Why is a fleet card useful for construction businesses?
Running a construction business normally means overseeing the operation of a range of different vehicles. From vans to construction equipment, there is a lot to keep track of, maintenance, insurance, logistics, there’s a lot of moving parts to keeping a construction fleet moving.
In some instances, especially in smaller companies, this might become overwhelming and eat in a large amount of time and budget that could be better spent elsewhere in the business.
Fleet cards are a fantastic way to help monitor the fuel consumption of your business vehicles and also take a lot of the admin burden that comes with keeping a fleet moving. But what are the other benefits to construction companies?
Savings on fuel
Fuel cards, such as those provided through FSB, are designed to help businesses simplify the whole process of keeping their vehicles fuelled and running on the roads.
In some cases, these cards also provide businesses with a discount on fuel purchases. The saving tends to be a few pence per litre of fuel. However, when you consider the size of construction vehicles or the mileage covered by vans for tradesmen the savings over time could be considerable.
This could then give you more budget to reinvest into your business, potentially on new equipment or training to add a new service or skill.
Normally anyone buying fuel for a business vehicle would need to retain the receipts, hand them in and have the receipt be added to other receipts to work out your total fuel costs for the month.
A fuel card essentially removes the needs to do this, as purchases using the cards can be tracked through an online system. This allows you to see how much is being spent on fuel, and which drivers are spending the most. This can help to identify if vehicles are being used for more that the needs of your business, and also track any vehicles that might be fuel inefficient and in need of servicing.
This can help you to ensure you fleet of vehicles is operating at its most efficient, helping you to continue to make savings on your fuel usage by having vehicles which operate more effectively.
As a business you can use the fuel of your vehicles as a deductible on your tax. Simplifying the process of invoicing your VAT can save you time and effort, giving you more opportunity to focus on your business instead of excessive admin.
In a larger construction business with lots of moving logistical parts the time that simplified admin can save is huge.
Managing accounts and tracking expenses and fuel invoices on a centralised system instead of carrying out much of the administrative work manually can help businesses to refocus on other areas. Potentially allowing them to streamline and improve other admin tasks such as payroll or invoicing due to the extra time they have.
Taking the time as a business to find ways to simplify processes and reduce admin is crucial, regardless of what sector you’re in.
You may find that simplified processes mean additional savings, as well as increased productivity from staff due to a decrease in the amount of processes and admin tasks that they need to carry out. This gives your business more time to focus on providing a quality service to your customers and delivering projects on time.