Choosing the right car for your business needs
Choosing the right company car shouldn’t be difficult, but you should have some goals from the outset. As with any other decisions your business makes, you should consider what you are trying to achieve with investing in a company car, whether buying or leasing. By setting objectives, you will be able to narrow down your search and find the best company car for your needs.
So, how exactly do you go about that? There are questions you need to ask yourself before embarking on your journey to find an excellent company car. Let’s look at these in more detail to understand their role in finding the best company vehicle.
What do I use my car for and what type of journeys do I take?
What line of work are you in? Answering this will likely help you narrow down the best company car for your needs. Do you travel long distances? Are you zipping around the city or suburbs five days a week? If you’re driving around narrow city streets, consider what your parking options will look like. A small car might be the most practical consideration for your choice of company car.
Likewise, if you spend a lot of time on the motorway, a more powerful vehicle might be better suited.
How often do I use my company car?
If you use your company car every day or most days, you want to ensure it's comfortable - both internally and the way it handles on the road. Give a few cars a test drive, and get a feel for them.
Long term leases are also a great way to find the best company car without the upfront investment associated with purchasing a vehicle. Long vehicle leasing also comes with the benefit of reduced rates over short term rentals.
How important is fuel efficiency?
Whether you stay close to home or travel vast distances across the country, you want to get the best fuel efficiency in a vehicle that meets your various other requirements. It might be worthwhile considering whether a hybrid or electric car will be the better choice for your business needs. If you are sticking close to your base, whether that’s home or the office, a company car that runs on fuel-alternatives can be a great solution as most of your trips will be shorter.
What are the tax commitments or benefits I might need to consider?
Tax considerations are crucial when it comes to fuel economy. With the government committed to reducing their emissions over the coming years, cars which have higher CO2 emissions will be subject to higher tax rates.
Likewise, hybrid and electric vehicles have massive appeal for businesses. With the announcement that the UK government will ban the sale of petrol and diesel-based vehicles by 2030, there’s never been a better time to consider alternative solutions for your company car.
Company cars are also viewed as a benefit and are taxed based on that merit. This can change significantly depending on how much you use the vehicle for private use too.
How might my needs change in the future?
When you’re choosing the best company car for your needs, you should think beyond your requirements now. Where will you be in 3 or 5 years? Will you need to use the vehicle as often, maybe you will require to be on the road more or less.
It is also worth thinking about whether you plan to use the vehicle for private use. If so, will you be using it with your family? Will your family grow in the next few years? Choosing a company vehicle that gives you greater flexibility will allow your needs to evolve to suit your work as well as your lifestyle.
Choosing a company car should be approached like any other business decision. Review your objectives, identify your needs and consider your options. Weigh your pros and cons to narrow down your final contenders and then make your selection.
We hope you’ve found this guide to choosing a company car useful. At Rivervale, we pride ourselves on offering excellent prices for vehicle leases to suit every need. If you'd like to learn more about these models, or enquire on any other models, give us a call on 01273 433480 or request a callback.
