When it comes to assembling your fleet you have several options.  You can Rent, Lease or Buy your vehicles.  Here is what you need to know about these options.
 
RENT:
Renting vehicles requires keeping track of mileage and and fuel used and return the vehicle in a specific condition so that when you return the vehicle you don’t incurr additional cost.  Renting can be done on a short  term basis.
 

 

LEASE:

Leasing or buying requires that your business have a good credit record so that it can qualify for financing.

Leasing locks you in for the period of the lease and no value that comes with owning the equipment at the end of the lease. 

If you lease or rent your fleet vehicles the owner of the vehicle will set the insurance requirement.  The owner can set a high insurance requirement that is beyone your budget.  You can get around this by getting a Business Owner’s Policy (BOP) that covers your business and your fleet.

When you lease or rent there can be a limit placed on how many miles you can drive the vehicle without incurring additional cost.  Many dealers charge a fee for every mile driven above the authorized limit.
 
 
BUY:

Buying entitles you to a deduction under Section 179 of the IRS code.  A better explanation of Section 179 Deductions can be found here.