In what amounts to the snap of a finger, the coronavirus has laid waste to the economy, and, as a result, a lot of businesses have been taking measures—some drastic—to stay afloat. Navigating these troubled waters requires sacrifices, many of which may feel like you’re putting shackles on your own business.
Right now, decisionmakers are confronted with a double-edged sword: Spending cash to grow their businesses while at the same time clinging to capital as just-in-case money to guard against further fallout from a market in turmoil. One area of cash-spending that can’t be avoided is your supply chain. After all, if products and services aren’t making it to your customers, you’re not making money. And to do that, you need trucks, which gets us to the decision: Do I lease or own my equipment?
In times like these, this may give pause to business owners who are looking to purchase new commercial trucks and/or trailers outright. On a normal day, owning your own vehicles can be an alluring prospect; that is until you realizes how large of an initial investment is required to purchase the equipment, leaving a large chunk of capital tied up in the vehicle—a number that can grow exponentially the more pieces of equipment one needs. Leasing, on the other hand, requires a much smaller upfront investment, freeing up money that can be put toward your core business, or that just-in-case fund.
However, there’s more to it than just that initial upfront investment. Owning your own equipment comes with the ever-present threat of unpredictably in the form of regulation changes, compliance, breakdowns or any number of variables those in transportation biz face daily. A full-service lease, conversely, offers peace of mind through controlled cost, maintenance, licensing and permitting, taxes and much more—all of which are built right into the monthly payment.
The most threatening of those variables are repairs. They can be expensive, are never convenient and the downtime can wreak havoc on your operation, as well as customer satisfaction, a nightmare scenario in the age of COVID-19. With a full-service lease, however, that unpredictable cost becomes predictable since it’s factored into the price of the lease. Beyond a cost standpoint, with a full-service lease through Aim for example, you don’t have to worry about coordinating the repair. The driver simply calls Aim’s Road Rescue department (open 24/7, 365), and the rest, from towing to the repair itself, is handled.
The administrative side also comes with a price tag that can easily be overlooked when tallying up the cost of owning your own trucks and trailers. With a full-service lease that is all taken care of, including obligations like:
- Licensing and permitting
- Hiring/retaining mechanics
- Scheduling maintenance
- Managing breakdowns
- Everyday paperwork associated with managing a fleet
While leasing has always been a beneficial route for business owners needing commercial equipment, never have its merits been more apparent than now, offering predictability in an unpredictable time. If you want to know more advantages of an Aim full-service lease, reach out to firstname.lastname@example.org, and one of our experts would be happy to conduct a free transportation analysis.