A van can solve a real operating problem while creating a new cash problem. The useful question is not simply whether the monthly payment fits. Look at the deposit, insurance and running costs, what the upfront cash removes from your buffer, and whether the repayment still works in a slower month.
Before you commit
- Protect tax, payroll and near-term bills before treating cash as available.
- Compare cash purchase with finance and part-cash/part-finance.
- Add the new monthly running cost, not just the finance payment.
- Test the decision after a 15% fall in monthly cash coming in.