As your business grows, you’ll likely be looking to expand your commercial fleet. A growing fleet means more cars and insurance, which can result in a spike in costs. One way to offset these costs is by choosing a commercial fleet leasing provider.
Commercial fleet leasing is a popular option for businesses of all sizes. According to a 2016 study, commercial fleet leasing will be the fastest-growing segment of the automotive industry through 2021.
That’s good news for businesses that look forward to hiring commercial fleet leasing in St. Louis, MO, which leads the nation in terms of the percentage of business owners who lease their fleets. In 2016, 78% of St. Louis-area business owners leased their fleets, compared with 63% nationwide.
Here are some key statistics about commercial fleet leasing in St. Louis.
- In 2016, an estimated 1,358 commercial fleets were operating in the St. Louis area. That’s up from 1,252 fleets in 2015 and 953 fleets in 2014.
- The average size of a fleet operating in the St. Louis area was eight vehicles per business owner in 2016. That’s up from 7 vehicles per business owner in 2015 and 6 vehicles per business owner in 2014.
Benefits of Commercial Fleet Leasing
- Flexibility. Leasing allows you to tailor your fleet to your specific needs rather than purchasing a vehicle that may already be outdated or incompatible with your business. This flexibility can save you time and money in the long run.
- Cost-efficiency. Going for commercial fleet leasing in St. Louis, MO, is a cost-effective way to fill your trucking needs. By negotiating special rates and discounts, you can get top-quality vehicles at a fraction of the price of buying them outright.
- Security. A commercial fleet offers peace of mind when it comes to safety. With GPS tracking and other safety features built-in, you can be sure that your vehicles are always on the lookout for accidents and emergencies.
Things to Consider When Selecting a Commercial Fleet Leasing Solution for Your Business
- Understand your business needs. What services do you need? How many vehicles do you need? What size? How often do you need to replace them? Do you have specific geographic areas that you need to cover with your fleet?
- Determine your budget. Fleet leasing can be expensive, so ensure you have a good idea of what you’re willing and able to spend. Also, be realistic about how long it may take to pay off the lease.
- Consider your lease terms. How long will the lease be for? What are the payments going to be? Are there any penalties for early termination?
Types of Fleet Leases
- Contract-Based Fleet Leasing
This type of fleet leasing is the most common, where businesses lease vehicles from a specific provider on a predetermined schedule. This type of fleet leasing can be very beneficial for businesses with a predictable need for new cars or trucks, as they can get predictable rates and terms without having to worry about leasing and managing a large number of vehicles. According to the latest statistics, contract-based fleet leasing is becoming more popular in St. Louis, MO region. This type of leasing has seen a 131% increase in demand over the past five years.
- Spot Fleet Leasing
Spot fleet leasing is similar to contract-based leasing in that businesses commit to leasing a set number of vehicles from a provider on a predetermined schedule.
- Clearly understand what you need and what you want from the deal.
- Be sure to research different providers to find the best fit for your needs.
- Always contact your insurance company to make sure you’re covered in case of an accident or theft.