Buying a company vehicle is a big expense. However, there are perks to making such an investment. Here are just several good reasons to buy a company vehicle.
You can use it as a moving billboard
A company vehicle could be an opportunity to further advertise your business. Vinyl wrapping services from companies such as Lucent Graphic Solutions can allow you to print details on the side of your vehicle such as your web address, contact details and services that you offer. It could help you to spread brand awareness and possibly attract extra customers. The great benefit of vinyl wrapping is that it’s also not permanent, so you can remove this branding and still sell your vehicle eventually one day if you need to.
You can store your tools in it
If you have to take lots of tools with you to jobs, a company vehicle could also serve as a useful place to store these tools. You may not need the space elsewhere if you can simply store them in the trunk of your car. Just make sure that your car is kept somewhere secured – ideally a garage – if you plan to keep valuable tools stored in here.
You can more easily take advantage of tax benefits
Any driving expenses made while working are tax deductible. If you’re using the same vehicle for personal and commercial use, it could be harder to work out which expenses can be deducted from your tax. When you own a separate company vehicle, you know that all costs associated with that vehicle are work-related and therefore tax deductible.
You can separate your business and personal liability
By buying a business vehicle through a limited company, you can ensure that this vehicle is owned by the company. This means that it can only ever be seized if the company falls into debt. The vehicle will not be able to be seized to pay off personal debts, so you can ensure that if you get into personal financial struggles, your company vehicle is safe. This site Company Bug offers more information on the pros and cons of limited companies.
You can cater to different business and personal practical needs
Another advantage of buying a separate business vehicle is that you can cater it to specific business needs. This could also allow you more freedom when it comes to choosing personal vehicles. Rather than having to compromise with a large estate car that has both storage space for your business and enough personal comforts, you could buy yourself a van for company use and a separate small car for personal use. There may even be a convenience to having two vehicles. If you have kids or pets who regularly create a mess in your car, you may not want to constantly be cleaning this car to then pick up clients in it. Having two vehicles allows you to own a messy family car and a tidy business car.