Ms. Career Girl

Top Menu

  • Home
  • Media
  • About
    • Terms of Use & Copyright Notice
    • Privacy Policy
  • Advertise
  • Contact
    • PR and FTC Disclosure
  • Subscribe

Main Menu

  • Home
  • Careers
    • Productivity
    • Career Confessions
    • #SideHustle
    • Job Search Advice
    • Resume Optimization Tool
    • Job Board
  • Lifestyle
    • Life After College
    • Health & Beauty
    • Style
    • Money
    • Travel & Leisure
    • Product Reviews
  • Relationships
    • Dating
    • Marriage
    • Working Moms
  • Specials
    • Real Career Girls
    • Style Your Life
    • Book Club
    • Giveaways
  • Home
  • Media
  • About
    • Terms of Use & Copyright Notice
    • Privacy Policy
  • Advertise
  • Contact
    • PR and FTC Disclosure
  • Subscribe

logo

  • Home
  • Careers
    • Productivity
    • Career Confessions
    • #SideHustle
    • Job Search Advice
    • Resume Optimization Tool
    • Job Board
  • Lifestyle
    • Life After College
    • Health & Beauty
    • Style
    • Money
    • Travel & Leisure
    • Product Reviews
  • Relationships
    • Dating
    • Marriage
    • Working Moms
  • Specials
    • Real Career Girls
    • Style Your Life
    • Book Club
    • Giveaways
Money
Home›Self›Money›How You Should Buy a Car for Your Business

How You Should Buy a Car for Your Business

By Maria Bashi
Aug 16, 2016
16536
0
Share:

If you’re only looking to buy a car for business use, then there are a number of tax breaks that you can get, depending on how you buy the vehicle. As such, how you buy your car is important. There are a number of ways that you can buy a car for your business. Here, we look at the top three.

Buying the Car Outright

Sadly, the easiest way of buying a car for a business is usually the least accessible for most: buying it outright with cash.

If you own a business with large sums of money in its account, then buying the car outright is probably the best option, as it means that you’ll only be paying the sticker price, with no extra fees and charges. Plus, by buying outright, you’ll probably be able to negotiate a discount; especially if you’re not part-exchanging.

However, if we’re being realistic, very few SMEs have tens of thousands of pounds in the bank. As a result, many choose one of two other options: leasing or financing. Let’s take a look at both of these options in more detail.

Lease

house-car-vintage-old (1)

Leasing is like renting a house. You don’t own the item in question, but you effectively rent it for the long term and then give it back at the end of an agreed period.

With leasing, you typically pay a small fee upfront (this is generally around three months of the contract), plus a monthly fee. Due to the fact that you don’t own the vehicle at the end of the contract, these monthly payments are traditionally low because you don’t own the vehicle, and this means that more expensive cars come into your price range as a result.

However, there are downsides, too. For example, you can be tied into the agreement for a lengthy term, and you’re also usually tied into a certain mileage, which can be problematic if you need to use the car more frequently. You can add additional miles to your contract, but this is usually expensive.

Finance

road-people-street-smartphone (4)

If you’d like to own the vehicle outright but don’t have the cash to buy it, then car finance is a great option.

With car finance, you pay a deposit of your choosing with the garage and then split the rest of the payment over a duration of your choosing, too. This generally ranges between one year and five years.

As you’d expect, because you pay in manageable monthly payments rather than upfront, you are charged interest, making it more expensive than buying outright. However, you do own the car at the end of it.

To conclude, there are a number of great options if you’re looking to buy a car for your business, so consider all of the above carefully before taking the plunge.

Image Source; Image Source; Image Source

Previous Article

The Top 5 Reasons for Leasing a ...

Next Article

How to Buy a Car for Business

0
Shares
  • 0
  • +
  • 0
  • 0

Maria Bashi

Related articles More from author

  • MoneySelf

    Eww… Credit Card Debt

    Dec 22, 2013
    By Ms. Career Girl
  • Career ConfessionsMoneySelf

    Financial Savvy is Sexy in 2009

    Dec 9, 2008
    By Ms. Career Girl
  • MoneySelfWork

    Save a "Latte" Money!

    Dec 10, 2008
    By Ms. Career Girl
  • MoneySelf

    The Start of Your 2009 Financial Makeover

    Dec 26, 2008
    By Ms. Career Girl
  • MoneySelf

    10 Things You Should Know About Credit Cards

    Dec 27, 2008
    By Ms. Career Girl
  • MoneySelf

    Financial Makeover Week 1: Getting Started and The Truth About Minimum Payments

    Dec 29, 2008
    By Ms. Career Girl

  • Career ConfessionsLife After CollegeSelfWork

    A Tale of High Achieving Career Ladies

  • work in sales
    Life After CollegeSelfWork

    Why an entry level sales job is a great way to kickoff your career

  • Find a Career
    #SideHustleLife After CollegeSelfWork

    Get a Modern Day Career Path Dream Catcher

Subscribe

Job Search

As seen on

career advice blog badge oriel badge

Featured On

  • About
  • Contact
  • Advertise
  • Resume Optimization Tool
  • Privacy Policy
  • Terms and Conditions
© Copyright 2021 Ms Career Girl