Wednesday, June 27, 2018

Ways to Maximize the Value of Your Company Vehicle

Nowadays, many types of businesses require vehicles to properly operate and function. However, these vehicles shouldn’t be thought of as expenses, instead they should be thought of like investments that are going to provide a maximum return, if you use them correctly. There are a variety of ways to put yourself in this mindset. 

Here are some of the ways that you can maximize the value of your company’s corporate vehicles, whether they be part of a larger fleet or simply a company car for a member of the sales team...

Get data on how it’s used

If your company is using vehicles rather frequently, or if their service is entirely wrapped up in transportation, such as shipping companies. It’s incredibly important to get reliable and comprehensive data about how your vehicles are being used and whether you are losing efficiency in any way from the vehicle or the operation of it. 

This might sound complicated, but there are incredible software solutions in the predictive analytics industry that enable companies to track vehicles and see how much fuel they are using, how many miles they are going, and whether they are in good working order.

Don’t neglect the tax benefits

Your company vehicle isn’t just an investment that should bringing you back money from operations, but it can actually be a great way to make an investment that decreases your tax burden. 

In many states, and for federal taxes, company vehicles can actually be a tax write off that gives you deductions on other types of taxes. Not only is this true for the payments on the vehicle, but also for the added mileage of the vehicle and the gas spent inside of it. 

Talk with your company’s accountant to make sure that you are getting the most of your taxes from the vehicles that your company owns and uses.

Find a good selling solution

Most company vehicles need to be reliable and in great condition. For this reason, most companies won’t gamble on vehicles that are more than a handful of years old, except for fairly minor parts of their operation. 

This means, however, that they will slowly develop a fleet of vehicles that they don’t use. For this reason, it’s important to have a good solution for reselling company vehicles once you are done with them. 

Private retailing is fairly time consuming, but there are companies that provide vehicle reselling services for large fleets of company cars, at an affordable rate.

Wrap it for marketing purposes

If you are a company that is actively working to build a strong brand, then you should look at every aspect of your business as a chance to get that brand out into the world. 

You can do this with your company vehicle by spending a little bit of extra money to wrap it up with a custom decal, for marketing purposes. This essentially turns your company vehicle into a mobile billboard that consistently gets your brand message out into the world wherever your employee goes.

Make employees happy

One of the most important factors of any successful business is drawing in great employees, which takes a variety of things, including perks. Luckily, a company vehicle that is theirs to utilize for their business-related transportation is considered a classic perk for working for a company. 

This means that you can use your company vehicles and place specific trustworthy employees in charge of them, and it will be a move that will improve loyalty and employee satisfaction.

Only use company vehicles for operations that truly need it

At the end of the day, a company vehicle is definitely a decently-sized expense, and one that can add up over time. For this reason, it’s important to take the data that you collect and really consider if each vehicle is needed to run your operation, and if it is bringing you back the same amount of money that you are putting into it.

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