Minibus Leasing Blog

Key reasons why leasing as minibus is often the better option

24/09/2024

Leasing a minibus instead of buying one can be a more practical and financially savvy choice depending on your situation. Here are key reasons why leasing is often the better option:

Lower Upfront Costs

Leasing typically requires a smaller down payment allowing you to access a minibus without a large upfront investment. When buying, you usually have to pay a sizable portion of the vehicle’s cost upfront.

No Depreciation Worries

When you lease a vehicle, you don’t bear the cost of depreciation. Vehicles, including minibuses, lose value over time, but in a lease, this is the leasing company's responsibility. If you buy the minibus, the value drops as soon as you drive it away.

Lower Monthly Payments

Monthly lease payments are generally lower than loan payments on a purchase. Leasing essentially allows you to pay for the period in which you're using the minibus rather than paying for the entire value of the vehicle.

Flexibility

Leasing offers more flexibility, especially if your needs are short-term or temporary. You can lease a minibus for a few years and return it at the end of the lease. When you buy a vehicle, you're committed for the long term and may face challenges or losses when selling it.

Latest Models & Features

Leasing allows you to upgrade to a newer model every few years. You’ll always have access to the latest technology, safety features, and fuel efficiency without worrying about owning an older vehicle with outdated features.

Maintenance & Repairs

You can decide to take out a maintenance plan when you lease your minibus that protect against costly repairs. With a purchased vehicle, once the warranty expires, all maintenance and repairs fall on you, and those can be expensive, particularly with larger vehicles like minibuses.

Tax Advantages (For Businesses)

If you’re leasing for business purposes, leasing payments are often tax-deductible, which might not be the case when you purchase a minibus. This can make leasing more attractive financially for companies.

No Need for Resale Hassles

When your lease term ends, you simply return the minibus without worrying about selling it. Selling a minibus, especially an aging one, can be time-consuming and might result in a significant financial loss.

Cash Flow Management

Leasing frees up cash that can be used elsewhere in your business or personal finances, whereas buying a vehicle ties up more capital in a depreciating asset.

Our experienced team is on hand to talk through all of the benefits of leasing a minibus. We work with many businesses, including schools and care homes and can advise on what makes and models are in stock or available soon, which can be driven on a normal driving licence and much more.

Get in touch today!

OVL Group Values

28/05/2024

Integrity

We consistently adhere to strong, moral ethical principles using values without compromise. We are proud members of the British Vehicle Rental and Leasing Association (BVRLA) and the Financial Conduct Authority (FCA).