Fleet Lease Versus Reimbursement
Southgate Leasing’s fleet vehicle leasing offers many advantages over driver reimbursement programs for employees using their own vehicle. Fleet leasing offers an increased vehicle selection ensuring a transportation method most appropriate and cost effective for the specific job. Fleet vehicle leasing frees an employee from time consuming fuel monitoring and fleet maintenance tasks, improving on-the-job production. Vehicle fleets can receive company logo graphic wraps, providing a strong corporate image and advertising opportunities. Here is a quick snapshot of the benefits of fleet leasing versus driver reimbursement plans.
Benefits of Company Provided Fleet Vehicle
- Projects positive corporate image
- Assurance of safe fleet vehicles
- Routine fleet maintenance items addressed
- Ensures correct fleet vehicle for the job
- Advertising potential for company
- Advantage of attracting quality people
- Employee productivity increased
Benefits of Reimbursement
- Easy for management to administer
- Employee can choose any fleet vehicle
- Employee handles all fleet vehicle issues
How Fleet Leasing Compares to Reimbursement
The current IRS reimbursement rate is over 50 cents per mile. A well-equipped midsize passenger sedan has an operating cost range much lower than that based upon a 3 year lease, assuming 25,000 miles traveled per year including rent, fuel and maintenance. From a cost standpoint, fleet leasing is clearly a more economical transportation option when compared to the IRS reimbursement rate.
Southgate Leasing’s fleet vehicle lease plans are designed to offer significant advantages over driver reimbursement plans. Call Southgate Leasing at 414.529.2992, or contact us online to speak to a fleet lease professional about how your company will benefit from the advantages of fleet leasing.