Why lease?
Commercial truck leasing is a great way for businesses to save some money on monthly payments, and also to save money on truck repairs. When you lease a truck, it is for a predetermined amount of time that almost never exceeds five years, so you get the benefit of having the trucks when they are new, which saves you the hassle of dealing with repairs, along with affording you the opportunity of feeling great about your shiny new trucks. On the financial side, commercial truck leasing allows you the opportunity to improve the credit of your business by keeping bank credit lines open, and also provides you with payments that are often fully tax-deductible.
Why not lease?
Leasing is essentially like long-term renting: you pay for a predetermined amount of time for the use of something that is not yours. Just as if you were renting an apartment, the monthly payments are much lower than if you were purchasing a comparable piece of property, but unfortunately, you are not building equity by making your payments. When the lease is up, however, you do have the option of purchasing the vehicle if you like, usually at a price that was determined before the lease period began. Another thing you should beware of if you’re considering leasing: sometimes there are strict guidelines about how many miles can be driven on a leased vehicle, and the care that must be taken of it (regular oil changes, etc.). If you fail to comply with these guidelines, you can often be charged a bundle extra at the end of the lease period.
If you’ve decided to lease rather than purchase your trucks, we’ve compiled a list of some of the best websites to begin your search at.
- BizFleet: Available online at BizFleet.com, BizFleet is a well-established business that leases trucks commercially, and finances the commercial leasing of trucks. BizFleet’s financing usually features small or no down payments, and fixed monthly payments during the term of the lease. Not only do they lease and finance trucks, they provide helpful general information about commercial vehicle leasing and financing, government agency vehicle leasing, and dealer financing services.
- Rollins Truck Leasing Corporation: An online equipment lease application may be found for Rollins at www.leaseprocess.com/reps/jr/. Rollins also offers full-service truck leasing and rentals. They offer the additional service of providing and managing transportation and logistics systems for those who lease from them. Their website offers some information about the benefits of leasing, and will tell you why “equipment lease financing make good business sense.”
- Capitol Financial: Although they do not have trucks to lend, they specialize in financing commercial vehicle leases, including commercial truck leasing. They can be found at www.capitolfinancial.com/about.html. They divide equipment leases into three types: application only to $75,000 with no financial statements necessary, middle market financing up to $500,000, and large ticket over $500,000. Capitol Financial is known to have a wide variety of options, and some of the most reasonable rates you can find.
Consider the information carefully before you decide whether commercial truck leasing is right for your business. There are many pros and cons to both commercial vehicle leasing and commercial vehicle purchasing which must be taken into account. Luckily for you, there are many websites dedicated to providing you with the information you’ll need to make your decision. Take the time to look at as many sites as you can, and include the ones mentioned above in your search.
By Laura Hogg