LOOKING BACK: FLEETDRIVE ISSUE 16
FLEETDRIVE
Government and private business are responding
to market preferences with infrastructure
investments, ensuring that drivers who want to
charge more regularly have increased access
to chargers when they are away from their
homes and office. All the major parties in this
year’s federal election have committed to an EV strategy, which is a positive indicator that we
will continue to see infrastructure roll-out across
Australia in the coming years.
Leasing vs Purchasing affect your financial outcomes and should be
considered as alternatives depending on your
business situation.
You know your fleet and business needs best,
but here are some top considerations that
you should keep in mind when deciding if you
should implement new vehicles into your fleet
operations.
1. Financial considerations
Until that coverage is complete, the Outlander
PHEV is a great transitional vehicle, ensuring
that when Australia gets more EVs and charging
infrastructure, drivers are already prepared.
2. Meeting business needs
When it comes to meeting the needs of the
business, key cost levels include whether you
anticipate a high- or low- turnover rate, whether
you have lots of wear-and-tear and whether you
need high-investment specialty vehicles. In order
to achieve an optimal outcome, you should be
clear on these factors.
Leasing is essentially paying for the use of
the vehicle, without taking on the asset and
associated costs such as administration or
servicing. Leasing is often a lower monthly cost
when compared to the cost of buying a vehicle,
3. Fleet maintenance
which can help you preserve capital budget and
The number of vehicles your company needs to
reduce liability. And, lease vehicles are often newer,
maintain can be a deciding factor about whether
which improves overall safety and fuel economy.
to own or lease a vehicle. For smaller fleets, paying
At the onset, buying vehicles tends to be the
for and organising general servicing may be cost
most expensive option when compared to the
and time prohibitive. For larger, distributed fleets
monthly agreements often associated with
there is a high administration overhead related
leasing. However, there are other benefits
to organising servicing. In these cases, fleet
associated with buying such as controlled
maintenance at a predictable cost through a lease
depreciation or mileage. These aspects that can
is often the clear and obvious choice.
ISSUE 20 2019 / WWW.AFMA.ORG.AU
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