Buying A Company Car? Here’s What To Consider When Selecting A Business Vehicle

A recent report by AAA revealed that the annual cost of owning a car has increased to $9,282 from $8,849 in 2018. While a 24% increase in financing charges is to blame, fuel, maintenance, and depreciation have also increased,  according to Fox News. When choosing a business vehicle, your top priority is to get good value for your investment and ensure that the car will fit its purpose.  

However, if you are a first-time buyer, it can be challenging to know  how to choose the right company car for your business. With all the marketing out there, you are likely to make the wrong choice. That is why you should put various aspects into consideration before making a purchase.  

New or Used – Does It Really Matter? 

Learning the  differences between new and pre-owned cars can help you make wise decisions. For instance, both new and used automobiles have the same financing options. However, the rates and terms differ in many ways as value, features, and ownership costs vary. So make an effort to weigh your options beforehand by  comparing new and second-hand cars online.  

Dealership sites offer valuable information regarding price, performance, and features to simplify the car-buying process. Once you have reliable information, you can decide whether a new or used car fits your business needs as well as the budget.  

Setting A Budget For Fuel Economy  

For choosing business vehicles, fuel efficiency is an aspect you must consider. You don’t want to add expenses to your company’s budget for constant refueling. Therefore, pay attention to how much you can save money on fuel while still meeting the transport needs of your business.  

Fortunately, the market offers a  variety of fuel-efficient car brands you can choose from depending on your daily business operations. Choosing the Honda Fit or Toyota Corolla, for example, does not guarantee fuel efficiency only, it also comes with sufficient cargo space, and dependability features.  

Boosting The Company’s Image 

It might not seem necessary, but you should consider selecting a car that reflects your company’s image. The right car will give a good impression of your business. For example, if your operations focus on environmental conservation, driving an electric car like Tesla Model S makes a statement that you are environmentally conscious. Investing in the right vehicles can significantly improve business branding.  

Buying a company car shouldn’t be stressful. A rule of thumb is to avoid making decisions based on emotions as you would when choosing a personal car. Remember, the value of company cars revolves around aspects like reliability, safety, and money-management.

Ryan Kh

Ryan Kahn, known as a career coach and television personality. Ryan Kahn is founder of The Hired Group, author of Hired!