27Nov

What happens when your leased van breaks down?

Today the most prevalent method of getting vehicles for a company is through leasing, and now companies both large and small are using this method to save money and expand their business. It allows them to have more vehicles with less money invested at a particular mutually agreed range of distance and period. So what exactly is business van leasing?

When a company takes a vehicle on a lease from a vehicle leasing company, at a fixed amount of money to be paid monthly, subject to the van being used for business purposes predominantly, then it is called business van leasing. The contract has all the details like the amount of money to be paid every month, the distance that a vehicle can travel every month and all other important facts about license/registration and insurance details.

This way a company can use a van as long as it needs and at the end of the contract the vehicle is returned to the owner company. This way a company can lease out many vehicles without spending the huge amount of money that would otherwise be needed. The company can utilise the money saved this way in other activities. The details in online websites like www.vanleasingquotes.com have comprehensive information and it is easy to check out the benefits of leasing a vehicle versus buying it.

Another factor is that the vehicles depreciate at a particular rate every year. So once a vehicle is bought, the company starts losing money. After a few years, the vehicles become old and have no significant value. But if a company leases the vans, then it can always take newer and better vehicles every few years.

The maintenance costs are covered by the titleholder company and that is a big boost in favour of leasing a vehicle. Last but not the least, who does not like to show off new and bigger vehicles.  Instead of buying, which will cost a large amount of investment, leasing makes it possible to have fancy vans in the fleet of your company at a fraction of the cost. This will create a great reputation for your company, without really spending the amount.

So you can see that van leasing is a simple process and can benefit your business in many ways.