It’s often quite rare to find a business that is confined to one location. Which is why it might be important that your company has a vehicle that can be used by you and your employees to be mobile. If you or your employees spend quite a lot of time and money on travelling for business purpose, purchasing a company vehicle will not just be economical, but efficient as well. However, business owners make the mistake of purchasing a company vehicle without considering its pros and cons, believing that owning a company vehicle is a symbol of prestige and success. But if you buy a vehicle when you don’t really need one can put you in a tight spot in terms of money. You should only proceed to buying a vehicle if having one is absolutely necessary for your business and its daily activities. And here are some things you need to know before obtaining one:
Do you really need one?
The decision to buy a formal car hire Gold Coast or company vehicle should entirely be based on its functionality. If you and your employees drive around a lot for business purposes, you might be wasting money and time on taxis and public transport and having a company vehicle could be a viable alternative in such a case. However, if you only travel sparingly, but you decide to buy a vehicle anyway just to make your business look more lucrative to investors and clients, the money would be better spent on something more useful.
You can always hire vehicles, if and when you need it. If you want to make a good first impression when picking up or meeting clients and investors, you can always hire Mercedes Benz vans Gold Coast, as they are a symbol of luxury and have plenty of space for you and your employees to even have short meetings during the drive.
By providing your employees with a company car, you will have control over the situation than relying on employees to drive their own vehicle. And if your business needs special vehicles, like vans or trucks, it might more functional to provide them than to rely on your employees. Through the use of a company vehicle you also increase the ability to take your brand to more places. When you have your own company vehicle, you can easily display advertisements on it, and increase the chances of people seeing your brand. It also enables you to have more control over the corporate image. If your employees show up to meet clients and investors in beat-up vehicles, it could create a negative image on your brand if what you’re selling is a high-end image.
Buying a vehicle isn’t a one-off deal. It needs constant maintenance and up-keep. This will cost you money. Regular maintenance expenses can quickly add up to quite a large amount as it includes costs for repairing, servicing and routine maintenance. The use of company cars can also increase your liability, especially if your employees are given unrestricted access to company vehicles. And it could cost you quite a lot in legal expenses if the company vehicle is involved in any accidents as your business will be held liable.