Buying a commercial vehicle is a big decision, one not to be taken lightly. But the team at Handy Commercials believe the process should be stress-free and painless! There are many factors to consider when making the right choice. If you’re looking to buy a commercial vehicle, read our helpful guide then contact our friendly staff. We can help you find the right truck or van to suit your business. 

What Are The Main Differences Between Buying a Commercial Vehicle and Other Fleet Solutions?

You’ll want to understand the basics before you make your choice. Here’s what you need to know.

 Why Buy?

Depending on your budget and fleet requirements, owning a vehicle might be a wise financial decision. Here’s some of the key benefits:

• Your payments will result in ownership
• Ability to sell or dispose of the vehicle on your terms
• Flexibility to customise the vehicle to suit your needs
• Have a vehicle there ready to use when you need it
• No restrictions around km’s or where you can take the vehicle
• Company vehicles can become a business asset
• Options to select imported vehicles or save on retired rental vehicles with Handy Commercials

The Downsides of Buying

It’s important to take into consideration the downsides of buying too. From depreciation to upfront costs and interest rates, there are a few to consider:

• Vehicles become outdated as time goes on
• More expensive in the short term
• The future of the vehicle is uncertain
• Responsible for maintenance and repairs
• More administration work
• You have to outlay a larger upfront deposit

Other Fleet Solutions

You might also want to consider vehicle leasing, renting or subscription. These options will also give you access to a set of wheels, without the hassle of ownership (add link to subscription blog when published). Here are the top benefits:

• Monthly or weekly repayments can be more affordable
• Less (or no) upfront costs
• Access to vehicles with the latest technology and updates
• Save on maintenance costs
• Upgrade vehicles or expand fleet as needed
• A fleet management company, such as Handy Rentals will take care of your administration, maintenance and insurance (it’s all included in your fees).

The Downsides of Other Fleet Solutions

Short to longer term solutions can be more affordable initially, but they might not be the most economical option. Payments don’t lead to vehicle ownership at the end of your contract, and you have less flexibility to customise. 

Other downsides include:

• Vehicle modifications are restricted
• Extra mileage/km fees if you drive long distances
• No money back from selling the vehicle
• Lack of freedom on where you can take the vehicle
• Fleet management company retains full control of the vehicle

These are all things to consider when making an informed choice about whether you should buy a commercial vehicle, or choose another fleet solution.

What You Need to Think About Before You Decide to Buy

Whether you’re picking up a new contract or expanding your fleet, the right vehicle can help you achieve your business goals. However, it’s vital to understand the regulations and costs of owning and operating the vehicle. Each business has its unique requirements. These all have to be factored into the final decision.

 

Cost Considerations Across The Life Of The Vehicle

When it comes to purchasing a commercial vehicle, assessing your budget and financing options is often the first step. There’s also the total cost of ownership (TCO) to consider, such as registration, maintenance, fuel costs and insurance. How much will you spend on this across the life of the vehicle? 

Generally, this step requires analysing the running costs of previous years. Speak with your accountant or finance team so you can make a solid plan. This will allow you to work out the type of vehicle you can afford, including the amount of insurance you’ll likely pay.

 

Factoring In Insurance and Extra Expenses

Vehicle insurance is a critical factor with commercial vehicles. It’s important to get the right cover to protect your business and staff. Insurance premiums factor in the age and type of vehicle, as well as the age and records of the drivers. 

There are always extra costs involved with vehicle ownership in New Zealand. Ongoing costs include vehicle licensing fee (rego), Warrant of Fitness (WOF), loan repayments and road user charges for diesel. Not to mention the administration cost of organising and keeping on top of the paperwork. 

 

Keeping Your Vehicles In Tip Top Condition 

To maximise value and longevity, vehicles need regular servicing and maintenance. You’ll always want to keep them clean and in reasonably good condition, especially if you plan on owning the vehicle for over 5 years.

It’s important to choose a vehicle that is fit for purpose. That means it’s going to be suitable for your business needs and you’ll be able to maintain it properly. An older vehicle might be cheaper and still do the job, but it may cost more in maintenance. While a newer vehicle with the latest technology may cost more upfront, it could wind up more cost effective in the long run.

 

What Steps Should You Take to Buy a Commercial Vehicle For Your Business In New Zealand?

Once you’ve determined your budget, you can make an informed decision about the types of vehicles you can purchase. Take a look at the different types of commercial vehicles for sale across the country. Then, identify the type of vehicle or fleet that meets your business needs. Create a checklist of criteria the vehicle needs to meet before purchasing. And research the different dealerships and finance options available for your business.

We’ve Got You Sorted at Handy Commercials

Whether you need a truck or van to rent, lease or buy – when it comes to commercial vehicles, you’re in the right place. We want our customers to find everything they need so they can save time and effort. We’re the one stop shop for small to medium business fleet solutions in New Zealand. With our ‘yes we can’ and ‘no bull’ attitude, Handy can cater to your every business need with reliability and efficiency.

 

Commercial Van and Truck Specialists

We sell quality light commercial vehicles ready to buy through Handy Commercials. Our vehicle sales stock includes a wide range of selected fresh imported vehicles. We also have retired rental vehicles that have been regularly serviced and well-maintained. We’re experienced in the commercial vehicle industry and strive to provide the best quality service by providing the right vehicle for customers at the right price.

 

Locally Owned and Operated

We’ve been handling commercial vehicle sales and rentals in New Zealand since 1989. We’re conveniently located just north of the city of Kaiwharawhara, Wellington. Together, our team has over 50 years of involvement in the light commercial vehicle market. Our knowledgeable staff provides excellent service, advice and support. Come in for a great buying experience (stay for a coffee or snack), and leave with a smile on your face!

 

Interested In Buying a Light Commercial Vehicle For Your Business?

Handy Commercials can help you find the right truck or cargo van to suit your needs. Get in touch with our friendly team so we can guide you through the next steps. 

Visit the Wellington yard or check out our range of quality vans and trucks online. 

View our vehicles here (direct link to Handy Commercials).