Finance - buy or lease?
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Spend or Save?
Unfortunately there isn’t a one-sizefits-all answer, however, there are a few simple questions that will guide you to the perfect solution. The main two questions to ask yourself and your business are; do you have the capital to buy cars outright, and do you have the staffing resource to manage a fleet? At a very basic level, if you’ve got the money and staff then at least you know you could simply buy and run the cars yourself. However, you still may not want to go down this path for various reasons. Taking the finance side first, this needs to be broken down further. Even if you have the funds to go out and buy company cars, you may be better off using that capital to help grow your business. In which case, leasing vehicles may be a better option as your company develops.
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Daily management
Within the broad spectrum of leasing, you would then have a host of options. If you want a simple contract hire agreement where all you’re provided with is a vehicle, that’s fine, but you will also need to consider how you’re going to insure those vehicles, how you’re going to service them, and what will you do if one breaks down or is off the road due to an accident? It’s at this point you need to consider your own skills and staffing. You may have the resources to buy cars, but what about running the cars and also the drivers? We’ll come on to managing drivers in a future installment of our guide, but even looking after a small fleet of vehicles can be a complex task if you don’t know what you’re doing. This is where fleet management firms come in. Often these are attached to leasing companies, but there are dedicated fleet management businesses and it’s worth remembering that you can use separate firms for your leasing and fleet management.
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Business finance
Our Kia retail network can support you in choosing the right finance solution: ■ Recieve a highly personalized service, tailored to support your business needs ■ Choose from a broad range of ownership or operating lease solutions
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