While the number of commercial vehicles in the UK depreciated during 2020, there were still 334,000 such entities on the road during this time (down from 426,000 in 2019).
Many of these vehicles form part of fleets, which may be deployed by businesses for numerous purposes. For example, they may include vans that deliver products nationwide, or feature cars that transport sales people from one location to another.
But how can you effectively build a viable commercial fleet? Here are some ideas to keep in mind:
1. Getting the Right Type of Vehicle
From the type of vehicle that you choose to the precise make and model, one of the key considerations is ensuring that you stock your fleet with the best possible cars, vans or motorbikes.
For example, let’s say that you operate a delivery and logistics firm in a distinctly urban area. In this case, you’ll need small-to-medium sized fans to help ship items efficiently.
Field service managers would require a similar type and size of van, whereas travelling salespeople can prosper in more compact and energy-efficient cars that are affordable to run.
Ultimately, the key consideration should be what needs to be transported and where, while the conditions of travel and the surrounding environment must also be given significant thought.
2. Organising Finance and Your Ownership Model
Once you’ve determined the precise type of vehicles that you want to include in your fleet, the next step is to organise finance and identify the best possible ownership model.
For example, you can buy the cars on your fleet, which may be preferable when looking to implement mobile branding or invest in low cost cars (or vans). However, vehicles are known to depreciate sharply in value within their first three years, while this continues at a much slower rate over time.
Because of this, you may prefer to lease vehicles for a concerted period of time, as this enables you to upgrade your fleet regularly and defer the costs of scheduled or unscheduled maintenance.
The key is to do your research and make an informed decision, and one that reflects your long-term business objectives and finances.
3. Don’t Forget About Insurance
On a final note, you’ll need to remember the importance of insuring your fleet as a business owner.
After all, this protects both the vehicles and your business in instances where drivers are involved in collisions, while minimising the cost of repairs (especially in instances where the incident wasn’t the fault of your employee).
To optimise the quality and depth of coverage that you receive, we’d recommend procuring bespoke motor trade insurance that protects every single aspect of your fleet and its operation.
Similarly, van drivers who deliver items should consider taking out haulage insurance. This protects packages and items that are damaged while in transit during a collision, and has the potential to save brands significant amounts of cash.
