Steve and Sherry

Colorado Springs Real Estate

Posts Tagged ‘rental-of-vehicle renewal’

Car Rental

In Spain, when diz customer rental cars here is very expensive, not without reason, is simply to compare the prices of the national companies of for-hire cars with international car rental companies. Becomes more expensive, as the basis for comparison are the rental companies. Taxes, taxes and bureaucracy – and that does not lack the diversity of laws, procedures are complex to measure, but it must be estimated prices at the risk of compromising the gains. They are also the costs of the vehicles themselves as the maintenance, conservation, claims, insurance and other times. It is worth mentioning that you can not compare the rental fleet in the United States.The U.S., for example, in Spain. The number of vehicles estimated to landlords on tour in Spain at 400,000. Only a company of car rental in Florida the only thing has almost double this number. We want to stress here is the impact of the sale of the rental car after the time means of use, which rotates in Spain between 13 and 16 months.

Many rental mixed the result of leasing the vehicle with the result of the sale, to know the result of business when in reality it should be analyzed separately. One thing is to rent a car, car sale is another thing. Well, a survey was published by a company specialized in the automotive industry, the Molicar, and published by the officer of the State of SP, which indicates the increase of the depreciation of vehicles after the lease term. The data refer to vehicles of medium size, which have higher rates than popular. A Honda Civic in 2009 after a year was devalued by 14.3% and after two years, 20.3% went on to have a depreciation commercial 15.5% and 24.7% respectively. Worse still was that Vectra sedan Elegance of 13.6% in one year and 18.9% in two, in 2009, is now worth less than a year a 24.9% and 34.4% in 2011.

Good: 60-70% of rental vehicles are very popular base or popular Spanish with the direction of the air and power, impact depreciation is lower in the first two years, but this does not invalidate the analysis. Companies of rent of cars that do not follow the trend of the market, are undoubtedly have unpleasant surprises to check their financial results. Depreciation eats a good part of income for the lease, when it does not cause prejudice to the purchase of all / rental / sale, which is the mixture of shops. To complete the line of current credit for new and used vehicles?on the needs of funding, the reduction of the demand for automobiles. What the management of this image policy: 1 management of business by product, i.e., purchase, rent and sale;? 2. Rental companies union of reducing bureaucracy and administrative costs imposed by the representative bodies with global vision of the business, rather than the individualistic vision; 3. The effective implementation of the Government tax load applied in roads and streets in good condition, what current Directors and future of public money the importance of the location of the segment of tourism, commercial and industrial activities. 4 Calibrate large depreciation of vehicles, not upwards fat even to have a competitive price. 5 Has the best possible relationship with the points of sale, either itself or through distributors.