If you have a business where you or your employees spend a decent amount of time on the road traveling, or if you have a lot of business equipment that you have to transport from one place to another, it often makes sense to get a car for business use. But with so many things to consider with this acquisition, you might find yourself with analysis paralysis.
Luckily, there are some basic decisions you can make that will help you find the right car and make the right financial choices. To show you what some of these things are, here are three things to think about when getting a car for business use.
To Buy Or To Lease
Deciding that you need a car for work purposes doesn’t mean you’ll necessarily need to buy that car. You also have the option to lease. Depending on what you need and what your plans are for the car’s use, your decision will likely vary.
According to Jean Murray, a contributor to The Balance Small Business, leasing often makes more sense if the car is primarily for you to use for your business uses rather than for additional employees to use. When you’re the primary driver, you can have more control over the mileage put on the vehicle and can ensure you’re keeping costs low. But if you won’t be the one driving the car, it might be better to just purchase it so you don’t have to worry about policing the leasing contact with your employees.
Be Smart About The Car You Choose To Get
The type of car you choose to get will depend on a wide variety of variables. While you likely want to pick a car that’s a smart financial choice, you also want something that will help build your brand and put your company in a positive light.
In addition to this, arguably the most important attribute you’ll need to look for in a business vehicle is one that can fulfill all your business needs. According to the editorial staff of Business.com, you’ll want to be sure that you get a vehicle that’s big enough for all the people or supplies that you’ll need to transport at any given time.
Create A Company Vehicle Usage Policy
Once you’ve decided that you’ll get a car for business use, you then need to start adding policies to your employee handbook that will outline how or why this vehicle is to be used for company purposes.
According to SHRM.org, some of your policies should include when approval is necessary to use the vehicle, who is allowed to drive or be a passenger, what type of tasks the vehicle should be used for, and more.
If you’re thinking about getting a car for your business purposes, consider using the tips mentioned above to help you prepare for this.