While employees are using their own personal vehicle for business use, the business can be liable for any accidents or vehicle damage employees may encounter. This can end up more costly than the business having their own fleet for business use.
A Grey Fleet is the name given to personal vehicles which are used for business purposes. Typically this refers to the personal vehicles of employees being used for business travel. The employing business can be found liable for any accidents or damage employees encounter while using their personal vehicle for business use. Current legislation requires businesses to ensure the fleet is well maintained and monitored. It is therefore important to regularly check the condition of grey fleet vehicles, and get checks in place to ensure employees driving grey fleet vehicles have valid driving licences, and MOTs. Grey Fleet Management is the combination of these services and more.
Grey Fleet Management may not be the best choice for your business. If you have a lot of employees using their own vehicles for business use only occasionally and/or not simultaneously, it is likely cheaper and simpler to have a smaller amount of business vehicles. This way you have to track, maintain and manage considerably fewer vehicles.
Example:
An IT Support company has 10 technicians, who sometimes have to go to businesses to provide on-site support. Most of the time however, support is delivered remotely. On average, a single technician has to travel to work on-site per day. Rather than the company having a grey fleet including all 10 technicians vehicles, they could simply lease 1 vehicle that all 10 technicians have access to.
A Grey Fleet is a great solution for a number of circumstances however. For example when a business:
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