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  • Writer's picturejoseph retcho

Business Car Purchase Tips


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When it comes to purchasing a new vehicle for your company, you will have the option of leasing one or purchasing one new or used. Many people believe that purchasing a new car is the best option because it provides them with the most up-to-date safety features, better onboard technology, and better fuel economy. However, with so many different makes, models, and dealers to choose from, it can be difficult to know where to start when looking for a new vehicle. Here are a few tips to follow when buying a new car to make the process of purchasing a new vehicle for your business as simple as possible.


Consider what you like and dislike about your current vehicle.

When looking for a new car, your first step should be to decide what kind of car you want and what features you would like it to have. When trying to decide what you want your new car to be like, consider what you like and dislike about your current vehicle. Do you like the size of your car or do you want to go bigger/smaller this time? Is fuel economy more important to you than having the latest technology? Determining what you want in a car can help you narrow down your options in the future.


Think About Your Budget

Once you've decided on a general design for your car, you'll need to consider your budget before looking at specific models. The truth is that car prices are rising, with the average car purchased in the United States in 2022 costing $41,255 with a 6% interest rate. You should then consider how much you can realistically afford to spend on a new car, and if you intend to finance it, consider how much of a monthly payment you can afford based on current interest rates. A realistic budget can help guide you toward a specific class of vehicles based on your financial situation.


Conduct your research

Your next step will be to start researching car brands and specific models, as researching vehicle specifications can assist you in finding the best car for your business based on your wish list and budget. As you make your final decision, it can be beneficial to research vehicle reviews, customer satisfaction with specific brands, and safety ratings.


Once you've decided on a make and model that you believe will be a good fit for your company, you'll want to look into local dealers to see where you might have the best chance of finding a reputable salesperson who can provide you with a good deal. Before visiting any dealerships, you should also research the pricing of your desired vehicle, as this will allow you to see what others have recently paid for your vehicle. This also allows you to compare prices, giving you leverage as you try to negotiate with your preferred dealer.


Before going to the dealership, look into your financing options.

You could also save money by researching financing options and getting pre-qualified for a loan before speaking with a dealer. The truth is that dealers frequently make a significant portion of their profit on financing, and you may be able to find a better deal by going through your bank or credit union. Having a pre-approved financing offer when you meet with a dealer can help you find the best deal because it gives you leverage to negotiate a better financing option with the dealer.


Before Making a Purchase, Consult with Your Insurance Agent

Of course, before you buy a vehicle, you should consult with your insurance agent to determine how much it will cost to insure the vehicle you intend to buy. The cost of auto insurance can have an impact on your overall budget, so make sure you can afford to insure the vehicle you are considering.


If you are thinking about buying a new vehicle for your business, contact us to learn more about your options for business auto insurance and the policies you should consider investing in for your new vehicle.

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