Leasing vs. Buying Fleet Vehicles for Your Construction Startup
Understanding the benefits and perks that are associated with leasing fleet vehicles for your company can revolutionize your business. Although buying fleet vehicles straight out might seem cost-efficient in the long run, the opposite is often true. After all, leasing businesses for fleet vehicles would not be booming without bringing some major advantages to the table.
With the shift to leasing vs. buying, you’ll quickly find yourself managing your fleet with an ease that will feel immediately natural. Whether you’re looking for a van for your business we’ve got the perfect van leasing uk deals for you. When starting your construction business, saving every penny helps, and this will provide one of the best, most reliable ways for you to do so. To help demonstrate why leasing can make your business reach new heights of success, here is a handy guide that will educate you about leasing vs. buying fleet vehicles for your construction startup:
1. Upgrading Your Fleet Becomes a Breeze
If you’re constantly buying new fleet vehicles, upgrades become immensely more difficult. Not only will you need to put serious man-hours into selling your current vehicles, but the price of buying is much higher than those involved with simply leasing your vehicles (even in the long run in most cases). Leasers often have more access to multiples of specific fleet vehicles as well, so getting the number you need to keep your fleet uniform and efficient becomes much more accessible.
2. Reduce Total Ownership Costs by an Average of 10-15%
The cost of your business can be massively impacted by whether you choose to buy or lease your fleet vehicles. If you want to save an average of 10-15% in overhead costs every single year, leasing is a smart decision. Not only will this free up money for maintenance, but it could even give you money to invest in programs that help you harvest valuable data on your fleet vehicles. Doing so will give you the ammo you need to make cost-effective, job-growing changes to your business and fleet vehicles in the coming years.
3. Increase Your Financial and Capital Cashflow
Since leasing does not require a lot of up-front cash, there is an abundance of easy-to-arrange, accessible options to choose from if you go with the leasing route. If you buy instead, you’ll find yourself bogged down by additional hours put into managing purchases and discovering what’s available in your area. The more separated insurance packages that come along with vehicle purchases will only complicate these issues that much further. Access to credit and loans is much easier to come by than large amounts of cash as well, making leasing come out as the best option for construction companies once again (especially when you’re first starting up).
1. High Investment Costs Decrease Your Ability to Stay Current
With the amount of money you’ll be putting into straight-out buying fleet vehicles, the time it will take to restock your funds for upgrades will take way too long to stay current. Without current models and technologies in your fleet, finding clients for your business will prove to be a much more uphill battle. After all, appearing as the best, most in-the-know company is crucial to staying ahead of the competition (no matter what industry you’re navigating).
2. Under-Utilized Vehicles will be Retained for Longer Periods
When it comes time to sell a vehicle that you’ve purchased, the sheer complexities of getting rid of the vehicle in a costly, timely manner will drive you up the wall. The laws surrounding how these vehicles must be sold or otherwise disposed of in some states only make this process that much more frustrating. By leasing instead, you can make the switch between different models and types of fleet vehicles a breeze. Especially for smaller businesses that cannot afford a ton of overtime, this becomes a key reason as to why you should always lease your fleet vehicles instead of buying them.
3. The Larger Variety in Your Fleet will Make Fleet Operations Less
Companies that buy their vehicles instead of leasing them are nearly guaranteed to have a huge variety of vehicles in their fleet’s makeup. To avoid the endless complications that come along with this, leasing provides you with the choice of simply grabbing bulk quantities of any fleet vehicle that you might need multiple of. Without a streamlined fleet, insurance, operations, and employee training will become much more expensive (and put you at a disadvantage when compared to other companies that you’re competing with in your area).
Buying Just Can’t Compare with the Benefits of Leasing
A recent uptick in demand for construction workers has made it a stellar time to create a construction startup. With these helpful tips on leasing your fleet vehicles, you’ll be able to get ahead of potential competing startups from the get-go.
When it comes to fleet vehicles, the management and cost benefits that come with leasing (as opposed to buying) are hard to overstate. From freeing up man-hours to making the purchasing process much simpler, leasing is simply the way to go. Even if you’ve been hesitant about leasing your company’s fleet vehicles up until now, this guide should help put your worries to rest.