Three Options for Start-ups in Need of Wheels


Having a van or car is a pretty important thing for many businesses, whether you just need something little to deliver a takeaway, or a large van to transport lots of equipment. Wheels do not come cheap however, and as a start-up, you’ll probably want to keep costs as low as possible. You’ve got three options when it comes to sourcing something; buying used, buying new, and leasing. Let’s take a look at which methods can work out cheapest and why.
Buying New
This appears to be the most obvious. Spread out your monthly payments, have a brand new vehicle, and also a warranty to ensure that you can keep your vehicle running if it has a problem. The thing is, this can often be the most expensive option. Not only can there be a high deposit to pay up front, there’s also depreciation to think of. This is a hidden cost that you need to think about. Do your research beforehand to find out if you’ll unnecessarily be losing money because the value of the van will be much lower in a few years.
Buying Used
You don’t need to buy an old, beat up van to get a good deal in the used market. It’s a common saying that a vehicle loses value as soon as it’s driven off the forecourt, and that’s absolutely true. If you’re just starting out, you might not really need a brand new van to get you going, so one just one or two years old could be a great deal. You won’t have too much depreciation to worry about. The key to avoiding costs here however is to make sure you have an after-purchase warranty. When things go wrong, it can be very expensive.

Leasing is one of the most common options for those running a business vehicle. You pay a monthly fee, the upfront costs are relatively low, and you don’t need to worry about depreciation at the end of the contract. What’s more is that there’s generally a lot of choice – take a look at all of the brands Select Contracts offers. You can usually also get things like maintenance included too, so the service is very much comprehensive, and there’s little to worry about. It’s a good option for those who want a very straightforward plan, and like to know exactly what’s being paid every month, with no surprises.


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