Why New Businesses are Leaning More & More towards Vehicle Leasing Services
By SMAS INDIA
17 February, 2020
Be it large corporates, SMEs or new startups, transportation comes up as a cost and logistics challenge. Corporate transportation spans from ferrying employees from remote locations to delivering critical goods on time. While businesses always have an option to purchase the vehicles, setup a management department and supervise all the operations, it rarely turns out smooth.
The Challenges of Managing a Fleet
Cost is just one aspect. There are several other challenges associated with corporate fleet management. Most common of them are;
Workforce Management– From fleet managers to drivers, it becomes the company’s responsibility to align every employee and work with them efficiently; it is rarely the case.
Vehicle Maintenance– As a business, one cannot afford to run poorly maintained vehicles. However, it is equally tedious to track the maintenance requirement of each vehicle and optimize the cost.
Employee Satisfaction– This shouldn’t be a concern if every gear of your fleet runs butter smooth. Though, poor fleet management can lead to decreased employee satisfaction.
Miscellaneous Reasons– These include insurance, cost of hiring fleet managers and drivers, no tax benefit, etc.
Vehicle Leasing Services at Rescue!
It is at this moment when reliable Vehicle Leasing Services, like SMAS India, arrive to solve the corporate transportation forever.
Vehicle leasing is not just a cost-effective solution for businesses of all sizes, but also a seamless option that keeps operations running smoothly.
Following are the reasons why businesses are leaning more and more towards Vehicle Leasing Services.
Set Motoring Cost without Depreciation
One of the best things about hiring a corporate vehicle leasing company is that the business avoids the depreciation cost. Since, they don’t own the vehicles and only pay an agreed-upon monthly figure, they don’t have to worry about reselling the vehicles and deal with brokers and banks.
Moreover, leasing vehicles saves a high upfront cost required to purchase vehicles. That means the business can leverage the excess funds and does not have to deal with a reduced cash flow in terms of EMIs and overdrafts. Car leasing companies take end-to-end responsibility of providing and maintaining the vehicles.
Advantages of a Modern Fleet
Suppose a business invests in an owned fleet. Despite regular maintenance, the vehicles will get old and outdated soon. This might be brand-image issue for some companies, but largely, it is an employee experience issue. With Corporate car leasing companies, businesses get latest vehicles with modern creature comforts, features and amenities. Whether you wish to lease sedans, SUVs, MUVs, even commercial vehicles, you will always get the best vehicles from the market.
The moment a vehicle steps out of the parking lot, it becomes a liability of the owner and the driver. If a business is managing multiple vehicles, their liability on the road increases. This exposes businesses to certain risks like fines, accidents, etc. However, if you hire a vehicle leasing company to cater to your business transportation needs, then you can sit back and relax. Critical liabilities lie with the fleet operator and you can enjoy their services with peace of mind.
Enhanced Employee Experience
With the services of a car leasing company, you can be assured of a better employee experience. EX is crucial for long-term retention. When employees absorb the comfort, quality and punctuality of the transportation provided by their company, they tend to label it as an ‘add-on’ benefit- something which others might not offer. Clean and latest vehicles reflect your brand’s thoughtfulness and meticulousness for the teams and staff. If you wish to earn more ‘employee-benefit points,’ go for a reliable vehicle leasing company like SMAS India.
Boosted Cash flow
Think about the following factors;
No EMIs on vehicles
No down payment for vehicles
No monthly maintenance cost
No fleet workforce management
Tax benefits on leasing vehicles
No depreciation cost
If one adds all the above points, one would notice an increase in the business cash flow in the spreadsheets!
Wait no more! Save more time and money while retaining your talented workforce. Lease vehicles from SMAS India today!