There are many ways to finance the fleet your company needs to get business done. From leasing to financing to purchasing the vehicles outright, each strategy has a different – and potentially significant – impact on your company’s cash flow and bottom line. The good news is that the lease versus purchase decision doesn’t have to be overly complicated. By taking a data-driven approach to fleet acquisitions, you’ll be able to untangle the myths often associated with this age-old debate.
For many organizations, there’s been a fear of leasing based on a myth that you will end up paying more in terms of total cost of ownership as compared to owning the vehicle outright. However, Big Data combined with advanced analytics is changing this misconception by transforming historical data into actionable information that highlights the true total cost of ownership for each acquisition scenario. The ability to see your fleet’s data allows decisions makers to develop actionable plans based on real-time information and not based solely on age or mileage intervals. And when the data reveals the actual cost of ownership, leasing often becomes a more attractive option.
You’ll know not only which vehicles are costing you the most but also why they are costing you the most. Is purchasing vehicles restricting your cash flow and negatively impacting other areas of business? Is a particular leasing scenario inflating costs because you’re locked into unfavorable terms and cannot cycle vehicles out of service at the proper time?
Today, savvy organizations combine a thorough analysis of business and economic trends with comprehensive fleet data to accurately forecast the true cost of ownership for virtually any acquisition scenario. When you combine this methodology with a sound approach to funding that aligns with the existing needs of the business, you create a fleet that’s a strategic asset to power growth and revenue.
Learn more about the important factors to consider when deciding whether to lease or purchase in our free whitepaper or watch our Executive Roundtable video series to learn about the data points you should analyze to decide how best to invest in your fleet.