Top Questions Businesses Ask About Leasing Work Vehicles

When it’s time to add a new truck, van, or SUV to your business fleet, one of the first decisions is whether to lease or buy. Both options offer advantages, and the right choice depends on your business’s cash flow, growth plans, and how long you intend to keep your vehicles. Leasing, in particular, has become an increasingly popular option because it provides predictable costs and flexibility. At Zeemac, we specialize in close-ended leasing, but we understand that both leasing and financing can deliver real value depending on your needs. Here are some of the most common questions businesses ask when considering their next work vehicle.

1. How does leasing a work vehicle actually work?

Leasing is essentially a long-term rental agreement. Instead of paying the full purchase price of the vehicle, you make monthly payments for a set term (usually 2–5 years). With close-ended leasing, you return the vehicle at the end of the lease — giving you the option to upgrade into newer models without worrying about resale value or depreciation.

There is also open-ended leasing, which is more common for larger fleets. With this structure, the business has more flexibility in mileage, term length, and the ability to purchase or sell the vehicle at lease-end. Open-ended leases carry more responsibility for resale value but provide additional flexibility for companies managing larger or specialized fleets.

2. Is it better to lease or buy a truck/van for my business?

Both buying and leasing have benefits. Financing a purchase can be a good option if you plan to keep the vehicle for many years and want to build equity. Leasing, on the other hand, keeps upfront costs lower, provides predictable payments, and allows you to refresh your fleet more often.

When working with a fleet management company, another advantage is that you can roll upfitting costs — shelving, racks, service bodies, or decals — into your monthly payments. This applies whether you lease or finance, making it easier to get vehicles on the road without large upfront expenses.

3. Can I customize or brand a leased fleet vehicle?

Yes. Many businesses worry that leasing limits customization, but that’s not the case. Whether you need shelving in a cargo van, a ladder rack on a truck, or branded decals, leased vehicles can be outfitted to fit your exact needs. With the right financing or leasing structure, these costs can be included in your payments so your vehicles arrive work-ready.

4. What happens at the end of the lease?

With a close-ended lease, you simply return the vehicle and decide what’s next — whether that’s leasing a newer model, adding more vehicles, or adjusting your fleet size. This takes the hassle out of selling or trading in vehicles while keeping your fleet modern and reliable.

With an open-ended lease, the business assumes responsibility for the resale value. At the end of the lease, you may purchase the vehicle, extend the lease, or sell it on the market. While this offers more flexibility, it also carries more financial responsibility — which is why some businesses prefer the predictability of close-ended leasing.

5. Are there financial advantages to leasing?

Leasing and financing can both support cash flow in different ways. Financing helps you build ownership over time, while leasing provides stability through predictable monthly payments and reduced exposure to depreciation.

In Canada, both lease and finance payments can offer tax advantages. Lease payments are typically deductible as an operating expense, while interest and depreciation may be deductible when financing. The best option depends on your business structure and long-term plans.

Whether you lease or buy, both options can be excellent tools to grow your business fleet. Leasing often provides flexibility and predictable costs, while financing can be a great option for long-term ownership. At Zeemac, we help businesses weigh the pros and cons so they can choose the path that best supports their goals.

Curious about the best option for your business? Contact Zeemac to learn more about commercial vehicle leasing and financing solutions across Canada.