Fleet vehicle or buy a cheap one ?

[Diydebs]

Anyone got any advice on which is the most cost effective ? To hire a fleet van long term or to buy a van

Any views appreciated .

 

[Deleted member 105166]

This will depend on your circumstances - whether you are VAT registered or not, your cashflow, whether you prefer a monthly P&L cost or a capital expenditure with annual depreciation, whether you want an all inclusive managed vehicle, whether you want a new vehicle every 3-5 years or the benefit of sweating the asset during its senior years (i.e. minimal depreciation charge on an older vehicle that is still fit for purpose). So many considerations. Discuss with your accountant, if you have one.

 

[leo79]

Also depends if you can look after the vehicle or not. I had a berlingo on contract hire when I first went on my own, had it 3 years and when I went to hand it back I was presented with a large bill for minor repairs, service and MOT. I ended up buying the van off them. I always buy outright now.

 

[Diydebs]

Also depends if you can look after the vehicle or not. I had a berlingo on contract hire when I first went on my own, had it 3 years and when I went to hand it back I was presented with a large bill for minor repairs, service and MOT. I ended up buying the van off them. I always buy outright now.

thanking you . i didn't know they could charge you when you handed it back , good to know

 

[Diydebs]

This will depend on your circumstances - whether you are VAT registered or not, your cashflow, whether you prefer a monthly P&L cost or a capital expenditure with annual depreciation, whether you want an all inclusive managed vehicle, whether you want a new vehicle every 3-5 years or the benefit of sweating the asset during its senior years (i.e. minimal depreciation charge on an older vehicle that is still fit for purpose). So many considerations. Discuss with your accountant, if you have one.

thank you . cashflow is rubbish , he's always firefighting , i'm the book keeper. he's just had a great van on a job he's just done and seen the pleasure of a better vehicle of course

 

[telectrix]

here, but there are many others. if it's anything like mine,it will not break down, never failMOT, in 3 years all i've spent on mine is 2 tyres, front pads, and 3 oil changes.

2003 Toyota Hiace 2.5 D-4D 280 S Manual Diesel Van NO VAT | eBay - https://www.ebay.co.uk/itm/2003-Toyota-Hiace-2-5-D-4D-280-S-Manual-Diesel-Van-NO-VAT/253986415329?_trkparms=aid%3D222007%26algo%3DSIM.MBE%26ao%3D1%26asc%3D20170920101022%26meid%3Dd66a1d67cd274d8a86c8374209602993%26pid%3D100010%26rk%3D6%26rkt%3D12%26sd%3D264049701471%26itm%3D253986415329&_trksid=p2047675.c100010.m2109

 

[Squid]

Depends on your turnover and if it's high enough what your accountant advises, are you self employed to Ltd Co?

 

[Diydebs]

Depends on your turnover and if it's high enough what your accountant advises, are you self employed to Ltd Co?

just registered as a ltd company but not changed anything yet from sole trader