Truck Leasing
It is economically sensible in many situations to rent or lease a truck for commercial operations. Reasons to rent or lease a truck include, being new to the business and want to test the waters, you need a temporary increase in your fleet size or just prefer to rent or lease a truck to avoid inflated capital expenditure. As the truck you are looking to lease is to become an integral part of your business and livelihood, then extra care has to be taken in choosing the right truck lease.
Purpose of commercial truck lease
There are many different type of rigs, body trucks and trailer configurations available. Either refrigerated or not. You need to be certain of the type of work you are renting or leasing the truck for and carefully choose the right truck lease based on those requirements.
Size of truck required
Be very certain that you not get a truck too big for your requirements. There is a massive difference in cost between a 10-12 pallet space body truck and a semi trailer with a 20-24 pallet space van on the back. Remember all running costs go up with the size of the truck. Especially fuel costs.
To be commercially viable, you need to keep you truck as full as possible, so if you can't consistently get the bigger loads then you should choose a smaller truck.
How long is the truck required for?
Before undertaking commercial truck lease, know how long you want to be doing it for. Short term rentals can cost more than a long term lease, but you don't want to be stuck paying a leasing if the truck is no longer required.
Do you or the driver have the appropriate license or certification?
Different trucks need different licenses or certification to drive. Most trucks used for commercial use will be over the size and tonnage limit for what can be driven on a normal car license. Always make sure that the proposed driver has the correct licenses and certification required before leasing the truck. It is a good idea to get a copy of the license to see for yourself.
Are you properly insured?
When you a leasing a truck for commercial purposes then there are other insurance considerations that you take into account. When you are renting or leasing a truck to be part of your business, then you should insure to make sure you don't lose income from your business if anything does go wrong.
Many things can go wrong. Loss and/or damage of contents of truck, weather conditions delay delivery, breakdown or a host of other things. Try and think of anything that could possibly go wrong and if you couldn't afford to continue your business if it went wrong, then you need to insure for it.
What happens if the truck breaks down?
If the truck breaks down, then you don't want your business to suffer. Does your truck lease provide a 24 hour nationwide road side assistance plan? Does your truck lease company provide a replacement truck in case of breakdown or accident? These are all questions that are important to ask before you undertake you truck lease.
Is the truck reliable?
Especially when leasing a truck for commercial purposes, you need to make sure that the truck is reliable. Even with roadside assistance and the ability to get a new truck if a problem does happen, a break down at the wrong time could cause you loss of income and reputation. It is well worth getting a mechanic to check over the truck, especially before taking out a long term truck lease.
Do you fully understand the lease agreement you are undertaking?
Always read and fully understand, all of the lease agreement before signing. The agreement that you sign, is significant to the running of your business and you need to fully comprehend what it says. If you don't understand anything or can't get an level of understanding from asking the truck leasing company, don't hesitate to ask a lawyer or solicitor.
