Top 5 Advantages of Buying a Fleet Vehicle

Introduction

Purchasing a fleet vehicle, particularly those that are sourced from a fleet lease remarketing process, offers a variety of advantages that can be extremely attractive for businesses and individuals alike. Fleet lease remarketing and fleet remarketing services have homed in on these benefits to attract a wide array of customers. Here are 5 of the top advantages of buying a fleet vehicle.

• Cost Effectiveness

Affordability – Fleet vehicles are known for their affordability. Since they are often sold in large numbers after a lease, fleet lease remarketing vehicles come with competitive pricing. Businesses that sell off their fleet vehicles typically do so to make way for the purchase of new vehicles. As such, they are priced to sell quickly, providing an excellent opportunity for cost savings on quality vehicles.

Reduced depreciation – Another economic benefit of buying fleet vehicles is that a significant portion of the depreciation has already occurred. Vehicles depreciate most rapidly in their first few years, so purchasing a fleet vehicle allows buyers to sidestep the steep initial depreciation curve that is associated with new vehicles.

• Well-Maintained and Reliable

Regular Maintenance – Fleet vehicles are often subject to rigorous maintenance schedules. Fleet management companies understand that the reliability and longevity of their vehicles are very important, so these vehicles typically receive regular servicing. This ensures that when the vehicles enter the auto fleet remarketing pipeline, they are in good mechanical condition.

Service Records – In addition, most fleet vehicles come with detailed service records, providing transparency on the vehicle’s history. This level of detail can give a buyer peace of mind regarding the vehicles’ upkeep and can also indicate any potential future maintenance needs.

• Wide Selection and Availability

Diverse Inventory – Because fleet vehicles are sourced from different industries and services, the range of vehicles available through fleet remarketing is vast. From sedans and compact cars to trucks and SUVs, buyers have access to a diverse inventory.

Immediate Availability – Unlike new vehicles which may have waiting periods, fleet vehicles are immediately available for purchase. This can be a critical advantage for businesses that need to expand their operations without delay or for individuals who require a vehicle on short notice.

• Tax Benefits*

Owning a fleet brings with it a suite of tax advantages that can significantly decrease your tax liabilities.

Depreciation Deductions – Vehicles under ownership lose value as they age, and business owners can leverage this depreciation for tax benefits by deducting the vehicle’s cost each year, reducing the amount of taxable income.

Loan Interest Deductions – For those financing their fleet, the interest paid on the vehicle loans may be deductible, thus reducing the overall taxable income and the tax liability.

*This material is for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.

5. Vehicles as Valuable Business Assets

The act of owning a fleet outright carries significant financial advantages that can strengthen a business’s financial statement.

Increased Liquidity – Fully owned fleet vehicles can be liquidated to free up cash for other business needs.

Assets Versus Liabilities – In contrast to leased vehicles, which are recorded as liabilities, owned vehicles represent valuable assets of a company’s balance sheet. This can enhance the overall financial health of the business.

Think Global Solutions is the all-in-one fleet enterprise solution. Founded with our first division, ThinkFleet, we initially focused on helping delivery service providers in Canada by coming up with tailored solutions for these types of businesses and assisting them with their fleet management. Rapidly gaining an industry reputation, ThinkFleet became one of the nation’s most successful vendors, leading to an expanded range of services across additional divisions. We are driven by our core values of honesty, loyalty, and innovation, and we pride ourselves on delivering exceptional customer service. We offer a comprehensive suite of services from fleet acquisition and financing to maintenance and management. Our expert team ensures high vehicle uptime, driver monitoring, and operational efficiency, with customizable boutique programs to meet your specific needs.

For more information about any of the services we provide, contact us via our website or give us a call at 1-855-532-1948. We look forward to serving you.