The basics of buying your first business fleet vehicle
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So you’ve finally managed to set up your business and are looking to purchase your first fleet vehicle.
The good news is, when it comes to buying cars, vans or trucks by the bulk, nearly every automaker would give discounts for fleet sales. Fleet sales are available at almost every dealership — whether new or used — and are sold for far less than the manufacturer’s suggested retail price, according to Entrepreneur.com.
Business owners who are looking into purchasing or leasing five or more vehicles are often given the privilege of preferred pricing. Policies may vary between manufacturers, but make sure to look for the fleet manager at a dealership first, to ensure that you’re getting the best deal.
The fleet manager will assist you through the process of determining if you’re qualified to establish a fleet identification number. This fleet identification number will merit better pricing for both leased and purchased vehicles.
Requirements may also vary from dealership to dealership. Some may require proof of your business’s legitimacy, others put more weight on the number of vehicles you’re willing to purchase.
“In many cases, fleet vehicles can be arranged with open-ended leases, prepaid maintenance, consolidated billing plans and other financially flexible perks,” says Entrepreneur.com.
Entrepreneur.com advises potential buyers to ask for bids from several fleet managers. Make sure to specify the exact model that you need, the trade-in vehicle you might offer and the terms you’re seeking from the deal. Sales prices would most likely vary from dealership to dealership, based on available inventory, Entrepreneur.com further advises.
Broker Isaac Bouchard recommends knowing how much “holdback” you can have. “This is the amount of profit a manufacturer builds into the invoice price. It’s an insider term that cuts to the chase and can save you maybe a couple hundred bucks,” Bouchard tells Entrepreneur.com.
Bouchard also advises that potential buyers/leasers “consider a service contract/warranty,” inclusive of rental vehicle costs. He also recommends buying the warranty from the manufacturer instead of the dealer because a dealership “may shutdown its commercial service department at any time.”
If you’re planning to lease, Business Fleet’s Chris Brown suggests that you sign a commercial lease instead of a retail lease. “Commercial leases have much more leeway on wear-and-tear clauses and mileage caps,” says Brown.
We have a huge selection of fleet vehicles here at McPeeks Dodge of Anaheim. Come visit us at 1221 S. Auto Center Dr. Anaheim, CA 92806 and take a test drive today or check out our online inventory here. If you have any questions feel free to give us a call at (877) 389-8538