A new partnership is helping Australians challenge how they access and own vehicles. Leading salary packaging and novated leasing provider Smart and Australia’s No.1 car subscription provider, Karmo, have partnered to launch a flexible novated subscription with a minimum term of just four months.
This innovative solution offers a genuine alternative to traditional car ownership models, such as car loans and outright purchases, by combining the flexibility of subscription with the financial advantages of novated leasing.
The partnership is in line with a growing consumer desire to simplify the time and money spent accessing a car and how long you own it for. Among the first of its kind in Australia, this fully managed novated subscription solution offers short-term mobility without long-term financial hurdles.
Novated subscription allows people to bundle the financing, insurance, roadside, registration, servicing, maintenance, and registration, in one simple payment that reduces your taxable income.
“It’s the clever way to car” said Nick Boucher, CEO of Karmo.
Karmo and Smart are fundamentally redefining car access by providing exceptional flexibility and convenience to all for a price point that rivals total cost of ownership. Our subscription model is validated by over 500% subscriber growth in the last three years. While changing consumer mindset takes effort and time, our strategic partnership with Smart will be instrumental in rapidly accelerating market awareness for both Karmo's proven value proposition and the transformative potential of our sector as a whole."
“Car ownership in Australia is changing. For anyone who doesn’t want to be locked into a five-year loan, whether they’re professionals, families, employers or growing businesses, this partnership provides a smarter, more flexible alternative. By combining subscription and novated leasing, we’re offering Australians a seamless, cost-effective and fully managed way to drive the car they want, for as long as they need, without the traditional financial burden or red tape.”
“Expectations around car ownership are shifting rapidly,” said Sid Jha, Group Executive, Novated Leasing and Electric Vehicle Services at Smart.
“Australians are looking for smarter, more flexible ways to drive the cars they want, for the time they need, while maximising their salary benefits.
“By integrating Karmo’s subscription model with Smart’s expertise, we’re offering a fully managed solution that disrupts the old challenges of car loans and cash purchases.”