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Every company needs vehicles for one reason or another.  If you run a big enough company, you might find yourself needing several different fleets of vehicles  - a trucking company or a shipping company or a taxi cab company, to list a few examples.  The trouble is in how to go about financing those company vehicles – lease or purchase;  bank, credit union, or other financing source – there are many questions when it comes to company car finance.

There are advantages and disadvantages to leasing your company cars just as there are pros and cons to purchasing your company cars. 

With car lease Sydney, you are basically renting your company cars on a long-term contract.  One advantage with leased cars is that they often come with built-in service agreements so you do not have to worry about the standard maintenance yourself – it is covered in your lease agreement.  Another advantage is that you can just return the vehicles when your lease is up and trade them in for newer models.  Therein is the disadvantage also – with car lease Sydney, the cars you lease must returned in the exact same condition when you return them or you might be subject to penalties.  That means you have to be exceptionally cautious when driving a leased car – you might want to avoid drinking anything in the car or giving anyone a ride that has muddy feet – any stains could lead to a penalty. 

With car loans Sydney, you are borrowing money to outright purchase your company cars.  On one hand, you will actually own your fleet – on the other hand, you could be repaying that loan for many years to come, complete with large doses of interest.  And, if you happen to fall behind on your payments, your credit rating could be in trouble and you could lose your whole fleet.  On the plus side, you can resell your outdated company cars for a bit of profit along the way and you are free to modify an owned company car any way you see fit.  You cannot do either with leased company cars.

Whether you seek traditional financing at a bank or opt for car finance online also depends on several factors.  If you have an established reputation with a traditional bank, it might be easiest for you to finance through your bank.  If, however, you are new to the scene, car finance online can offer you the best option from a wider selection on institutions – you do not have to be limited to just one bank and its terms – you will have more choices available to you.  And with more offers to choose from, you will have more choice about the length of your contract and the amount of interest you are required to pay.

Even if you decide to go with a traditional bank for your company car finance needs, car finance online can help you answer some of your financing questions before you sign up for anything serious.

Published: 7 months ago by yiyuan.

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