When your business needs a commercial vehicle, it’s a cost to your business however you obtain it. Hence, it’s very important to consider what you need and how to obtain the vehicle for your own business, to keep costs low and operations hassle-free. In that respect, one of the most popular ways to operate a commercial vehicle is to lease it.
Leasing removes the need for companies to also own and service their vehicles, and disposing of them in the end. It provides a flexible mode of vehicle fleet operation that can be adapted to different periods of time and needs.
Here are some factors you need to consider when planning to lease a commercial vehicle for your operations.
1) What Kind of Vehicle Do You Need
The very first factor is of course to identify the kind of vehicle you need for your particular operations. From cars to vans to trucks, each vehicle type offers different pros and cons, and is suited for different purposes. You need be clearly understand what purposes you need it for, and what impression you want the vehicle to make of your company.
2) How Long Do You Need It For
A key benefit of a lease over car ownership or renting is its suitability and cost-effectiveness for a mid-length usage period that is itself very flexible in length, ranging from a few months to a few years. When deciding to lease a car, it’s important to figure out how long you want to lease it for.
3) What Functions Do You Need
If you’re leasing a vehicle for commercial functions, chances are you’ll need to take into account the vehicle’s functions and its fittings. Some of these fittings include a canopy, a tailgate, an enclosed cargo space, a chiller or freezer, or an open deck, for cargo vehicles.
For example, if you’re a frozen food company, you need a vehicle that has been fitted for refrigeration.
Good car leasing companies will provide you the option of customising your commercial vehicle with the necessary fittings and functions that you require to ensure the vehicle suits your operational needs.
4) What is your Budget
Once you’ve sorted out the kind of vehicle you want and for how long you want it for, the dollars and cents are the most important consideration. As a business, you will have your own budget, and you’ll want to ensure that the vehicle you get can fit into that budget. Carefully plan your budget, and look for vehicles that suit your needs that also fit within the budget.
If you are unable to find a suitable commercial vehicle to lease at your current budget, this may be a sign that your expectations are too high for your budget. You will have to either increase the available budget to cater for this, or reduce your expectations or the amount of customisation you demand so that it will fit within your desired budget.
5) What is your Credit Rating
A commercial vehicle lease is similar to a loan, in that a vehicle is lent to you in exchange for regular payments. Hence, like loans, your credit rating, and the rating of your company, is crucial for securing the best terms for a commercial vehicle lease.
One good way to ensure you get the best deal possible is to check your credit score, and ensure that your credit score is healthy before applying for a commercial vehicle lease.
6) What are the Payment Terms
Lastly, when you have found the perfect commercial vehicle and the perfect leasing price, the last thing you need to do before signing on the dotted line is to look carefully at the payment terms, to ensure that they are agreeable to you. Consider not just the downpayment, but also the instalment schedule, as well as how fees and charges may be levied in certain situations.
Familiarise yourself with the terms, and if necessary, discuss and negotiate the payment terms to suit your business’ financial situation and cashflow.
Lease With The Best
To ensure the most favourable car leasing experience and packages, it is important to lease your commercial vehicle from a provider that is experienced in the automotive industry and has acquired a reputation for some of the most competitive lease packages in the industry.
ETHOZ has decades of experience in offering car leasing and car rental services for both private and commercial vehicles, as well as offering financing and other equipment leasing services for businesses.
Committed to help businesses get the wheels they need for their operations in an affordable and flexible manner, ETHOZ offers commercial vehicle leasing stands ready with a versatile fleet of ready vehicles to serve your needs at a good and affordable price.
Speak to us today, to start unlocking more capabilities in your business!