SHOULD THE COMPANY RENT CARS OR BUY CARS?
Currently, the travel and mobility need of individuals, companies and businesses are increasing. Therefore, cars have become quite popular means of transportation. So, buying a car and renting a car, which is more optimal? Let’s find out more information about this topic.
TYPES OF EXPENSES WHEN A BUSINESS RENTS A CAR AND BUYS A CAR
The first expense:
AFFORD A CAR
Once deciding to buy a car, whether the company buys the car or the individual buys the car, they all have to pay huge costs, from several hundred million VND to billions of VND depending on the car model. Such costs include:
- Vehicle investment cost
- VAT
- Registration fee (10%)
- Premium Road tolls
- License plate fees
RENT A CAR
- The company or business does not have to pay any initial cost when renting a car from Green Leaf Vietnam
Maintenance Expense
AFFORD A CAR
- Fuelcost
- Maintenancecost
- Driver’s salary
- Parkingcost
- Handlingissuesrelatedtoaccidents
RENT A CAR
- Monthly car rental cost
- Costs incurred such as overtime, excess kilometers (if any)
- The cost of toll tickets (if any)
It is a fact that, at present, car rental transport businesses will have to bear quite large costs related to vehicles and drivers, they have to pay for everything related to the car such as insurance, maintenance, repairs, driver salaries. Conversely, when you sign a car rental contract, your company will not have to pay the above costs, these costs will be covered by the transport business.
Advantages
AFFORD A CAR
- The car will be the property of your company, your business.
- Feel free to upgrade and equip accessories for the car to suit the needs of use.
RENT A CAR
- Car rental cost savings: monthly car rental fees range from 20 million VND compared to billions of VND buying a car investment costs
- No need to worry about drivers, driver leave, driver salary. The transportation company will arrange a substitute driver for serving you
- No need to worry about maintenance problems, Green Leaf Vietnam will check the car daily and periodically maintain at the specific garage to ensure the safety of customers
- You can change drivers and change cars when requested.
Disadvantages
AFFORD A CAR
- High initial investment costs, suitable only for companies with strong financial resources. Legal procedures for buying a car, registering periodically often take a long time to implement.
- Need personnel to manage vehicles, routes, fuel to avoid losses for the company.
- It is necessary for personnel to monitor the maintenance, maintenance and repair of vehicles when they arise.
- When there is a need to change a new car, it is necessary to liquidate the old car, the value of the car often differs or depreciates a lot
RENT A CAR
- The car is the property of the service company, so the user cannot change or upgrade the car to the user’s liking (or need a separate agreement)
- Using the vehicle out of the time frame and exceeding the contracted Kilometer requires additional costs
The company buying a car should be aware of the following issues:
Vehicle management
Manage maintenance according to manufacturers’ regulations, register vehicles, pay road maintenance fees, civil liability insurance. Maintenance schedules and repair items are very important, affecting the operation and safety of the vehicle.
Whether your company has 1 vehicle or multiple vehicles, it is necessary to have a vehicle monitoring and management department so that the car is always used in a safe, efficient and cost-effective condition, avoiding losses for the business. Besides, the manager or user of the vehicle also needs to have knowledge about the vehicle such as maintenance and repair to ensure that the vehicle operates well.
Driver Management
- Recruit and train drivers, track working time
- Arrange substitute drivers in case of changes
- Monitor fuel to avoid loss of the company’s assets based on fuel consumption norms, kilometer management, vehicle route
With the above notes, your company can choose to use the transportation service of Green Leaf Vietnam company instead of buying a car. In conclusion, please take a look at the outstanding advantages as follows:
- Cost savings: No need to spend billions of VND to buy a car, Green Leaf Vietnam’s customers will be served on a genuine car
- Maintenance: No need to worry about minor damage or having to spend time for monthly maintenance, because Green Leaf Vietnam’s technical team has done it for you.
- Operation: Professional and caring drivers, serving customers anytime, anywhere, not worrying about missing work.
- Safety: The most important factor and guideline of Green Leaf Vietnam, drivers are trained about safety instructions, input and periodic defensive driving training to ensure safety. Customers can rest assured on all roads
- With a large number of vehicles, over 500 vehicles of all kinds, Green Leaf Vietnam customers are free to choose their favorite car model and suit their needs.
Therefore, choosing a car rental will help save costs, time and safety for businesses in the current price storm
OPTIMIZE YOUR EXPENSES – REASONABLE CHOICE WITH GREEN LEAF VIETNAM
🚗🚕GREEN LEAF VIET NAM TRANSPORTATION COMPANY LIMITED🚗🚕
🤹♂️ Be your companion in every road
🏬HCMC Office: 104-106 Tran Luu Street, An Phu Ward, District 2, HCMC.
🏬Hanoi Office: 68 Duong Dinh Nghe Street, Yen Hoa, Cau Giay District, Hanoi
🏬Central Area Office: Lot 18 & 19, BB2 Area – Kim Cuc Green Home, Ghenh Rang Ward, Quy Nhon City.
☎️Hotline HCMC: 1800 6300 or 0963 703 503.
☎️ Hotline Hanoi: 0862 12 99 86 (24/7)
📧Email: cskh@green-leaf.vn
“Professional – Dedication – Prestige”
With our reputation in the transportation market, Green Leaf Vietnam could provide diverse service such as: driver-with-car rental, long-term car rental, daily and monthly rental for businesses, SMEs and other travel Agencies.