Why do companies lease trucks ?

There are several reasons why companies choose to lease trucks:

1. Lower upfront costs: Leasing a truck often requires a lower upfront investment than buying one outright, as you don’t need to make a large down payment.
2. Lower monthly payments: Lease payments are usually lower than loan payments, which can make it easier for companies to manage their cash flow.
3. Tax benefits: Lease payments may be tax-deductible if the truck is used for business purposes.
4. Access to newer vehicles: Leasing allows companies to access newer vehicles with the latest technology and features, which can help improve efficiency and productivity.
5. No residual risk: When a company leases a truck, they don’t bear the risk of the vehicle’s residual value decreasing over time, as they would if they bought the truck and then sold it later.
6. Reduced maintenance costs: Lease agreements usually include manufacturer warranties, which can help reduce maintenance costs.
7. Flexibility: Leasing allows companies to change their vehicles more frequently and upgrade to newer models as their needs change.

Overall, leasing trucks can be a cost-effective and flexible option for companies that need access to reliable and up-to-date vehicles without a large upfront investment or residual value risk.