When it comes to running their business, many people bring the same mindset they grew up with to that firm. One of those preconceived ideas is often that buying is always better than renting. The truth is, however, that in many cases renting beats buying. This is particularly true in the case of a business that runs a fleet of trucks.
With Renting Comes More Flexibility
If a business is cyclical and its projects are varied in size and often come with different requirements, renting offers a much more flexible solution. Renting will allow the firm to use the trucks it needs when it needs them. And when the project is over, those trucks won’t have to be stored and maintained while waiting for the next similar project to come along. The same principle applies to e.g. delivery vehicles. When a business works with an experienced rental firm it will be able to customize its transport needs on a per-project basis to only pay for what it needs. The cost savings involved in that alone is often enough reason to choose to rent your fleet over buying.
Reduced Maintenance, Insurance, And Storage Costs
Renting trucks and other vehicles shifts most or all of the maintenance burden to the rental firm. Depending on the contract, maintenance can be partly or fully the responsibility of the rental company. This includes everything from routine services to attending to roadside breakdowns a thousand miles away. Plus the rental firm takes care of insuring those vehicles.
Another direct benefit of this is that the rental firm takes care of recruiting and carrying the cost of maintenance staff. There is no longer any need for the client to employ a team of technicians that are not always fully utilized.
When a company owns a fleet of vehicles, it also has to make provisions for storing them. If this is done on-site it will require a large capital investment plus long-term maintenance costs. Alternatively, the company will have to rent storage space from a third party, which can be very expensive. With renting a fleet that responsibility is of course transferred to the fleet rental firm.
Renting Makes It Much Easier To Update Your Fleet
When a business buys its own vehicles, those vehicles will sooner or later have to be replaced or the issue of unscheduled breakdowns will start rearing its ugly head. Some firms follow a staggered approach, i.e. they replace a percentage of their vehicles every year or two. Others base the decision on the truck or other vehicle’s mileage.
Another reason fleets often have to be updated is the need for new equipment and features. Technology is changing rapidly and if a new contract comes along that requires the most technologically advanced features it could force your company to either make a huge investment or lose the deal.
Rental firms regularly update their fleets to make sure they always have the latest vehicles in stock. They typically replace their trucks, delivery vehicles, etc., after six months or a year to ensure that their fleets always offer what their clients need.
Renting Your Fleet Means No More Idle Vehicle Costs
Vehicles that are sitting idle will still cost their owners money. The list here includes fuel that goes bad, seals that deteriorate, routine maintenance, fluids that have to be replaced, and tires that start rotting and cracking – particularly if the vehicle is standing outside in the sun.
Vehicles that are not garaged or covered can also suffer damage in the form of plastic and dashes that crack and become brittle, fading paint, etc.
A business that rents its fleet can focus on its core business activities while the rental firm takes care of vehicles. Looking to expand your fleet or perhaps you’re just getting started? Trust Efficiency to take care of the hard work for you! Contact us today!