Many people are familiar with the idea of leasing a car for personal reasons. But what a lot of drivers don’t know, is that commercial leasing also exists as an option for small business owners to increase their company’s fleet, while saving a substantial amount of costs. From making product deliveries, to meeting your clients for lunch, your business requires at least one or two vehicles that each have their own specific purpose. You wouldn’t meet your CEO in a beat-up looking domestic car, now would you? If you’re a business owner in Canada, commercial vehicle leasing could open up several major advantages, like tax savings, increased profits, and lower cost margins. We’ll outline everything you need to know about commercial leasing, and why you should consider it as your next big business move.What Is Commercial Car Leasing?
A car lease refers to a fixed payment over a certain period of time, with the intention of returning the leased vehicle to the dealership you bought it from. Many dealers offer vehicle leasing programs as an affordable option to buying the vehicle up front, but people lease for a number of different reasons. For starters, you pay a lower cost up front. Then on top of that, interest rates are generally lower and so are the taxes. Commercial car leasing, on the other hand, provides small to large corporations with the necessary fleet options to support professional business operations. Many business owners require the help of a working vehicle to move product or conduct work-related functions in order for their business to prosper and grow. Take the following example. If you own a plumbing company, would you show up in your personal BMW? There’s no way all of your tools and equipment would fit. The same goes for executives. You wouldn’t take your cargo van to a business conference. Commercial vehicle leasing caters to each individual client’s specific business needs and matches businesses with the appropriate vehicle to get the job done.
At Somerville Auto, we have full-fledged commercial leasing options available for small and large fleets. We’re able to offer some of the most affordable leasing options across the GTA thanks to our relationships with dealer networks across the country.
Any business owner can tell you that the cost of running a business is expensive. From renting office space to all of the costs incurred hiring and training employees, the money it takes to purchase a fleet can make even the most business-savvy person shudder. Everybody knows that the minute you drive a new car or truck off the lot, it’s value plummets. Just like a regular car, commercial vehicles encounter depreciation hits. Commercial leasing is widely used by businesses as a means of acquiring the necessary vehicle for the job, without dipping into valuable cash savings and throwing money away up front. When you opt to lease a commercial vehicle, you avoid buying into a permanent company car, and can enjoy lower monthly payments, tax savings and customized lease agreements while still enjoying the newest equipment. Plus, if your company plans to do any growing (which we hope it will), you don’t have to worry about being stuck with the same vehicle for more than three years. Once your lease is over, you can upgrade to a newer fleet and not worry about calculating resale value.
Are you looking to expand your business operations, and need access to a reliable vehicle? Learn more about Somerville Auto’s commercial leasing program! Have a question? Give us a call today at 1-(877) 503-5102 or contact us online for more information.