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Home Auto

4 Considerations When Buying a Business Car

by Muhammad Asad
March 9, 2022
in Auto
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4 Considerations When Buying a Business Car

Line up of various types of used cars for sale on a motor dealers forecourt all marques removed

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Many business owners rely on transportation to meet clients and attend networking events. You can use a personal car to make these treks. However, a business car comes with more advantages.

Since business cars are for the business, you can claim tax deductions on them. The IRS sees these cars as business investments.

You can use a business car for personal reasons too. Just make sure most of the activity is business related.

Want to make sure you make the best decision for your business car? We’ll share some small business tips to keep in mind when conducting your search.

  1. Set Your Budget for a Business Car

Small business vehicles aren’t cheap. You’ll have to pay thousands of dollars for your car. Overpaying can put you in a financial squeeze and increase stress.

Set a budget before looking for cars. Sticking with your budget will immediately eliminate several vehicles.

It’s good to shortlist potential business vehicles. Shortlists help you make a purchase sooner.

  1. Decide Between Used and New

You can decide between used and new car models. A used model will already have mileage but come at a lower price. New car models come at higher prices but with no wear and tear.

Consider how many miles you’ll drive in your business car. If you use the car lightly, you can opt for a used car.

Business owners who drive often may want a new car. New cars can take on more mileage than their older counterparts.

  1. Vehicle Weight

A heavier vehicle requires more gas. These gas guzzlers can rip a hole in your wallet. Opting for a less heavy vehicle can save you on gas.

READ MORE 6 Kids Dirt Bike Protective Gear You Must Prioritise

A lower gas bill helps, but weight plays a critical role in tax deductions. The Section 179 Deduction Vehicle List 2021 reveals the weight criteria.

If the car does not fit the parameters, it won’t qualify as a business write-off. Vehicles between 6,000 and 14,000 pounds currently qualify for the tax cut.

  1. Review the Add-Ons

Business cars come with various add-ons to draw interest. While some add-ons are excessive, others are vital.

Opinions differ for each person. You have to decide which add-ons you need in your car.

Some people need a business car with a built-in GPS. These people feel uncomfortable mounting their phones and displaying Google Maps during commutes.

Not every business owner wants a GPS. The GPS can drain your car’s battery and hurt the efficiency of other add-ons.
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Aesthetics may not appeal to you. However, a refined car can make your business car look sharp as you drive to meet clients. A sharp business car can indicate an owner who takes the business seriously.

Save Money with a Business Car

A business car provides favorable tax advantages. You can save money and drive in style.

Buying a car is a tough decision. You’ll come across several business vehicles. Preparing in advance helps you eliminate most choices and shortlist your favorites.

Want to learn more about buying the right car? This blog has many resources to steer you in the right direction.

Muhammad Asad

Muhammad Asad

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