Should an owner-operator buy or lease a commercial vehicle for businessDec 10th, 2019
To buy or not to buy, that is the question. Over the past decade, the debate has raged with increasing intensity about whether purchasing a commercial vehicle outright or leasing makes the best business sense. And while some may still favour buying, the balance appears to be tipping towards leasing a commercial vehicle. Wherever your commercial vehicle needs lead you to acquire your vehicles, your goal is to find an experienced partner who can save you time and money.
Here are some benefits of leasing a commercial vehicle:
Reduced acquisition costs are a significant advantage to leasing commercial vehicles rather than buying them. Cash is the lifeblood of a business, and purchasing a vehicle ties up capital in a depreciating asset when it could be invested elsewhere in the business. Many business owners prefer to pay their transport needs in smaller, fixed, regular instalments rather than one large, upfront sum. Due to their impressive buying power, leasing companies can provide competitive monthly rates for your commercial vehicle.
Today commercial vehicle leasing companies offer businesses flexibility. Flexibility helps minimize the risk, which is what you want when you buy your commercial vehicles. They can offer a variety of products and services, for example, leasing options on new or used vehicles and unbiased product advice.
Vehicle leasing companies such as Surgenor National Leasing with a long track record of success can provide you with a variety of flexible and affordable leasing options to your business. The flexibility extends to the end of your lease, too, with options to buy-out your commercial leased vehicle, remarket it, or continue with the lease. In each case, your commercial vehicle leasing requirements can be easily adapted to suit your current needs.
Another key factor that a small or medium business can benefit from leasing is the access to modern, fuel-efficient vehicles every three to four years. As commercial vehicle sophistication evolves, leasing also provides businesses with the ideal way to access the very latest technology without a significant investment. Leasing agreements will typically offer flexible end-of-term options, meaning businesses can upgrade to the newest model without a hassle.
Other benefits are that leasing reduces maintenance and repair expenses. The longer you own a commercial vehicle, the higher maintenance and repair costs will be. Also, leasing doesn’t depreciate. A new commercial vehicle purchase is a depreciating asset. By contrast, leasing will not show up on your balance sheet and won’t reduce your company net worth.
When you are sure of leasing your commercial vehicle, visit Surgenor National Leasing @ www.snlease.com.