing policy can help retaining employees at start-ups?

Not able to hike in these times where businesses are already under Revenue stress: Because of this Pandemic, which has already brought down the economy of the whole world, many of the big organizations and start-ups as well are facing huge financial losses. The negative impact on business created by this pandemic put many start-up founders in that situation where they are not able to pay annual salary hikes to their employees.

To manage business cash flows many organizations are resorting to layoffs. Many start-ups and big organizations are lay offings their employees so that they can save some of their finances. Because of this layoff, the anxiety situation has been created among the employees who are left in the organization and it is a high possibility that they may not be able to perform their job or duties as well under these circumstances.

Introducing the Car Lease Policy allows the Employee to save a considerable amount of personal taxes thereby increasing the in-hand salary. In times of pandemic, wherein Salary hikes are not forthcoming, this is a completely cost-neutral way for the Start-up to increase in hand salary for the Employee.

With the help of car leasing, employers can increase the in-hand salary of their employees by restructuring the salary which will provide mobility + money in-hand comfort.

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How car lease policy works & why used car lease policy suits every start-up.

Car lease policy is a proven tool to retain existing employees & attract new talents. Car lease policy provides huge Tax saving opportunities for employees & it’s cost-neutral for the start-ups.?

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How Pumpumpum can help these start-ups to address these challenges?

Pumpumpum is an asset-light fintech mobility platform. We are empowering pre-owned car users with a loT enabled smart car subscription model. Employees can select a pre-owned car of their choice without worrying about the price, financing, warranty, quality & depreciation of the car.

Globally 60% of cars are on leasing while in India this number is only 4%. Even though leasing provides huge benefits in terms of daily maintenance, insurance, car purchase, car resale etc, still very few of us have tried this model. PPP is democratizing car leasing via offering used cars on lease at very affordable prices. Employees can select a pre-owned car of their choice, without worrying about the price, financing, warranty, quality & depreciation of the car.?

New car lease Vs Used car lease:

New car leasing companies are prevalent in the market, but they generally qualify or offer their services to blue-chip companies. New car policy has low adoption because it needs minimum locking of 3-5 years, which in today’s scenario is difficult to commit, hence very low penetration in corporates. Also, there is a high foreclosure penalty in case an employee is switching to a company that they don’t allow in retail.

Pumpumpum is revolutionizing the car leasing approach by offering high-quality pre-owned cars with very flexible tenures starting from 6 months - 24 months. Also, even if an employee is switching the company, then he/she can continue using the car in a retail capacity.?

For employees already having a car can also convert their car into a lease car & start saving money.?

How to launch a car policy

Pumpumpum has made launching a car policy very easy and comfortable for any start-ups & MNCs. PPP provides a completely digital onboarding kit, which includes a car lease policy & how to structure the salary, No HR & Admin hassle, PPP takes care of all.

• Pumpumpum provides support in drafting car lease policy which also takes care of chauffeur salary & fuel reimbursement.?
• Based on company employee eligibility criteria, all employees link to our corporate dashboard.
• HR/Admin gets a digital dashboard to view & manage employees who are looking to get a car under the company car lease policy

About Pumpumpum

Pumpumpum, Founded by a passionate team of ex-IITians? , Senior Leasing?Professionals & serial entrepreneurs working on affordable & flexible mobility solutions?and are determined to change the way a Pre-Owned Car ownership journey is defined today.??

The company is a pioneer in offering short-duration leasing product (6 months to 24 months) on private registered cars at the most affordable lease EMIs. By creating a niche space to support the entire Used Car ecosystem including car dealers, customers, insurance partners, automobile workshops, banks & NBFCs, PumPumPum is seamlessly taking care of all the Used Car Owner’s risks such as repair, maintenance, tyres, batteries, car resale value, insurance, etc. for a safe and comfortable journey with hassle-free ownership.?

Offering pure Operating Lease Solutions for the Corporates, SMEs, and MSMEs, the company has strongly established a robust network of supply-side partners- OLX , Cars24 , LeasePlan , Avis , SMAS etc.; banking partners- Canara Bank , ICICI bank , Kogta Finance ; bureau score and credit partners : Experian etc. and Insurance Partner- IFFCO Tokyo.?

For more information, please visit: ?https://www.pumpumpum.com/