How to reduce the cost of asset finance and management

For small businesses, asset finance and management can be a real worry

Reduce the Cost of Asset Management for Your Small Business

For multifaceted small businesses, the cost of asset management and finance is arguably one of the most debilitating.

This is especially true for firms that operate a commercial fleet of vehicles, as the cost of procurement, scheduled maintenance and unforeseen repairs can quickly accumulate throughout the course of the financial year.

With this in mind, it is crucial that you develop a carefully honed strategy in relation to asset management, and partner with firms that can help you to reduce costs without compromising on performance.

In terms of affordably establishing and maintaining a commercial fleet, there are several steps that you can take to reduce costs.

The first of these is to implement a viable fleet management structure, which will determine whether or not your buy vehicles or lease them from a commercial provider.

This will provide you with clarity, and ultimately enable you to identify key areas in which you can make financial savings.

If you choose to lease vehicles and remove the burden of long-term ownership, for example, you will be required to pay an inflated monthly fee but also have the opportunity to save money on scheduled and unexpected maintenance costs.

If you choose to purchase the vehicles in your commercial fleet, you will have a more immediate opportunity to make savings.

As a starting point, you should consider partnering with a reputable industry expert such as Maxxia, which provides asset financing across a range of multiple sectors and markets.

The main advantage of this is that it affords you an opportunity to combine all of your asset finance and management needs within a single, comprehensive package, which in turn reduces the initial investment required.

Beyond this, working with a reputable and knowledgeable service provider also enables you to tailor your asset financing package to suit your precise needs.

Depending on the exact nature of your business and the service that you deliver to the consumer market, you can combine multiple assets with a single financial package and manage costs according to the turnover and profitability of your business.