Restricted finances controlling vehicle funding decisions

A recent survey by GE Capital, which is conducted quarterly, has revealed that more than 17% of the customers are more likely to use outright purchasing methods compared to the 38% in Q4 2009.

These figures seem to suggest that car leasing is making its gains steadily. In the same time period, it’s been shown that contract hire rates have seen a rather steady growth from 42% to a bustling 66%.

Research conducted by Swells back in 2010 reflects that just under 40% of fleet operators use outright funding as their sole funding option for their vehicles. GE’s research seems to indicate that said portion is now slowly falling as more and more firms slowly switch to leasing alternatives.

The fleet services commercial director for GE Capital, Gary Kileen, has commented that many of the fleets that took part in the survey are in fact using more than one acquisition method to secure new vehicles.

 

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