The average motorist in the UK will drive approximately 556,764 miles and spend over £168,880, with £70,000 spent on fuel over their lifetime, according to the Express. When looking to purchase a vehicle for your business, it is easy to focus on the buying price only. But, aspects like the cost of repairs, maintenance, fuel, and depreciation dictate the overall ownership costs.
It is also essential to note that buying a company vehicle differs in many ways from that of shopping for personal cars. There are specific steps to finding the right vehicle for your business you need to follow, and timing also matters.
Meeting Small Business Needs
Although company cars give a good impression and represent the success of a business, buying a vehicle before your business needs it can harm your finances. That is why you need to specify the transport needs of your company beforehand. If you and your employees travel between offices or job sites often, deliver goods, offer client transportation such as a limo or taxi services, it is necessary to own a business car. Other reasons your business needs a vehicle include branding, sales travel, or transporting business items.
Set The Right Budget For Vehicle Investment
Remember, the price tag at the dealership store is not the only expense you will incur. You must account for insurance, fuel, and potential needs for repairs. In most cases, the cost of buying a car becomes a barrier for entrepreneurs willing to own company cars. But if you must purchase a vehicle, it pays to weigh different auto financing options.
An auto loan might be a perfect solution for your business. However, if you have trouble getting a loan or you don’t want to add company debt, consider leasing, as it doesn’t require a lot of money upfront.
Look For Car Dependability
Reliability is a vital aspect to consider when shopping for a company vehicle. Thanks to the Internet, you don’t have to wait until you purchase a car to know its dependability level. You can quickly review car dependability ratings and consumer feedback on reputable dealership sites. Consumer reports posted on car dealership sites help you assess automobile features, performance, and pricing based on reviews from certified owners of 3-year-old vehicles. This tactic makes selecting the most reliable cars for business straightforward.
Determine Best Time of Purchase
Automakers tend to offer cheap promos during the colder months. So, if your business survives through bad financial seasons, it can be an excellent time to buy a new car at an affordable rate. Nonetheless, the months of May to early August and December to January are good months to invest in business vehicles. When new models start, arriving dealers are always desperate to offload previous models, meaning they put them on sale at low prices.
Purchasing company cars shouldn’t be challenging. All you need to know is why your business needs a vehicle. Determine your budget and find the most dependable models.
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