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Whole Life Costs for Fleets

Is your existing fleet policy based around p11d value or monthly rental? You’re in the majority, but there’s a better way, a more logical way.

By understanding the Whole Life Cost of a vehicle you can understand the true and full running costs of your fleet. Factors include: funding costs, depreciation, maintenance, dis-allowable VAT, Class 1 NIC, insurance, fuel and even corporation tax. Many fleet operators focus so much on the funding and rental costs that influential factors such as fuel and maintenance go unnoticed.

As part of a sole supply agreement your Leasing Consultant can help you build a policy around whole life costs and use these figures to help you make decisions on an order to order basis or as part of a pre agreed vehicle replacement program.

A recent example we worked on saw a Skoda with a £7100 higher list price and a £11pm cheaper lease rental actually cost a business an extra £1900 over 3 years than a BMW. This client ran 36 of these vehicles. That’s a saving of almost £69k over 3 years (if they ran 36 of them).

Happy client, happy drivers. Even if you run a smaller fleet, this same logic should be applied to even a single vehicle selection.

Have you seen our latest blog post?

Big savings for fleet leasing with KeyFleet’s “Marketplace service

KeyFleet provides the most competitive contract hire and leasing quotes for UK businesses As... read more

Posted on 22nd February 2018 at 11:38 AM

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