Subscribing to a car is becoming increasingly popular with fleet operators. The car subscription offers companies the opportunity to easily adjust their own stock of Tuesday cars for any duration and flexibly on a monthly basis as required. Ancillary costs and the handling of maintenance, insurance or repairs are already included in the monthly installment.
However, there are also disadvantages . For example, higher installments compared to leasing or no possibility of individual configuration. In this article, we explain when a car subscription could make sense for your company and what you should consider when deciding on a subscription.
These are the advantages of a car subscription for your fleet
- Alternative drives: A car subscription offers the opportunity to switch to more environmentally friendly vehicles with electric or hybrid drives without having to worry about the purchase or maintenance of such vehicles. This makes it easy to test new models, brands or different types of drive.
- Avoid delivery bottlenecks: In times of supply bottlenecks, for example due to production stoppages or delivery problems, a car subscription is a flexible alternative for staying mobile every month.
- Availability: Car subscriptions usually offer a large selection of different vehicles that are available at any time. You don’t usually have to worry about whether the car you want is currently available or not.
- Fixed rates: A car subscription usually includes a fixed monthly rate that is paid in advance. This gives you better cost control and you always know how much you have to pay for using the car each month.
- Insurance: Most car subscription providers already include car insurance for company cars. This is also the case with FINN, Fleethouse’s partner. In this case, the monthly installment also covers the cost of car insurance and fully comprehensive insurance. Even minor scratches in the paintwork or other wear and tear are included in the monthly price.
- Cost savings: In some cases, subscribing to a car can be cheaper than leasing a company car or booking a rental car. You only pay per month for the time you actually use and do not have to pay high acquisition costs or interest. However, if you want to lease a car for longer than one year, it is worth comparing leasing offers for commercial vehicles.
- No commitment: With a car on subscription, there is no commitment for a long term. You are not tied to a specific car and can simply switch to a different vehicle every month if you wish or if your term requirement changes spontaneously.
- Environmentally friendly: A subscription is a more environmentally friendly alternative to a fixed company car, as you only use the vehicle when you really need it, thus relieving traffic and minimizing downtime. Some providers also offer environmentally friendly vehicles with electric or hybrid drives* .
Are there any disadvantages to subscribing to a car?
- Restrictions on use: Some providers of car subscriptions have restrictions on use, for example on the number of kilometers you can drive per month or on use abroad.
- No individual vehicle configuration: A car subscription generally offers no possibility of individual vehicle customization and only allows installations that can be reversed after the term.
- Higher rates: Flexibility has its price. That’s why in many cases it is more expensive to subscribe to a car for many months with a provider instead of leasing it. This is the case, for example, if you want to use the vehicle for a longer period of time (usually one year). To find out whether a subscription is worthwhile, you need to compare the offers with the costs and ancillary costs for leasing company cars. This is time-consuming and requires a detailed understanding of the various factors involved in leasing.
- Age of the travelers: Some providers set a minimum and maximum age for users. These are usually 21 and 75 years respectively. If you are younger or older, it can be difficult to subscribe to a car.
- Limited choice: Some car subscription providers only offer a limited selection of vehicles, which means you may not get the car you really want.
Car subscription from Fleethouse: Large selection at attractive conditions
From February 2023, you can easily take out a car subscription on Fleethouse and flexibly add more vehicles to your fleet to suit your needs. Our partner FINN offers you a large selection of high-quality new cars at attractive subscription conditions. Electric vehicles from the most popular car manufacturers can also be found in the provider’s range. Other advantages that we offer our customers together with FINN:
- All-round carefree package: you simply subscribe to your new vehicle at a fixed monthly price including insurance and much more. No deposit, no hidden costs.
- Short terms: You decide how long you subscribe to your new car. It starts with a term of one month.
- Free doorstep delivery: Our provider FINN will deliver your new vehicle directly to your doorstep free of charge.
Subscribing to a car is a simple and flexible alternative to buying or leasing. Short terms and the option to cancel at any time are making car subscriptions increasingly popular. Especially for company cars. You can use the car without having to worry about maintenance, insurance or repairs. Everything is already included. By subscribing to a car, you have the freedom to choose a different vehicle at any time or to test the use of electric vehicles in operation.
However, there are also disadvantages that you should weigh up before making a decision. For example, you should be aware that the vehicles cannot be individually configured and the rates are usually higher than with leasing.
Car subscription module
Subscribe to the next company vehicle with Fleethouse. Together with FINN, we offer you an all-round carefree mobility package.
The most important facts about the car subscription at a glance
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