In the current economic climate, fewer and fewer businesses are choosing to outright purchase their heavy goods vehicles (HGVs). When the sheer capital expenditure needed for a modern fleet is added to unpredictable residual values and the heavy administrative burden of maintenance, ownership has definitely become less appealing.
Instead, a steady shift towards ‘usership’ is taking place. For Transport Managers, Warehouse Managers and Operations Managers, truck contract hire provides a reliable core fleet with steady, predictable contracts – essentially a long-term lease that runs for up to seven years. You pay a fixed monthly fee and simply hand the truck back at the end of the term, eliminating the hassle of selling it or absorbing the depreciation.
Because you pay a fixed monthly rate covering the vehicle and its upkeep, budgeting becomes incredibly accurate. You don’t have to worry about sudden, nasty financial surprises if a gearbox fails or the engine requires major repair work.
Unlike taking something off the shelf, expert providers will always order a brand-new vehicle specified exactly to your operational needs. Whether you need a specific tuckaway tail lift or a multi-temperature fridge, the truck is built for the exact job.
Losing your Operator’s Licence stops your business overnight. At Alltruck, we rigorously manage the maintenance schedule, ensuring the fleet is 100% compliant with DVSA standards.
Running new, modern trucks reflects brilliantly on your business. When a state-of-the-art truck arrives at a customer’s depot, it immediately reassures them that their supply chain is in reliable hands. Plus, newer trucks boast Euro 6 emission standards, meaning you can enter Clean Air Zones (CAZs) and the London ULEZ without getting hit with daily penalties.
The main thing to keep in mind with contract hire is the commitment, as early termination usually comes with a financial penalty. It’s best used for your absolute minimum baseline workload—the work that is guaranteed 365 days a year.
At Alltruck plc, a contract hire agreement is much more than just handing over the keys. It includes comprehensive repair and maintenance, HGV MOT preparation, breakdown cover, and tyre replacement.
Ready to review your long-term fleet strategy? Get in touch with Alltruck today to discuss how we can tailor a vehicle solution to match your operational demands.