Important Considerations When Buying a Vehicle for Your Business

Since 2017, there’s been a massive rise in commercial fleet ownership in the US, with an increase of around 1.9 per year annually. These figures highlight the fact that most businesses do in fact need a vehicle for commercial purposes. When purchasing a business vehicle there are numerous considerations, and reliability, vehicle history, gas consumption, and engine condition are some of the usual concerns. However, if you’re going to buy or invest in a vehicle for business and commercial purposes there are a few key tips that need to be weighed up.

Determine What Function Needs to be Filled by the Vehicle

There’s an endless number of different types of cars and vehicles available for purchase. From long-haul transportation trucks to dual vehicles and small city cars, each of these vehicles can perform a different function. The type of vehicle you buy for your business can only be determined by looking at what services your company offers and what function the car will need to fill.

Practicality Counts

If your company works in the construction industry and the vehicle you buy will need to transport construction materials, you would not be well placed after buying a Toyota Yaris. Instead, the company would need a cargo van or a pickup truck for the transportation of large and often dirty materials. This will also influence the pricing and affordability of the car you need to purchase.

New or Used – Which Suits Your Company?

Whether buying a car for personal or business use, the question of whether a new or second-hand car is best will always be asked. This is because, in certain circumstances, it makes little sense to buy a brand-new car when a used one will do the job just fine, at a much lower price. For small businesses, it might make sense to buy a used car. The operations of the business might not require a new car, and the affordability of a used car might be more in line with their budget.

Beware of Hidden Expenses

Buying a used vehicle could come with many hidden expenses related to maintenance and mechanical failure. Should your business vehicle break down, the average cost to tow a car stands at around $5 per mile, and depending on the location of the vehicle – this could end up costing hundreds of dollars. If a used vehicle is a consideration, it’s essential that it’s carefully checked over before purchase as you don’t have any comeback should something go wrong.

Focus On Functionality and Affordability

While a Porsche 911 may be rated as one of the most reliable brands it’s certainly not the ideal business vehicle for everyday use, especially not for companies on a tight budget. Functionality and affordability are two considerations that go together in the process of buying a company car. The needs of your company and the services that you offer will dictate the class of vehicle you need to buy and whether or not durability will play a role in the lifespan of that vehicle.

Follow these tips before choose or buy a vehicle that could potentially elevate your business.