by WSI ALM | Oct 19, 2022 | C&M Motors, commercial truck leasing, Full Service Leasing, NationaLease commercial truck leasing
Buying a commercial truck is a major business decision that should not be taken lightly. Before you buy, it’s important to understand the different types of trucks available, as well as the costs associated with each. Here are four key things to consider when shopping for commercial trucks for sale in San Diego:
Buying Versus Leasing
There are a few different ways to buy a truck for your business. You can buy the truck outright, lease it, or hire a trucking company to haul your cargo. Each option has its own set of pros and cons.
To buy a truck outright, you’ll need to factor in the cost of the truck, depreciation, and insurance. Depreciation is the loss of value of the truck over time, and insurance protects you in the event of an accident.
Leasing a truck is a cheaper option than buying, but you’ll have to pay the finance company your leasing fee every month. You should also factor in the cost of depreciation, insurance, and fuel. Overall, buying a truck gives you more control over the process.
Factors to Consider Before Buying
Before you buy a truck, make sure to consider the following factors:
- The size and weight of your cargo will affect the truck you need. You’ll need to decide how much cargo you can fit in the truck, and how much weight the truck can carry.
- How many miles the truck has on it will also affect the price.
- Older trucks have shorter lifespans, so you’ll have to factor that into your decision.
- Some features, like air conditioning, are standard on most trucks.
- Others, like a heavier capacity suspension, may be necessary for your cargo.
As previously mentioned, leasing a truck is a cheaper option than buying. The upfront costs are minimal and maintenance costs are included if a full-service lease is chosen. However, you will have to pay the leasing fees every month and you should factor in the truck depreciation, insurance, and fuel.
If you lease a truck, you have the option to buy it at the end of the lease. This is a good option if you plan to keep the truck for a long period of time.
Other Costs to Consider
These are just a few other costs associated with trucking. These include:
- Extended Warranties: Make sure you’re aware of the truck’s warranty, and factor that into your decision.
- Tires: You’ll need new tires every few thousand miles, and they can cost a lot of money.
- Insurance: Make sure you have the right insurance for the truck and your cargo.
Shop Commercial Trucks for Sale in San Diego at C&M Motors
Commercial trucks are essential for many businesses of all sizes. When shopping for a truck, be sure to consider the factors listed above. C&M Motors has a wide selection of trucks perfect for your business. If you are unsure of exactly what truck would best suit your needs, their professional staff can help you size and outfit your truck. Contact us today to learn more about our commercial trucks for sale in San Diego.
by WSI ALM | Jul 26, 2022 | commercial truck leasing
If you’re thinking about making the jump from being a driver to an owner-operator or starting your own trucking company with yourself at the top, getting your first truck is a major hurdle to overcome. With most large commercial vehicles costing six figures, you probably won’t be paying out of pocket. One way or another, you’ll almost certainly need assistance buying your first truck.
One option is a traditional bank loan for vehicle financing, or you could work with box truck lease companies instead, and you have a couple of options there. Let’s look at the differences.
Buying Your First Truck: Financing vs Capital Leases vs Operating Leases
The first and most obvious option is to go to a bank for a vehicle loan and finance the truck much like you would a personal vehicle. This is the most simple and straightforward option. The truck becomes your property once the deal is set and remains yours if you make the payments.
The big X factor is your credit rating – and first-time truck buyers often don’t have the best credit. The worse your credit is, the more you’ll be paying in interest – potentially up to 30%. Also, you will likely have to provide a significant down payment.
II. Capital Leases
A capital lease is similar to financing, except that you’re dealing with the box truck leasing companies directly rather than going through a bank. You are considered the legal owner of the truck once you begin leasing, and you pay the value of the truck through monthly payments. At the end of the lease term, the truck becomes yours.
Your credit rating still impacts your leasing terms, but potentially not as much. Zero-down leasing is also often an option.
III. Operating Leases
Finally, there are operating leases, but be aware – this is functionally a rental. The truck does not become your property and will be returned to the original owner at the end of the lease period. However, this is the easiest option to qualify for. Also, you will end up paying less money than you would in a capital lease, typically saving around 25% of the truck’s value, compared to lease-to-own options.
This doesn’t gain you assets, but it can be an effective way to get a new trucking company off the ground at the lowest up-front cost.
Lease Your Box Truck Today
C&M Motors offers highly competitive terms and rates for leases on new Hino trucks! Click here to learn more about our leasing programs.
by WSI ALM | May 25, 2022 | commercial truck leasing
The choices are many when it comes to buying a new commercial truck, but the options may be fewer as the prices of new and used vehicles continue to climb. Manufacturers are blaming the price increases on the inflation of the cost of materials as well as government safety and clean air standards, and regulations.
New or Used
Purchasing a new vehicle may certainly seem like the best option. You know everything about that vehicle from its maiden voyage – its maintenance history, accident history, etc. But can your business currently afford the cost of a new truck?
Here are some additional facts to weigh into the new vs. used decision. While the cost of purchasing new is definitely higher, the cost of maintenance is much lower with a new truck. New trucks are equipped with the latest technology helping companies save on fuel and other operating costs, plus they include safety features that can help drivers avoid accidents.
Other considerations in the new vs. used decision are the number of miles the truck will be driven. A truck that will be relied upon heavily and will be putting on thousands of miles per year might best be purchased new. While a truck that is used less frequently and may sit idle for days or weeks at a time, might best be purchased used.
Buy or Lease
Large carriers may have the means to purchase new vehicles with cash, but most companies today finance their vehicles. There are certainly good reasons to finance your truck purchases. The number one benefit is keeping the company’s capital available. But what makes most sense when financing, a loan, or a lease?
Let’s look at leasing first. Leasing payments may actually be lower for a higher quality vehicle as they cover depreciation, rather than equity in the truck. Companies such as NationaLease offer regional and local sources of loans and leases, making availability of financed vehicles easy to secure.
In contrast to the lease, financing a commercial truck has the advantage that once you have paid the loan, you own it. The residual value belongs to the company and depreciation can be claimed annually.
The best choice is to review the options with your accountant. They may recommend one over the other depending upon your current corporate finances. In many cases, a healthy mix of new and used, leasing and financing make for a diverse portfolio within your fleet.
Why C&M Motors
C&M Motors is a locally owned and operated family business serving the greater San Diego area since 1982. With 2 locations to serve you (National City and Vista), we offer a more personalized experience and customized services to meet your business needs. New and used, leasing and financing, as well as service, rentals, maintenance, collision, fabrication, parts, and 24/7 emergency roadside assistance are all available at C&M Motors.
Give us a call to learn more.
C&M Motors Inc
by C&M Motors | Dec 23, 2019 | commercial truck leasing
Commercial Truck Leasing
Commercial vehicles can be leased like you would lease a personal vehicle. The terms are similar to a traditional purchase with a contract with a time limit, set monthly payments, but a lease differs in that you have the option to buy or return the vehicle when the lease term expires.
Leasing your company’s commercial trucks offers several advantages to your business. The first of these is cost. In general, leasing is cheaper than traditional pay to own commercial loans. Many commercial leases also have a buy option with a set buyout price at the end of the lease term. Secondly, a commercial lease has a lower upfront cost and a lower down payment. Third, with a lease you can trade in the vehicle at the end of the lease term getting a newer truck, this means you always have the newest and best equipment available. Fourth, many leases include other perks for commercial truck loans including regular maintenance without an out of pocket expense. Finally, a commercial truck lease can be easier to qualify for than other automotive loans which can be useful if your credit score is not perfect or your business just opened.
Things to Keep in Mind
Leasing a vehicle keeps more of your capital on hand for other business needs. Having available capital means your business can respond quickly to opportunities.
Commercial truck leasing is a flexible way to provide for your company’s vehicle needs. The ability to trade-in or buy keeps your options open and the easier loan application helps removes the barrier to entry for getting the equipment your business needs.
C&M Motors, NationaLease of San Diego, is your trusted partner in the commercial truck leasing business. A family business with over 37 years’ experience, we stand behind all of our trucks, our service, fabrication, and fleet services. Give us a call to learn more.
C&M Motors – San Diego’s premiere Hino dealership!
by Art Millington | Feb 1, 2019 | commercial truck leasing
Having choices of truck sizes and configurations can make the leasing process for you and your fleet manager easier.
C&M Motors has the capacity to furnish and outfit a wide variety of trucks tailored to fit the specific requirements of your transportation needs.
Here are some of the body types available:
• Light and Medium Duty trucks
• Flat beds
• Dump bodies
• Tow bodies
• Dry van bodies
• Refrigerator trucks
• Box trucks
When considering the size of commercial truck necessary for your business, the experienced staff at C&M can help you make the right decision.
We stock a wide selection of truck sizes, and capacities for lease including the Hino 155 Series with a GVW of 19,500, the Hino 195 Series which carries a GVW of 19,500, the 238 series has a 23,000 GVW, and the brand-new XL Heavy Duty series (available later in 2019) carrying a GVW of 62,000. Dry bed truck sizes range from 16 to 26 feet.
Our fabrication department can create custom additions to any selection you make. We can design and customize your truck to fit the specific transportation needs of your company.
Let us help you in the decision-making process so you end up with a truck that is best suited for it’s hauling requirements. Give us a call and see what truck size and full-service leasing program makes the best sense for you and your business.
C&M Motors – San Diego’s premiere Hino dealership!