There are many things to consider when choosing the type of car that’s best for your company. First, ask yourself a few questions to get a general idea of a suitable vehicle.
Will you be driving around city, motorway or rural areas?
Let’s start with the city. The driving conditions in the urban environments require the heavy use of brakes and engine, so you’ll need to look for a car that is small and easy to manoeuvre.
Meanwhile, if you require longer journeys on the motorway, then look for a durable car with good MPG.
For rural areas, check out off-road SUVs that can handle mud, uneven road, floods and the like with ease.
Finance or lease?
Another important decision is whether you’ll buy or lease. If you want to own a car, then buying is the best option. Leasing is for those that would like new cars, but don’t want to pay large monthly payments to own one. Additionally, some dealers offer insurance included with finance so it takes those extra costs out of the picture.
Ultimately, it depends on the business cash-flow and needs which option is the right one.
Car or fleet?
For smaller companies with less than ten people, a fleet isn’t necessary unless all of them are travelling for the company regularly. In that case, a few cars will suffice, but typically when you require three or more cars it becomes a fleet.
A fleet is a group of cars that the company uses exclusively for business needs. These have a few notable benefits, such as discount from dealerships and lower tax rates. The things to consider include servicing costs, as well as the possibility of missing ones if the company has many locations.
Once the bases with driving conditions and quantity are covered you can check which cars are the best for your occupation and workplace, so that it can represent the brand appropriately.
The vehicles will differ based on the type of business and its needs. Let’s take tradespeople as an example. Spacious MPVs and vans are perfect for this occupation since they can fit equipment and a small crew with ease.
On the other hand, office vehicles tend to be smaller since there aren’t as many people in one car. Additionally, business owners choose them to save up on fuel costs.
There are always exceptions of course, such as luxurious executive cars for directors and others at the top of the company.
Road tax and insurance
Pay attention to the road tax and insurance as they can make or break the deal. Calculate the potential tax on http://cccfcalculator.hmrc.gov.uk/CCF0.aspx to see how much you’d need to pay. Cars with alternative fuel like electric and hybrids will pay reduced rates. CO2 emissions are also considered when calculating the cost.
As for insurance, it is the responsibility of the one who’s car it is. Whoever buys or leases a car, they must insure it. There are a variety of insurance companies offering competitive rates for businesses so there’s no shortage of good deals.
According to Statista (2020), petrol is the most popular with 63.5% using it over diesel and electric options. However, electric and hybrid car popularity is rising, especially since there are loads of incentives from the government.
And here you have it – hopefully, this mini-guide has been helpful and good luck in your car search!