It is important for anyone responsible for running a fleet to be aware of the best financing solution for their company and fleet. You should question and consider wether you are funding your vehicles in the most effectice way.
Do you compare funding over the contract period on a net present value (NPV) basis?
Are you running vehicles over an optimum period of months given vehicle type, usage and the anticipated mileage?
How important is predictability of costs to your business - used vehicle prices and running costs move with market forces, whereas operating lease passes the risk to the lessor.
By using a ‘Total Cost of Ownership’ (TCO) methodology a company can ensure that all aspects of the cost of operating a vehicle is considered and calculated rather than just the cost of the vehicle or the monthly rental.