Do you need vehicles for your business? If so, there is a lot to consider, such as finding the right make or model, organising fit outs, signwriting, sourcing reliable repairers, paying tolls or infringement notices and managing fuel expenses – the list goes on!
When you buy a vehicle, it can require a large financial outlay as you generally pay for the entire cost up front. You might have to take out a loan for the full purchase price and the vehicle will depreciate as it ages.
Maintenance costs often increase as vehicles age, so it’s also important to think about the total cost of the vehicle over time. In addition, there are other costs including fringe benefit tax, administration of fuel expenses, servicing and infringement notices.
Leasing a vehicle
Businesses don’t need to own vehicles to obtain a full benefit from them. An alternative to owning is to lease vehicles through FleetPartners.
Running a business relies on a steady cash flow. There are no up front costs with a lease and you can save your cash to invest into other parts of your business, generating better returns. Leasing provides the freedom to choose your preferred make and model of vehicle to include personalised fit outs and accessories. FleetPartners can provide lease terms up to 60 months.
A fully maintained operating lease provides the convenience of one monthly payment while bundling in costs and added services, such as annual registration, scheduled servicing and maintenance, accident management, discounted fuel cards, relief vehicles and 24/7 roadside assistance. This all adds up to make budgeting easier while saving you time.
Depending on your business circumstances, lease payments could be 100 per cent tax deductible when treated as an expense. You could also access a line of credit so you can be preapproved to lease more vehicles quickly as your business grows. What’s more, at the end of the lease term, you can choose a new vehicle on a new lease.
FleetPartners purchases and organises services for tens of thousands of vehicles while buying millions of litres of fuel every year. This national buying power allows us to pass discounts on to customers who will, typically, save up to 15-20% on fuel, maintenance, servicing and repairs. This all drives down your overall running costs.
Save time managing your vehicles. Whether by organising vehicle fit-outs, dealing with an accident or breakdown, finding a repairer, paying tolls or infringement notices, managing fringe benefit tax or reconciling fuel receipts, FleetPartners can take care of all your vehicle administration needs.
Vehicles depreciate and can be costly to maintain. Leasing provides more certainty regarding outgoings and outsourcing vehicle management, and allows you to focus your attention on your business.
Please visit fleetpartners.co.nz for more information.
Related: How can a business free up working capital in tough economic times?
