{"id":66637,"date":"2026-01-02T14:45:23","date_gmt":"2026-01-02T12:45:23","guid":{"rendered":"https:\/\/mobire.ee\/?p=66637"},"modified":"2026-01-02T14:45:24","modified_gmt":"2026-01-02T12:45:24","slug":"more-and-more-companies-are-putting-an-end-to-fleet-ownership-why","status":"publish","type":"post","link":"https:\/\/mobire.ee\/en\/mobire-news\/more-and-more-companies-are-putting-an-end-to-fleet-ownership-why\/","title":{"rendered":"More and more companies are putting an end to fleet ownership. Why?"},"content":{"rendered":"\n

Full-service vehicle leasing is not a convenience service but a strategic management decision.<\/strong> Rapidly growing companies, a changing tax environment, and technological development are increasingly forcing executives to ask whether owning a fleet still makes sense.<\/p>\n\n\n\n

Mobire Estonia\u2019s Chairman of the Board Marek Kurs and Verston Eesti O\u00dc Chairman of the Board Jarmo Liiver discussed on \u00c4rip\u00e4ev Radio how their cooperation has become a strong example of how fleet management can turn into a strategic advantage rather than a burdensome obligation. Listen to the radio show here in Estonian language.<\/a><\/strong><\/p>\n\n\n\n

Rapid growth put the existing fleet model to the test<\/strong><\/p>\n\n\n\n

Verston\u2019s decision to give up fleet ownership did not happen overnight. The company\u2019s rapid growth and the acquisition of the Estonian Road Administration (TDAS) led to a situation where the fleet nearly tripled in a short period of time. Today, Verston operates approximately 250 passenger vehicles, in addition to 100\u2013150 units of heavier equipment.<\/p>\n\n\n\n

At this scale, the previous self-managed model became inefficient. The choice was either to hire additional staff to handle day-to-day fleet management or to find a more systematic and scalable solution.
\u201cClear fleet management would have required adding one to four full-time employees. These would be people dealing with replacement vehicles, maintenance, tires, insurance, accidents, and financing issues,\u201d Liiver explained.<\/p>\n\n\n\n

And vehicle-related concerns are not limited to administration. Often, the end user is a project manager whose working time should be spent managing sites and teams, not worrying about whether vehicles have the right tires or where the nearest repair shop is when a problem arises.<\/p>\n\n\n\n

Full-service leasing reduced the administrative burden<\/strong><\/p>\n\n\n\n

One of the biggest hidden costs of fleet management is time. According to Marek Kurs, over a five-year period, an average of 250\u2013300 invoices pass through for a single vehicle.
\u201cFor each car, insurance policies that expire at different times must be monitored and renewed, and ongoing issues must be resolved. When there are hundreds of vehicles, this becomes a significant time drain,\u201d he says.<\/p>\n\n\n\n

Full-service leasing consolidates all this complexity into a single monthly payment. The company acquires not just a car, but also peace of mind and clarity – the service provider assumes responsibility for maintenance, tires, insurance, damage cases and replacement vehicles.<\/p>\n\n\n\n

Financial flexibility and cost transparency<\/strong><\/p>\n\n\n\n

The cooperation between Verston and Mobire began with fleet refinancing. Mobire acquired Verston\u2019s existing vehicle fleet, valuing the vehicles and freeing up capital that had been tied up in them. This made it possible to redirect funds into the company\u2019s core business and growth – whether investments in infrastructure or working capital. Equity is one of the most expensive resources in a company, and full-service leasing helps to use it more efficiently.<\/p>\n\n\n\n

One of the key advantages of full-service leasing is complete cost transparency. The monthly payment is fixed for the duration of the lease and covers all expenses except fuel, car washing and windshield washer fluid. In an environment where most inputs are indexed and prices fluctuate, this offers companies much-needed cost predictability – often up to five years in advance.<\/p>\n\n\n\n

\u201cFull-service leasing is expensive?\u201d That\u2019s a myth!<\/strong><\/p>\n\n\n\n

The widespread belief that full-service leasing is an expensive convenience service does not hold up in practice. Mobire procures over 1,000 new cars and more than 5,000 tires annually, purchasing them at wholesale prices. These advantages are passed on to customers.<\/p>\n\n\n\n

Verston\u2019s own calculations also showed that, from a financing perspective, leasing costs are in the same range as the cost of owning vehicles. The difference lies in the added benefits – time savings, risk mitigation, and flexibility – which come on top.<\/p>\n\n\n\n

There is often an expectation of making a profit by selling the car at the end of its lifecycle, but according to Marek Kurs, this is largely an illusion. It is either money that has already been repaid or an overly optimistic assumption about market conditions. No one knows exactly what the used-car market will look like in five years. A leasing company, whose daily business is vehicle sales and value management, is better equipped to manage these risks.<\/p>\n\n\n\n

Preparedness for rapid change<\/strong><\/p>\n\n\n\n

Full-service leasing enables companies to respond quickly to changing needs. Short-term rentals for interns or temporary projects, keeping the fleet young, and the ability to make rapid technological shifts are major advantages compared to rigid five-year leasing contracts.<\/p>\n\n\n\n

The leasing model allows fleets to be changed when necessary without waiting for contracts to expire\u2014whether due to changing needs, new environmental requirements, or technological development.<\/p>\n\n\n\n

Vehicle tax and electrification as key drivers<\/strong><\/p>\n\n\n\n

Vehicle taxation directly affects leasing prices through both registration and annual taxes. This has pushed companies toward more environmentally friendly vehicles. For example, the tax burden on plug-in hybrids is several times lower than on gasoline or diesel cars, which is also reflected in the monthly payment.<\/p>\n\n\n\n

Statistics show that registrations of hybrid vehicles have increased significantly, while the share of electric vehicles is growing more gradually. Verston\u2019s fleet already includes nearly 50 hybrid and electric vehicles, reflecting both cost efficiency and a more conscious approach to environmental impact.<\/p>\n\n\n\n

Full-service leasing also helps mitigate regulatory risks. If the tax environment changes, companies using the leasing model retain the flexibility to reshape their fleet without turning previous major investments into losses.<\/p>\n\n\n\n

Mobire\u2019s role goes beyond simply providing vehicle leasing. The company supports clients in transitioning to electrification by mapping work patterns, identifying suitable models, and offering the opportunity to test vehicles over longer periods – including during winter, when real-world usage conditions and suitability become most apparent.<\/p>\n\n\n\n

Ownership is fading – cars are no longer status symbols<\/strong><\/p>\n\n\n\n

According to Marek Kurs, the ownership model is steadily declining. Younger generations view cars primarily as functional tools rather than status symbols. This mindset is also transferring to business – what matters is not ownership, but a solution that works and is cost-effective.<\/p>\n\n\n\n

Jarmo Liiver notes that infrastructure will become more heavily utilized in the future, as rental and sharing models keep vehicles in constant use. In the long term, this will require smarter, interconnected, and more autonomous vehicles – although Estonia\u2019s infrastructure is not yet fully ready for such developments.<\/p>\n\n\n\n

Focus on core business<\/strong><\/p>\n\n\n\n

Now is the right time for company leaders to consider whether fleet management is truly something they want to deal with on a daily basis. Based on their own experience, the leaders of Mobire and Verston confirm that full-service leasing is not merely about using cars – it is a smart, future-oriented way to manage company resources and focus on what truly matters.<\/p>\n\n\n\n

Mobire helps you assess whether and how full-service leasing can genuinely benefit your company\u2014from analyzing your existing fleet to creating a flexible, future-proof solution.<\/p>\n\n\n\n

Send us an overview of your needs and current setup and receive ideas on how to manage your fleet more conveniently and efficiently. Get in touch with us.<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Full-service vehicle leasing is not a convenience service but a strategic management decision. Rapidly growing companies, a changing tax environment, and technological development are increasingly forcing executives to ask whether owning a fleet still makes sense. Mobire Estonia\u2019s Chairman of the Board Marek Kurs and Verston Eesti O\u00dc Chairman of the Board Jarmo Liiver discussed […]<\/p>\n","protected":false},"author":33,"featured_media":66639,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[19,21],"tags":[],"class_list":["post-66637","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-car-news","category-mobire-news"],"acf":[],"yoast_head":"\nMore and more companies are putting an end to fleet ownership. Why?<\/title>\n<meta name=\"description\" content=\"More and more companies are putting an end to fleet ownership. Why? 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