I been asked to find out about leasing a late clean low mileage tractor unit, our finance director wants of get rid of the old tractor units, (not that I’m objecting ) but doesn’t want the capital outlay of a newer truck.
Talked to a few dealers who are advertising lease deals on their units that are coming off contract hire, but it appears what they call a lease isn’t a lease but a finance package, 20% down followed by x number of payments, which we could do with a part exchange, but I think the finance director would rather see that money put into other projects.
So anybody have advise on who does leases on used trucks?
Pitfalls of going down this route?
I’m sure that Iveco lease didn’t have R&M on third year though.
I’m guessing the OP is looking at Mercedes looking at the figures.
MAN are doing used tgx for 250 a week. I think it’s only a months payment up front too
Looked at the Iveco after Big Truck posted, £299 2 years full warranty and 3rd year drive line, it’s an operating lease, not R&M which is what I’m looking for, as we do so few miles the R&M figures don’t add up,
The figures I’ve been looking at are for Renault Premiums coming off contract hire, with under 300,000kms, and drive line Warranty, but found out it only covers uk. I am on a tight budget.
IVE GOT A MATE WHO RENTS LATE MODEL MAN,S £350 A WEEK COVERS EVERYTHING HE JUST INSURES THEM AND PUTS DIESEL IN , COMPANY HE RENTS THEM OFF KEEP THEM TIP TOP , NOT CHEAPEST WAY TO GO BUT ITS AN ABSOLUTE FIXED COST , ONLY OTHER THING HE HAS TO COVER IS BLOW-OUTS , ZERO £££ UPFRONT, NO MINIMUM TERM EITHER
Ive got a mate who rents late model MANs. £350 a week covers everything.
He just insures them and puts diesel in. Company he rents them off keep them tip top.
Not cheapest way to go but its an absolute fixed cost , only other thing he has to cover is blow-outs , zero £££ upfront, no minimum term either
Mike Ponsonby:
use subcontracotors would that be easier ?
Not really, pulling race car transporter, then parked at the event for a week, so a subbys truck and possibly the driver would be sat doing nothing for a week.
And of course I’d do myself out of driving round Europe, and have to fly to events :lol
In the past they used part-time truck drivers to get to the circuit, then flew somebody out to do the parts job. So you paid for 2 people wages for the days on event, plus hotels, food and flights, I work for them full time doing both jobs and looking after the transport side of things.
Been through the figures, and with the savings I’ve already made, plus the potential savings, I have justified newer trucks, that along with the extra reliability, and expense and inconvenience of a breakdown.
but they don’t want to buy them, lots of other projects happening at the company that need capital, we are supporting a car manufacturers racing program and its part of the contract with them that we have a parts truck at the circuit. So having fixed costs works well for us, playing with the figures and I might make the Iveco deal work and rent a truck for the weeks when we need 2 units.
Mike Ponsonby:
use subcontracotors would that be easier ?
Not really, pulling race car transporter, then parked at the event for a week, so a subbys truck and possibly the driver would be sat doing nothing for a week.
And of course I’d do myself out of driving round Europe, and have to fly to events :lol
In the past they used part-time truck drivers to get to the circuit, then flew somebody out to do the parts job. So you paid for 2 people wages for the days on event, plus hotels, food and flights, I work for them full time doing both jobs and looking after the transport side of things.
Been through the figures, and with the savings I’ve already made, plus the potential savings, I have justified newer trucks, that along with the extra reliability, and expense and inconvenience of a breakdown.
but they don’t want to buy them, lots of other projects happening at the company that need capital, we are supporting a car manufacturers racing program and its part of the contract with them that we have a parts truck at the circuit. So having fixed costs works well for us, playing with the figures and I might make the Iveco deal work and rent a truck for the weeks when we need 2 units.
I think the Iveco deal was only on until the end of June but I imagine they will have a similar deal, or it could have just been salesman guff to try get me signed up!!
Mike Ponsonby:
use subcontracotors would that be easier ?
Not really, pulling race car transporter, then parked at the event for a week, so a subbys truck and possibly the driver would be sat doing nothing for a week.
And of course I’d do myself out of driving round Europe, and have to fly to events :lol
In the past they used part-time truck drivers to get to the circuit, then flew somebody out to do the parts job. So you paid for 2 people wages for the days on event, plus hotels, food and flights, I work for them full time doing both jobs and looking after the transport side of things.
Been through the figures, and with the savings I’ve already made, plus the potential savings, I have justified newer trucks, that along with the extra reliability, and expense and inconvenience of a breakdown.
but they don’t want to buy them, lots of other projects happening at the company that need capital, we are supporting a car manufacturers racing program and its part of the contract with them that we have a parts truck at the circuit. So having fixed costs works well for us, playing with the figures and I might make the Iveco deal work and rent a truck for the weeks when we need 2 units.
I think the Iveco deal was only on until the end of June but I imagine they will have a similar deal, or it could have just been salesman guff to try get me signed up!!
Still advertised on their website, just waiting for somebody from Iveco to get in touch.
Although it wasn’t a firm price, just talking in passing with a Renault salesman he said full contract hire on a T range about £350p/w.
Yeah that sounds about right. My mate has two T range one a lhd 520 with the big cab high spec and tipping gear the other a 480 rhd with tipping gear and high spec and they are nearer 400 a week
We do need a unit for at least 9 months of the as one of the series is all European, so starts early in the year with testing down in Spain, and finishes end October or even early November. Plus as we’re building cars for customers, so there trips to local airfields to do shakedown tests, before we hand them over.
But looking at the program for the other series, I think short term hire is the option, I have done this before for the second truck in a team as it wasn’t required for testing as you don’t tend to take all the ■■■■■■■■ to tests.
I work as a driver for Eurotrail in Leeds on a new contract that they have secured which is a break from the norm, but they are better known as a leasing company for all things that move from cars to trucks. As an example, they lease trucks and trailers to a well known brick company, and a furniture manufacturer in Yorkshire amongst others. They have just put some 60 plate Volvo FM’s into the brick company to use as shunters but I don’t know what the cost is.
If your interested, then I can get some contact details for you and you can ring them to see if they have anything coming in ex contract.
Iveco were recently doing new 6x2 460Stralis Highways 3yr lease 140k/yr for £297week!!![emoji6]
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Just had a chat with my Local Iveco dealer, that seems to be a stonking deal. Just waiting for the small print and spec, playing around with the figures and I’ll talk to the Directors, but seems to tick the boxes.
Thank for the Info.
Muckles. The best looking wagon in the British GT paddock is an older topline with a bit of bling which pulls the Generation AMR Superacing trailer. Getting a decent older truck and spending a little on chrome will help the race team stand out against the competitions sea of brand new Fleet spec TGXXL.
Otherwise I know that one of the BRDC F4 teams have picked up a used premium recently, well maintained 300k ish outright purchase for similar money to the deposit on a new Mercedes.
nsmith1180:
Muckles. The best looking wagon in the British GT paddock is an older topline with a bit of bling which pulls the Generation AMR Superacing trailer. Getting a decent older truck and spending a little on chrome will help the race team stand out against the competitions sea of brand new Fleet spec TGXXL.
I know the truck you mean, an older tidy truck, not overly customised, would be fine for me, but the company doesn’t want the capitol outlay of buying another unit. They’d rather lease new or nearly new on some sort of contract hire deal. Easier to plan the costs for the season and hopefully less chance of an expensive breakdown abroad, like they had at the start of the year. It’s not just the unplanned costs of recovery and repair, but the extra costs of getting the trailer to the circuit as its part of the contract we have with our customers and the Manufacturer to have trackside parts and engineering support.
nsmith1180:
Otherwise I know that one of the BRDC F4 teams have picked up a used premium recently, well maintained 300k ish outright purchase for similar money to the deposit on a new Mercedes.
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Yep, spoken to a Renault dealer that have some low mileage 4x2’s, which would do the job, especially if I can get a decent warranty and a few bits like Side Skirts in the deal.
Would buying second hand not be better if the budget is so tight premiums are fairly cheep used would that not be a better option depends on the life span and mileage you want them to do
alix776:
Would buying second hand not be better if the budget is so tight premiums are fairly cheep used would that not be a better option depends on the life span and mileage you want them to do
Buying a few year old tractor unit and paying for the maintenance (provided you don’t get to many major repairs) does work out cheaper on this sort of work than leasing or contract hire and I did explain this to the Directors, but leasing/Contract hire of a new or newish truck saves on the capital outlay and helps fix the costs which works better for their financial planning, as they explained to me.
The tightness of the budget comes from what I can spend a month for a truck, as the trucks don’t actually earn the money, but are a necessary part of the job.
Would a purchase lease not work out the same or could not get the budget upped a little as what there looking for the what about magnum would that not be an option are you look 4x2 or 6x2
What about ex lease from an auction that would be less than going dealer and if coming off contract hire it should be in fairly good nick
The outlay would be taken off and capital purchase at the end of the year so could work out cost neutral as the limit for capital outlay per year from memory is around 250k
Just bumped into an MP4 Actros BigSpace on a 13 plate with 370k on the clock for £206 per month on a 3x35 Operating Lease. Mileage limits are 120k p/a which should suit the motorsport alright. Only problem is that its a 6x2 but that would allow your boss to do what he wants with it during the off season rather than having a unit stuck at 40t. If this is the sort of thing you are looking for its at MB North in Barnsley. If I was in a position to put my own on the road now, I would be very tempted.
Oh the other potential problem is that its a single sleeper, will you be doing a full on F1-esque thing and double manning it to Europe?
) but doesn’t want the capital outlay of a newer truck.