When deciding to get into the trucking business, there are so many things to learn and even more to consider. One of the biggest questions is whether to buy outright or lease a vehicle. There are benefits and drawbacks to both, so we’ll break it down for you.
Buying a truck outright
…can be better if you want to retain ownership and have the flexibility to sell it in the future. However, you will also take on more risk by assuming all of that responsibility and being liable for any damages that occur during your time of ownership. The downside is that you have to pay upfront; dumping thousands of dollars into this endeavor can be daunting for some people. Renting a truck requires no down payment but does cost more in the short term- but can save a lot in the long term if mileage charges are taken into account.
Leasing a truck
…can be a good fit for individuals who are or are not committed to the long term- you can keep using a truck (and get or keep your business going) without having to take ownership of all of the liability. This can also be helpful if you’re not sure what kind of truck you want. Of course, you still have to pay for it, and often a bit more, but it will save you some cash over time compared to buying outright if you end up not wanting that type of truck. Each individual person will have different answers to these questions, so just take time to think things through and you’ll come up with a decision that works for you.
Choosing a Truck to Lease
Leasing is a good option if you need a truck while on the road, but it can be difficult to find one that suits you. When comparing prices between available options, make sure that you’re getting the best lease rates in your area (and possibly for your vehicle type) so that you’ll get the most for your money. Just as ordinary vehicles are driven by all types of people, trucks are used by all sorts of drivers who need them on the road all hours of the day and night. Interest rates and payment schedules vary based on your region and vehicle age so be sure to ask around before signing with any company.
You can in some cases save some money by choosing the right company and truck lease for your needs. Maximize your cash flow and take time to look over your options before deciding on one. With so many things to choose from, picking the best vehicle lease can be overwhelming. Fortunately, you have a lot of information at your fingertips- all you have to do is use it. Whether you purchase or lease a truck is ultimately up to you, but don’t get stuck on one option or the other unless it’s absolutely the best choice in your situation.