We’re always surprised just how many businesses don’t know how much their fleet costs them – and when you’re a growing business, running a fleet of vehicles can be one of your biggest costs. So any improvement in how those vehicles are financed and managed can make a big impact on your bottom line.
Of course, we’re very much pro-leasing – not least because we can see all the benefits – tax, maintenance, fuel costs and more. But whether you lease or buy your vehicles, you need to know the levers that you can push – and pull, that can influence your fleet costs.
Here we’ve picked out the big eight factors you should consider when you’re looking to optimise your fleet.
It’s estimated that the average car loses 60 per cent of its value in its first three years, based on the car being in good condition and covering 10,000 miles per year. So if you buy a £30,000 car now, you’ll have lost £18,000 in three years’ time.
If your employees are using their car for business, how are they insured? Have they got the right cover? Whose unenviable driving history is pushing up your premium?
How’re your drivers buying their fuel? And are your employees driving the most efficient cars?
Most fleets can reclaim up to 50% the VAT on a car lease. If the company buys the car, though? Probably not.
Who coordinates the servicing, maintenance and repair of your company’s vehicles? What if there’s a fault that causes an accident – are you liable?
How do you make a company car scheme cost-neutral? You need to look at the cost to the business, and company car tax versus other costs for employees.
Businesses can claim capital allowances on cars bought and used for business. How does this compare to the cost of leasing?
Company car mileage can have a huge impact on expenditure – especially your fuel costs and, if buying, the residual value of your vehicles.
Many deals are struck with only limited understanding of these forces. Take a look at our eBook to out if you’re on the right track. And for more information and guidance, call our experts on 01753 802448 or email firstname.lastname@example.org