You cannot claim it back on used bikes and this may include ex-demo.
Ex demonstrators are usually OK as will be used bikes being sold by VAT registered businesses (so long as they bought new or from a VAT registered business, etc.).
As has been said you have to account for VAT on sale and on the private use element of the depreciation.
As for running costs and taxation issues, it depends on your circumstances so take advice (or get your company to take it) but its well worth exploring.
Paul