Improving budgeting in fleet management: A Guide for Small Business Owners

By Anita Jaynes on 21 August, 2021

Sponsored Post

Sticking to a set budget is crucial in fleet management for small businesses. Fleet managers and small business owners know that if any minor logistical slip up occurs along the way, such as an HGV vehicle needing to stop for a long period of time to have its tyres replaced along the hard shoulder, this can have grave knock-on effects, and prove costly for the business.

No small business owner ever wants their business to lose any money, and while there are many ways to save money, there are also ways you could be wasting it. Mismanaging your fleet and not making sure you have put the right processes and measures in place to ensure the fleet arrives safely, on time, and intact can be disastrous on a business level and something that is difficult to then recover from. Thankfully, these tips should help.

Improving Your Budget by Keeping Fleet Costs Down as a Small Business

There are many ways through which small businesses can try to keep their fleet costs down. Some ways to save on costs can include buying cheaper priced fuel, using more competitively priced yet still high-quality vehicle maintenance services, helping your drivers avoid traffic congestion as much as possible, and taking full advantage of modern apps where drivers can keep up to date on any pending vehicle maintenance issues that they need to keep an eye out for.

Vehicle Maintenance Issues and Budgeting in Managing Your Fleet

Fleet management for small businesses is essentially supply chain management. If there are maintenance issues and delays in the chain during the fleet transportation process the goods may not be delivered on time, or foodstuff may become damaged or even perish. Any disruptions that happen in the chain is something that will always end up as being financially very costly for small businesses and may directly lead to them losing loyal customers!

Fuel Cost-Effectiveness and Budgeting in Fleet Management

As Fleet Managers know only too well, fuel is one of a fleet’s greatest costs and outgoings in terms of expenditure and thus fuel is a major consideration when drawing up a budget for a fleet.

Drivers must keep managers up to date about their vehicle’s fuel data usage as this is vital information allowing a fleet manager to analyse and work out how they can optimise fuel efficiency for their fleet vehicles.

In the UK, HGV and coach drivers can have access to special ‘Fuel Cards’, offering companies more competitive prices on fuel.

It is important for small business owners managing fleet to select the best fuel management system to monitor their vehicles’ fuel efficiency. Chevin’s fuel management system is one of the market leaders in the fleet industry for closely monitoring your vehicles’ fuel performance and costs.

Wastage when it comes to fuel should be avoided at all costs in fuel management. Inefficient fuel usage is something which can cut into a budget in fleet, and lead to the business losing money very easily.

Small Business Owners, Keep Your Budget Realistic!

It is somewhat instinctive for small business owners to want to save money wherever possible, however cutting too many corners can also have damaging consequences and prove more costly later on for the business.

It is advisable to set a budget price which is large enough to cover all your expenses and ensures the safe arrival of your fleet. So, whilst taking measures to keep your budget low, be sure to keep your costs realistic too.