Buying a car requires some hefty consideration, and doubly so for businesses, seeing as a lot of revenue could hinge on that single purchase. But in a 2018 study, Cox Automotive found that only 1 in every 3 car buyers actually knew what they were looking for. In the precarious world of modern commerce, every investment can be a make or break thing, so it’s important you make the best investment possible.
It should reflect your company’s image
Just like clothes make the man, brand image makes the company. Your business vehicle will be an extension of that. With an eye-catching car, you can capture people’s attention, and that might lead them to look up your company name. If in all likelihood they happen to be in your target market, you just got yourself a potential customer.
A fashionable car simply puts you on the map. The fact that you can afford one means that your business is in the pink of health, and as such is a force to be reckoned with. Quality employees and clients will be attracted to this show of prestige. The cosmetic appeal of a new, impressive business vehicle just possesses that kind of gravity. If you pick the right vehicle, the investment can eventually end up paying for itself through these effects alone.
The car’s performance within the context of your business
A car can be flashy and fast and that’s all well and good. But your primary concern would be whether or not it earns its keep. That’s what truly decides whether it’s worth the money. A car can be advertised as high-performance, but if it can’t do what you need it to do, or is overqualified for its tasks, then it becomes something of an unreasonable investment.
To determine which of the cars you have your eye on can perform up to your specifications, take stock of the tasks it will take on. Then consider these tasks against the attributes of the vehicles you have been looking at. Is the car going to shuttle your employees to and from work sites? Then you should be focusing on how many passengers the car can take on, as well as mileage and tank capacity. Are you going to use the car to bring you to business meetings and other such important venues? Then speed, handling, and efficiency should be your priority. To get a comprehensive breakdown of car features, check out reviews of car makes and models from trusted auto dealerships and car reviewers. These guys are well-versed in all things auto, so you’ll be able to find out all the need-to-know info without fluff.
Financial and tax feasibility
The car you choose can be both attractive and useful, but if you can’t afford it, it’s useless to you. Price will be the main thing to consider here, as it has the greatest short-term impact on your budget. And as long as your purchase fits within the legal bounds of a “reasonable business expense,” it can be tax deductible. A car’s eligibility for this privilege lies in the type of the car, its value per unit distance, and other factors. Be sure to check these attributes against your government’s deductibility criteria. Also, keep in mind that leasing instead of buying a car would be fully tax-deductible in most jurisdictions.
As economies bounce back in the wake of last year’s economic turmoil, it’s important that we grab every opportunity for growth. While that might entail a lot of risks, we can still keep ourselves within a good margin of safety while still reaping the benefits. All it takes is knowing the important factors to consider.
