If you’re a business owner and are considering getting vehicle financing, there are several options available to you, as well as a few important aspects to bear in mind.
Business car loans are targeted at both small and large businesses that require vehicles for goods, marketing, networking or transportation purposes. There’s a wide range of vehicles that qualify for this particular loan, from standard sedans and hatchbacks to trucks, company fleet vehicles, delivery vehicles, equipment transporters and servicing trucks or vans. There are also several options in terms of what type of loan you can apply for, which can be discussed with your loan provider to determine your most suited course of action.
What To Consider When Selecting A Vehicle
When considering your options for a business vehicle, it’s wise to focus on practicality and basic needs. Decide upfront what the car will be primarily used for and then decide which vehicle would be best suited. If it’s going to be used for a lot of driving and will only have one or two passengers, something fuel efficient and small is a better choice. If you’re focusing on delivering products or goods, strategically plan and invest in a larger truck or van – especially if you foresee your delivery loads increasing significantly over the next few years.
Should the vehicle be used for transporting staff members, managers, or clients, look at something which has a high safety ranking and good fuel efficiency. Also do your research and determine what the insurance costs and resale value of the vehicle is, so that you don’t have unexpected surprises down the line if you try to sell it.
What You Need To Apply For Car Finance
Save yourself time and effort by having all the necessary credentials and documentation ready when applying. You’ll be required to present the following to start your application process:
- Personal identification, including your driver’s license and verification of your identity
- Proof of business income in the form of bank statements and verification that your business will be able to repay the loaned amount, including business asset records as surety.
- Business car loan paperwork. Your chances of being successful when applying for financing is better if your business is already a few years old and has a proven track record. As part of the process, you’ll need to supply proof of tax returns, cash flow statements and your strategic business plan.
- Proof of ownership of the business. This will include company registration documents and other files which will verify that you’re the owner of the business.
- Personal finance details might also be required as a backup surety if your business can’t cover the monthly repayments.
Contact iCredit for assistance with your business car loan application today – we’re always happy and ready to assist with finding the best solution for your needs.