Whether you are just starting your business, or have an established record in business, financing one or more commercial trucks will be one of the biggest investments you make for your company’s future. Here are some tips to help you get the maximum benefit possible for your commercial truck loan.
Decide your vehicle needs: Each business has different needs when it comes to commercial truck financing. Decide not only how many vehicles you need, but in addition, decide whether to purchase new or used trucks, trailers, semi-trucks, etc. With the rising cost of fuel and the slow economic recovery, used vehicles are a smart option to get your business started or to invest cautiously with a lower upfront cost. If you decide on a used vehicle, be sure to have a mechanic assess the vehicle for mechanical issues. Costly repairs can be an unpleasant surprise.
Negotiate the sales price: Whether you are considering the purchase of a new or used commercial vehicle, compare sales prices online to be used in negotiating the final price with the seller. In a competitive market, sellers can be quite motivated to close a deal. The more research you have done regarding new or used truck features and technology, the better you can bargain. With used trucks, you can bring estimates from the mechanic to negotiate price if the truck might require minor repairs. If you have excellent credit, and/or a large down payment, this will give you more flexibility as well in determining your purchase power.
Research commercial truck lenders: With so many commercial truck financing companies, it is important to choose one that has a trusted name in the industry. Look for those that have a strong track record of reliable service, with a quick and easy application process and timeline. It is a good idea to compare commercial truck loan rates with the vehicle of your choice. Research companies on the internet, or get recommendations from your associates. Keep a list of questions to ask, and evaluate the company based on their answers and willingness to provide excellent customer service.
Arrange commercial truck financing: To make your request for financing go as smoothly as possible, have all of your documentation and funds in order. When contacting a commercial truck lender to request a loan, your approval will be expedited if you have selected your vehicle and can provide important information such as: an invoice from the vendor indicating final cost, copies of your current driver’s license, bank statements, tax returns, records indicating previous loans paid off, etc. All of these documents, and any additional information required by the lender will ensure that everything is lined up for a quick approval. Last but not least, having excellent credit is a necessity in determining loan approval in addition to getting the best loan rates for your commercial truck financing needs.
The most successful businesses plan ahead, and the best way to get the maximum benefits from the commercial truck financing process is to do all of your research and preparation well before you need a new or used vehicle.