Choosing Your Next Commercial Car: Buying Versus Leasing
The right commercial car can do a lot for your business. More than just a means of transport, it can help to refine your brand image, act as a marketing tool, and significantly impact your yearly expenditure.
Interestingly, each of these points can be impacted by the way that you choose to source your next car; through either buying or leasing. Although both will give you the chance to own the same makes and models, they will affect how much you pay, what you can do with your vehicle, and even how you’re taxed.
So, when it comes to making a decision, it really does pay to be informed…
The Pros of Buying Your Business Car
One of the major differences between buying and leasing a car is that one awards you ownership, and the other does not. Although some people are not overly concerned by this, it is important to note that it impacts your ability to retrieve the funds invested in your vehicle if the need should arise. This is where buying from a company like Shelbourne Motors has the edge. Should you find yourself requiring an emergency injection of capital, bought cars can be sold, giving you the freedom to invest your money where you really need it.
This freedom of ownership also means that a car that you have bought and paid for can be used as a marketing tool in a way that a leased counterpart could not be. If you wish to modify your vehicle in order to add the details of your company to its side or rear, for example, only the former option would allow you to do so.
The Pros of Leasing a Commercial Car
This is not to say that leasing is lacking in attractive qualities. Indeed, there are some who prefer to spread the cost of their purchase over a period of months, in order to leave more money in the bank than there would be if they spent a lump sum.
Additionally, some professionals like the certainty and security of having maintenance costs covered as part of a leasing package, claiming that this makes leasing the more cost-effective option of the two. On this note, they also cite the tax deductions available for those who choose to use such an agreement, which can amount to further significant savings.
As we have shown above, both leasing and purchasing have a number of advantages for those considering their options. In the event, the superiority of one over the other comes down to no more than personal preference, so take the time to work out which of the two would be better for you, and the outcome should always be a positive one.