Instead of buying a car, what if you could just lease out the car of your choice for regular use? Better still if you are a Company that manages a fleet of cars for your employees, wouldn’t it be nice to just lease out the cars and instead of investing your resources in maintenance and repairs, you just pay a monthly price for the lease?
Your car falls under the category of a depreciating asset and attracts at least 15% depreciation per annum. Buying a car is a decision that involves many factors as it’s an expensive affair more so if you are corporate. Car leasing in India is already popular in the corporate world and fast catching up with professionals & individuals like doctors, lawyers, Entrepreneurs and self-employed individuals.
When you lease a car, you can use the vehicle for a fixed term by paying monthly rental. Generally, it's two to five years. Car leasing in India generally offers two types of leasing contracts. Operational leasing: Where you just buy the fuel and all other worries are taken care by the car leasing company. They take care of the insurance, registration, repairs etc.
Financial Leasing: Allows you the option to buy the car after a stipulated time.
Some of the advantages of leasing your car are,
1) The leasing company takes care of damage repairs.
2) They arrange for a pickup & drop for servicing your car.
3) Tax Benefit: as the car lease expenditure can be claimed as 100% deduction in your filing.
4) Affordability: To buy your car you need to make a down payment. By leasing, you get to use your favorite car with zero down payment.
5) Qualifying Criteria: If you are a company you are already qualified. If you are an individual, basic identity proofs and tax filing reports can help you quickly lease your favorite car.
Although the concept of car leasing is very popular out of India, its fast catching up! The car lease India market is pegged at US 2.5 Bn , with a fleet size of 350000 cars on the streets. Major international fleet management companies have already made their footprint in the Indian market with substantial startup investments. Although they seem to face hurdles with the unorganized car resale market in India and also car leasing in India requires a multi-dimensional approach towards customer satisfaction that provides a one-stop solution to individuals who lease cars and corporates alike.
The capital intensive nature of maintaining a captive car fleet is a major concern for larger companies with wider operations. The pain points are maintenance & repair along with accounts to be maintained for Manufacturer, Repairs, Drivers, Maintenance ,etc. Similarly, Car leasing companies in India face the issue of procuring and maintaining a large fleet of cars that need regular maintenance and repairs.
JMD Auto is one such car leasing company in the market who has a competitive edge over other players. With four Dealerships and four service workshops, JMD ACM manages the issue of maintenance and repairs with great ease. JMD has been awarded the best dealership award by SKODA and with over 17 years of experience in the Auto Industry, they have a heritage of excellence in the automotive world.
A car leasing company in India needs to have an in-depth knowledge of the second-hand car sales market. JMD scores in this segment too with a long history of dealing into premium as well as mid-segment cars.
Car leasing in India is an option that far outweighs an outright purchase, do inquire for more information.
Scheduled, unscheduled and running repairs
Pick up and drop facility for services and repairs
24/7 emergency roadside break down assistance
Full coverage in case of an accident