Fleet Funding
The decision to lease or buy vehicles is never an easy one, and it should always be based upon the unique requirements of your company. Understanding all the information associated with fleet funding can help bring clarity to the leasing fleet vehicles vs financing decision
Fleet Leasing Advantages
- Freeing up of other credit lines
- Maximizing cash flow
- Minimize up-front sales tax costs
- Improve financial ratios
- Acquire assets at a lower cost of funds
Fleet Vehicle Lease Programs:
Open-End Lease
One of the most efficient and economical methods of fleet financing. It combines the flexibility of ownership with the cash flow and tax benefits of leasing. Open-End Lease benefits include:
- No over-mileage penalties
- No wear-and-tear fines
Fixed-term TRAC Lease
TRAC (Terminal Rental Adjustment Clause) lease is for over-the-road cars, trucks, and trailers.This is the most common type of fleet vehicle lease programs for those who want the flexibility of ownership but the benefits of leasing.
- No over-mileage penalties
- No wear-and-tear fines
Fixed FMV (Closed-End) Lease
Used for non-titled equipment in addition to over-the-road cars, trucks, and trailers. This is the most common type of lease for business owners who want to eliminate residual risk while maintaining all of the benefits of leasing:
- Fixed-rate financing for the entire lease term
- Applicable to a wide range of assets
- Lessor assumes the residual risk
Learn How Leasing Improves Your Costs
Choosing whether to lease or own vehicles or reimburse employees is a challenging decision for fleet managers. Though reimbursement or ownership may seem easier than leasing vehicles through a fleet management company, through our research and experience we have discovered several reasons why leasing is a better option.
Download our white papers today to learn more.
Let Donlen’s experienced team help you find the right leasing solution for your car or truck fleets.
Donlen’s customized fleet leasing programs are designed to give you all the flexibility you enjoy in owning your vehicles while allowing you to leverage the financial advantages of leasing. Our knowledgeable professionals can provide you with an in-depth analysis of your needs to help determine which fleet funding option is the most beneficial and cost-effective for your fleet.
Get Started Today
Contact Donlen today to discover how our management programs can save you money, reduce downtime, and provide you with peace of mind.
