ChrisKelly5

As so of you may have read.. I am looking at buying another work truck.

I have a few questions, some of the I should probably already know, since I run my business but I don't because I have never had to use "credit" for any of my business purchases...

1) Is my business' credit based off of myself, or is it a seperate entity?

2) Should I try & lease a truck for my business, or just by one outright (personally)?

3) Is it easier to buy one for my business, or personal use?

Any ideas would be appreciated... thanks, Chris.

chef chris

Easier to buy for personal use, as the lender won't require a personal guarantee seperate for the business.

Different lenders have different business-lending guidelines, but unless it's a large company, most will require you to sign in addition to the business. So, technically, the new loan would be in the business name &&& your name jointly(tilted same). Your best bet is to ask the car dealership where you're buying the car...see what they can tell you from their experience with the lenders they use. It's possible to get the loan in just the business name, but normally not probable.

As far as lease vs buy...you may want to check with an accountant. Persoanlly, I would buy it & depreciate it over a short term, say 3 years or so, so I could budget for a new vehicle and get the most tax deductions.

ChrisKelly5

Thanks man, I'm going to talk to the dealer about it.

chef chris

mikeymobiles

look into a used truck...

ChrisKelly5

I've already done that... this will be my fourth vehicle in my driveway.
It's not the money that I am worried about... it just the fact of building credit with my business...