Even though the public transport system in Singapore is excellent, as a business owner, it’s important to have your own vehicle to transport your goods. And yes, the cost of buying a vehicle in Singapore is almost six times as much as in other countries, so you do have to be very thorough with the process and make up your mind before investing. We have put together this list so you can go through the process thoroughly whether you’re purchasing a vehicle for personal or business purposes.
Get a COE (Certificate of Entitlement)
To own a vehicle in Singapore, you must obtain a COE. This certificate will represent your right to own a vehicle and use already limited road space for the next ten years. Please keep in mind that expensive to fluctuate pretty regularly. This year alone, it went up by 3.2%.
Figure Out Loans and Instalments
Buying a vehicle in Singapore is expensive. Most people can't afford the full price of the vehicle to the dealer upfront, which means loans and instalments. It's best to liaise with your dealership to this for you - they can help you determine where to get financing from and handle all the paperwork on your behalf. Make sure you have all the information regarding the loan caps for the vehicle category you're buying from.
Pay The Road Tax
Like COE, all vehicle owners must pay the road tax before their vehicles can hit the road. The road tax can be renewed yearly or bi-yearly. However, there are certain prerequisites that you must fulfil before the renewal. These include passing inspections, clearing any outstanding dues, and getting insurance coverage.
You can choose between basic auto insurance or the comprehensive one, and we suggest the latter because you've already spent so much; why skip on insurance now? Look at the policies of different vendors and go for the best deal you can get.
Consider Parking Options
When buying a vehicle, it is important to take into account not only the cost of the vehicle but also the costs associated with parking. Parking space is scarce in the country, and you might have to pay an additional fee to park your company vehicle at home or work.
Buying a vehicle in Singapore can quickly turn into a headache. Luckily, Pan Pac’s commercial vehicle leasing makes it easy for business owners to have a vehicle for their business operations without going through the stress of being a vehicle owner. Contact our friendly team today to find out how we can help you!