7 Benefits of Long-Term Shuttle Bus Rentals

Dec 1, 2020 | Group Transportation

Long term shuttle bus rental might be the best option for your business or organization. Deciding whether to lease or purchase your fleet is an important decision to make. Which is the best way to go?

Leasing offers many advantages that may be preferable, depending on your unique situation. However, it might not be the best solution for everyone. The following points will help you to decide if leasing a shuttle bus long term is the right option for your business or if you’re better off buying the fleet.

1. Lower Monthly Payments with a Long Term Shuttle Bus Rental

Deciding to lease might save you money. It varies based on the financing you receive, but leasing often has lower monthly payments than that of a loan. You’ll need to obtain quotes for both options and compare the numbers to determine which route is cheapest for your organization.

Saving money on your fleet means that you’ll be able to spend more money on other operational costs. Alternatively, you could spend those funds to lease an upgraded version of the same vehicle that has more options.

Depending on your organization’s tax status, your monthly lease payments may also be completely tax-deductible. Contact a tax expert or accountant to see if you fall into this category.

2. You’ll Always Have a New Vehicle

One of the benefits of leasing is the ability to change vehicles when the lease is up. This means that you and your passengers will always enjoy the latest technology , safety, and comfort features of newer models.

Depending on your business, having the latest and greatest shuttles available might impress customers and win them over from your competition. This is a big factor for some companies who opt for long term shuttle bus leasing over making a purchase.

On the other hand, if the shuttle is for employees, they’ll enjoy the benefits of riding in a cutting-edge shuttle bus. This will improve morale and job satisfaction, which can cause a trickle down set of benefits for your business.

Perhaps the best part of a long term bus rental is that you’ll avoid having any busses in your fleet become obsolete. Once the lease is over, you’ll turn it in and receive a brand-new shuttle.

3. Ease of Process

The process of leasing a minibus long term is quick and easy. There’s much less of a financial and emotional commitment when compared to purchasing a minibus. You pick out your leased vehicle, sign a few documents, and you’re on your way.

You’ll avoid the hassle of needing to trade-in or sell your old shuttle bus when purchasing a new one. You can also avoid losing any equity you had in your old bus.

Depending on the dealer, you may also have the option to have the dealer license your commercial vehicles so that you don’t have to go through the process yourself.

Perhaps the best part is that you can usually walk away from your expired lease with no obligations. You’re free to lease another vehicle or decide to buy one at that point in time.

4. Reduced or Eliminated Repair Costs & Maintenance

One of the factors that must be considered when deciding to lease or buy is repair costs. Typically, factory warranties are applicable throughout the vehicle’s lease term. This warranty will protect you from having costly repairs should something go wrong with your lease. However, most lease agreements mean that you’ll be responsible for covering any repairs due to damage caused by you or your passengers.

Routine maintenance, such as oil changes and filter changes, might be included in your lease terms. This guarantees that your vehicle is always well-maintained. It also provides you with a more predictable operational cost estimate over time.

When you purchase a vehicle, you’ll be responsible for everything once the factory warranty expires. Keep this in mind when making your decision. Long term shuttle bus leasing might end up being the best option for your company.

5. It’s Easier to Scale Your Commercial Fleetwith a Long Term Bus Rental

As your business grows, you’ll need to change the size of your fleet. Leasing allows you to grow or shrink your fleet with much less risk than you would experience when you purchase your vehicles. You can choose from shorter or longer lease periods based on your unique business situation. Long term shuttle bus rental might be the best way to go for your company.

Leasing also allows you to adapt to seasonal business changes more easily. You can expand your lease for a few months when necessary and then step back down once you return to normal operations.

With a little bit of planning, you can look ahead and schedule your leases during the busiest months or seasons for your business. When needed, you can lease a few extra shuttles to help you accommodate increased business.

6. Reduced Initial Expenses with a Long Term Minibus Rental

The initial expense for purchasing a new minibus can be daunting. Leasing will lower or eliminate the need for a down payment in many situations, although that will depend on your credit.

If your business has limited liquid cash on hand, leasing a shuttle bus long term is probably the best way to go. You will increase your monthly expenses based on your leasing agreement, but you won’t see the same upfront expenses when compared to purchasing a shuttle.

The reduced or eliminated initial expense means that you’ll free up your cash flow for other ongoing operational expenses. You might even be able to expand your business with the extra cash flow!

7. Flexible Financing and Acquisition Options

There is a variety of leasing structures that you’ll need to explore, each one having its own advantages. The type of lease you agree to will likely have varying terms, lengths, and conditions. The more common types of leases that you’ll see are:

• Operational leases
• TRAC leases
• Financed leases
• Short-term leases

Depending on the long term minibus rental agreement, you may also have the option to purchase the vehicle once the lease expires. Some dealers even offer lease-to-own options that provide the best of both worlds.

Is Leasing a Minibus Long Term Right for You?

You need to understand all of the options available before making a decision. Working with a dealership that provides customized solutions is typically the best way to go. You’ll know that you’re getting a leasing agreement that’s perfect for you. Take a look at our financing options today to see if we can help you find the right agreement for your needs.