Will a fleet of vehicles benefit your business? Source
Are you thinking about getting a fleet of vehicles for your business? If you run any sort of company that involves moving around to different places, then it could definitely benefit you. Delivery companies, service-based businesses – and many more – could all make use of a fleet of vehicles.
But, is this the right decision for you? To help you out, here are the pros and cons:
Pro: Expand your service
The obvious advantage of a fleet is that you can expand your service. You can send out employees to different areas of the country, and the fleet means you can service more people at one time. When you operate on your own – or only use one or two vehicles – then it restricts what you’re capable of. Having a fleet opens up new business opportunities!
Con: Risk of accidents
If you hire a fleet of vehicles, then you also get the risks that come with it. The main one revolves around auto accidents, which are more likely when you have multiple vehicles to manage. The problem is, other people can cause auto accidents which set your business back. As such, a lot of your time is devoted to fleet accident management, so you know what to do if the worst happens. By all means, you might never have to deal with this issue. But, it’s a cause for concern because the risks are greater than if you didn’t have a fleet.
Pro: Free advertising
When you get your fleet, you can put your brand logo and contact information on them. Essentially, the vehicles now have decals that advertise your business for you. So, whenever your team is driving around, they’re promoting the business for free! It’s a very smart way of finding new customers and growing your business even further.
Fleet management can be an accounting nightmare. Source
Con: Expensive to manage
Unsurprisingly, a fleet of vehicles isn’t cheap to manage. You have the initial cost of hiring the fleet, and then you have the general running costs too. Think about insurance, fuel, and then regular maintenance. All these things add up, and it can be far too expensive for some small businesses. Instead, you might be better off hiring a team and ensuring that they provide their own vehicle. You lose the advertising benefits that a fleet brings, but you cut the costs quite dramatically.
When you start weighing up the pros and cons, you realize that your small business might not be suited to hiring a fleet of vehicles. Likewise, you may feel as though the pros outweigh the cons, and it would be beneficial to have a fleet. Ultimately, it all depends on your company. If you have the money to hire and manage a fleet, then it will definitely bring lots of benefits. You can grow your business and reach more clients, which helps boost your sales figures. Over time, the increased sales can help deal with the management costs – and then some. But, if you don’t have the financial capacity to do so, then it could be better to hold off and wait until you do. Hopefully, this post has given you a deeper look at having a fleet, so you can decide if it’s worth it or not for your small business!
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