With many types of car finance and fleet leasing options available on the market, which one suits your business circumstances?
Whether you’re a florist looking to add a second van to your business or electrician looking for a full fleet of HiLux utes for a state-wide expansion, there’s a good chance you’ll be looking to finance it with a loan. But which finance option should you choose? A standard bank loan? A commercial hire purchase? A novated or operating lease? Or a chattel mortgage? Is there a specific tradie car lease you could take advantage of?
As you can see, there are plenty of options to explore.
Each has its own pros and cons but the right choice for you, will, of course, depend on your financial circumstances and business objectives. As new vehicles can be quite costly, many small businesses don’t have the disposable cash to purchase commercial vehicles outright. That’s why dealerships and car finance divisions like Toyota Finance* offer a range of financing options to facilitate these purchases.
To help guide you through your options, we’ve demystified the different types of car loans and leases on the market so you can make the right decision for you and get on the road.
Choosing the right vehicle
What makes a good vehicle investment? If you still haven’t made up your mind about what vehicle to purchase, the following criteria may help.
How does the manufacturer rate in your industry? Do you have the types of vehicles you need? Do they have the right safety ratings? At Toyota, we have a range of vehicles designed for businesses and the majority of our vehicles achieve the maximum 5-star ANCAP safety rating.
Check if there are any available offers that you could take advantage of with a dealership. At Toyota, you can access business savings with your ABN, so take a look at the offers we have right now.
Experience with a model
Have you driven the vehicle in the past? Do you have experience with it? Does it suit your business needs? If you are considering a Toyota vehicle for your fleet, we encourage you to find your closest Toyota Fleet Specialist Dealership and book in a test drive.
Is it easy to maintain the vehicle? How much does servicing cost? At Toyota, we’ll keep the cost of your annual service at a capped-price for your first 3-5 years on the road, depending on your vehicle and encourage use of Toyota Genuine Parts to ensure your vehicle is always in top condition.
Some of these considerations might seem simple, but in the long run, you want to make sure that your new vehicle serves both your immediate business needs and future investments.
Speak to a dedicated Fleet specialist about your business vehicle options.
Types of finance options
Once you know exactly what kind of vehicles you need, you’ll start to think about how to finance it. This is where the different options come into play.
Let’s take a look.