More and more businesses in 2018 are going through commercial truck rental agencies and organizations rather than purchasing them for their business. In today’s world, this is definitely a very smart move due to a variety of reasons, and we’re going to go over those reasons and why renting is a good option.
Due to the Crash Of 2008, it’s quite a bit trickier to get a decent business loan these days. Banks and other lending agencies are far more hesitant to give out loans, since there is a good chance they won’t ever see that money again. Not to mention the fact that there is more debt than ever, and this is one of the biggest reasons why business owners are far less likely to take out these loans in order to purchase trucks. You see, loans are not flexible by any means. They come with interest rates, and that grows and grows overtime, which can lead to an enormous amount of debt. Also, purchasing a truck – or a fleet of trucks – is a business decision and those trucks become business assets. However, they depreciate in value over time. This means, trucks become less valuable, so spending all of that money on an asset that loses value relatively quickly starts to look far less attractive.
Debt is not attractive, and neither is forking over an enormous amount of capital – usually over six-figures – on a fleet of trucks. The world has changed so much, with many great rental and leasing plans out there that are able to work with the needs of your business. This allows you to forgo sticking to the very strict framework that you used to find with most rental agencies. Renting is inherently flexible, and flexibility is very desirable as a business owner who needs transportation, but also needs to worry about maintaining a solid return on investment. Placing too much money into assets that simply won’t add a significant value to the business is a problematic scenario.
Renting allows you to use the trucks for the amount of time that you need, and then to return them. It doesn’t add up as a “business asset,” and there are far less risks with renting, along with a significantly smaller upfront investment. Since you are renting trucks rather than buying them, those trucks aren’t your assets and you aren’t spending an enormous amount of money on them, that inherently depreciates over time. There is also the fact that when you rent a truck, you’re getting a good model that has been taken care of and is in good condition. Depending on what kinds of trucks you buy for your business and the capital that you have, you may be purchasing vehicles that have already depreciated and are in need of serious maintenance. This will drain your cash flow, and further reduce your return on investment.
Flex Fleet, a truck rental enterprise, has managed to create an incredibly powerful, easy-to-use solution for this problem. Using Flex Fleet, you quickly and easily set up an account and then you simply order the trucks that you need, and they’ll take them right to where you need them! When you’re done, they pick them up! This is the best solution on the market right now, and it was made for people who are running businesses.
