Why does commercial vehicle leasing make sense?

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Why does commercial vehicle leasing make sense?

Many business owners and aspiring entrepreneurs starting up a business enterprise often times encounter a lack of enough resources. Many might have the capital to purchase machinery and hire labor but stay undecided on whether to buy or lease a business vehicle. Although buying a business vehicle guarantees you full ownership, leasing has many benefits and can make a lot of sense for many different types of business owners. At Pfaff Leasing, we make it easy for our clients to obtain a business vehicle or a fleet of business vehicles for their operations. With locations in Vancouver, Calgary, Montreal, or Toronto, we can help our clients find the commercial vehicles they need. In this blog, we share some information about why commercial vehicle leasing can make sense for your business. 

Low monthly payments 

We all agree that leasing a car instead of buying one for the business cuts down the capital required to run the business. This is very beneficial to business owners who are new to entrepreneurship since the only objective every business wants is to minimize costs and maximize profits. The lease amount payable every month is between 30% to 60% of the value of the car which is way cheaper than acquiring a new vehicle. This allows the business to utilize the savings made on other assets required by the business.

Get into new vehicles more often 

If your investment involves working with the public, then business vehicle leasing will actually promote your image. This is a better way of enhancing your business’s name as well as impress your clients. On the other hand, lease monthly payments are cheaper compared to buying a new vehicle, many business owners end up driving luxury vehicles every now and then which would otherwise be very difficult to get through buying. Alternatively, the monthly lease amounts payable are less compared to the amount a business owner would pay if the car was bought on loan.

New vehicle warranty

As a business owner, you should be clever enough to lease a vehicle at a time that coincides with the warranty period covered by the car’s manufacturer. This means that in case something goes wrong with the car, the manufacturer is responsible and caters for all repair costs. At the same time, many leasing companies offer maintenance schedules during the lease period. On the other hand, many companies also offer a fully maintained operating lease meaning anything that goes wrong with the vehicle remains the responsibility of the company which saves you on business costs.

In conclusion, leasing business vehicles are the best thing that a business should venture into instead of buying. It actually cuts down the costs that the business incurs and by doing so, the profit margins at the end of the month are higher. For more information about why commercial vehicle leasing makes sense for businesses, we encourage you to continue browsing through our Pfaff Leasing website.

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