Whether a business should push through with a vehicle leasing plan in Singapore or purchase their fleet is not as easy as choosing one option. First, these things require long-term thinking and considering a few factors because vehicles are not cheap and easy to buy. Companies have to sort out their finances before taking money from their accounts. The second aspect is maintenance and safety because the employees use them to move around people or consumer goods. Lastly, the situation varies for every enterprise, and it can be challenging to learn about this topic.
Well, we are not scaring you in any way! In this article, let us approach the problem of deciding between a vehicle leasing plan or purchasing an entire fleet for your operations. You will first explore the problem and the necessary solution to overcome it.
#1: MY BUSINESS IS IN THE STARTING STAGE, I AM ONLY TRYING THINGS OUT, AND THINGS MIGHT BE TEMPORARY.
PROBLEM: Starting a business is a journey of exploration because you are uncertain of the future. The latest product might not succeed, the unlikely option might be the best for your goals, and even the last thing you expect to grow the business might be your recipe for growth. Things are unexpected, and you are hesitating whether you should refinance a car loan in Singapore, for example, or face things by calculating the risks.
SOLUTION: It is not to invalidate you, but this problem is one of the easiest to solve! First, consider a vehicle leasing plan if things are temporary and uncertain. For instance, you are still exploring a delivery service, and purchasing a vehicle is a bit of a reach. Second, you can always choose the shortest possible contract and extend it when you need depending on the terms & conditions of the leasing company.
#2: I AM SOMEHOW UNSURE OF HOW MANY VEHICLES I NEED IN MY FLEET. IS IT POSSIBLE TO HAVE A MIXTURE OF LEASING AND PURCHASING?
PROBLEM: Choosing between the two options is difficult. What more if you are unsure of things and considering having a mixture of leasing and purchasing? People might see this as a way of playing safe or minimising the risk of investment, but deciding on a vehicle leasing plan in Singapore and procuring a fleet can be a problem. First, there is nothing wrong with leasing an entire lineup of vehicles as much as purchasing everything because the latter requires proper financial planning. The second point is the usage and maintenance because you should carefully draw a line between the ones you own and rent.
SOLUTION: There is no strict answer on whether you should have a mixture or choose one option. However, one thing to consider is the commercial vehicle servicing options in Singapore because whether you invested in them or not, taking care is necessary. Avoid getting into accidents, damage due to improper usage and handling and mismanaging the fleet. Lastly, leasing is not a commitment, so getting out and terminating the contract is easy, given the understanding of terms & conditions.
#3: TRAINING MY EMPLOYEES ON ROAD SAFETY AND MAINTENANCE IS TAXING. IS THERE A PROPER WAY OR A ONE-SIZE-FITS-ALL SOLUTION FOR DOING THIS?
PROBLEM: Companies struggle with proper employee training because these things can be dull for people, there are strategies they might have missed, and resources are already outdated. When it comes to commercial vehicle servicing and usage, companies have to ensure their employees hold the appropriate licence and certification, the skills to boot, and the knowledge of proper maintenance. With this, the challenge is how to teach employees or achieve consistency throughout the period to ensure everyone is on the same page.
SOLUTION: Companies have different backgrounds: One might be a delivery service that needs a light goods vehicle in Singapore, a luxury vehicle lineup to transport their discerning clientele, and a set of trucks to contribute to the fast-moving consumer goods industry. If you are looking for a one-size-fits-all solution, the key is to be up to date with the latest trends and techniques in holding employee seminars. They should be efficient and time-effective while meeting your goals.
#4: I AM ONLY LEASING MY VEHICLES, AND I FEAR THAT SOME EMPLOYEES MIGHT ABUSE THEM OR FAIL TO TAKE NOTE OF PROPER USAGE AND DRIVING.
PROBLEM: A vehicle leasing plan in Singapore has a set of terms & conditions that protect the company and the client. First, they need to ensure proper care and maintenance because these cars are their investments, and other people will use them when a contract ends. Second, some companies struggle with careless employees and assume the burden of paying for damages or settling any problem they have encountered. The purpose is to give people the equipment to make things efficient, but they take it for granted.
SOLUTION: Leasing and transport companies have different options. If they are generous enough to include management systems and safety equipment, you are a lucky client because you have nothing to worry about when keeping their quality. However, do not feel discouraged when the vehicle leasing company does not offer this because there are other partners in the industry. Renting depends on them, but you can always purchase these things and store them once you return the cars eventually.
You might be feeling overwhelmed or confused with the amount of information in front of you. Well, the great news about choosing between a vehicle leasing company in Singapore or purchasing an entire fleet is there are no correct answers! You can have a balanced mixture of both, try things out without diving deeper into things and calculate your risks.
Whether you are looking to refinance your car loan or purchase a light goods vehicle for your logistics company, Think One is a great partner that helps you achieve goals and objectives. If you have anything in mind, such as inquiries or concerns, feel free to visit their website or drop by the contact section to send something. A representative will get back to you at the earliest time possible.