Are There Financial Benefits To Long-Term Leasing Rather Than Purchasing?
When it comes to leasing, whether it is a home or a car, the advantages are sometimes overlooked. Especially in the UK, leasing is sometimes seen as more cumbersome than owning the property or vehicle outright!
But if you are someone who cannot afford to purchase a car or even a minibus due to lack of feasibility, or rules relating to your organization, then you may be curious as to whether there are any benefits to long-term leasing over purchasing. You will be pleased to hear there are, and some of the key financial advantages will be discussed in more depth below.
Financial Advantages Of Long-Term Leasing
When it comes to long-term leasing of a car or bus, there is a lot to be said about the flexibility of the contracts specifically relating to the buses or cars that you lease.
For instance, you may start your long-term leasing contract with a company like The Minibus Centre, then a few months or even a year into the contract, you may be offered a bit more flexibility with financing, or even the option to add more buses to your contract. This offers you an obvious financial advantage over purchasing, as you may be able to save quite a bit of money.
Upgrades are a real possibility with a lot of leasing contracts, especially for buses and cars. In the UK, there are rules and regulations relating to the safety of school buses or home-to-school vehicles, which will mean that a leasing company will need to ensure their vehicles meet the standards set out. This will usually mean that you, as the person leasing, will be eligible to upgrade your fleet of school buses for free, ensuring that you are up to code with safety, without it costing you a penny!
Of course, as the person leasing a minibus or other vehicle, you will have responsibilities to keep the buses clean and working. But these responsibilities are minor compared to the costs associated with owning a school bus!
For instance, should the bus become out of date (as mentioned before), you don’t have to worry about losing money when selling it on; that is the responsibility of the leasing company!
Interestingly, there is a lot to be said about building a business relationship with the company that you are leasing from. For example, in the future, if you decide to lease from a different company, they may require a reference relating to your past leasing. If it is spotless (keep up those payments!), you may find that the new company can offer reduced rates to you, similar to the way that good drivers get lower insurance premiums. So, having a long-term lease at one stage may end up saving you money later!
Support on Hand
Of course, you cannot overlook the importance of having support on hand as and when you need it from a leasing company.
They will be at the end of the phone to answer your queries, or to offer you a replacement bus should the one you currently leasing break down, saving you a fortune in repairs and replacement.