Do you have your business structured as either a limited liability company (LLC) or a corporation? If you do, then you might be eligible to purchase a work vehicle for your business using your business name.
Before you do this, you will need to spend some time building up your business credit as a small business owner. It might take up to two years for you to do this.
But from there, you should be able to buy a work vehicle for almost any type of business by taking the right steps. Here is more information on how to buy a car under a business name.
Shop For A Work Vehicle Through The Right Dealership
If you’re in the market for a work vehicle that you can buy under your business name, you should make sure you shop for one through the right dealership. Ideally, you want to search for a dealership that has a dedicated commercial sales department.
This kind of dealership will be able to show you vehicles that would be perfect for your specific work purposes. You should shy away from buying any type of vehicle that might raise red flags with the IRS if you claim it as a work vehicle.
Read Section 179 deduction vehicle list 2021 for more information on how buying a work vehicle can help bring your business taxes down.
Seek A Vehicle Loan Using Your Business Name
Once you know which work vehicle you would like to buy on behalf of your business, you should set out to get a loan for it. You can usually do this right through the dealership that you use if you would like.
You can also look for vehicle loans elsewhere if you aren’t able to iron out a deal with one of the lenders that a dealership has to offer. But whatever you do, you should be sure that you’re buying a vehicle in your business name and not your actual name.
Utilize Your Business Name To Register And Insure A Work Vehicle
In addition to buying a work vehicle under your business name, you’ll also need to register it and insure it under your business name, too. You should be able to do this through your state’s DMV and through a reputable commercial auto insurance company.
As long as everything listed here goes according to plan, you should be left holding the keys to a car or truck that you own under your business name in the end.
Buying A Vehicle Under A Business Name Shouldn’t Be Too Difficult
If you haven’t ever done it before, buying a work vehicle under a business name might seem like it would be a stressful situation. But in reality, it’s almost as easy to buy a vehicle under a business name as it is to buy one under your real name.
Follow the steps that we’ve laid out here to secure a vehicle under your business name. It shouldn’t be too long before you’re enjoying the benefits of vehicle ownership as a small business owner.
Get more tips that will make you a more effective small business owner by browsing through our other blog articles.