Why is switching to electric vehicles important for SMEs?
Rising fuel prices are a concern for everyone. SMEs, self-employed professionals and even craftsmen are all concerned. Alternative energy sources do exist (biofuels, solar energy). However, they leave a carbon footprint and are expensive to produce. Electric power is therefore an option. What's more, companies equipping their employees with electric vehicles electric vehicles.
Corporate image
For a company, showing that it has a voluntary policy regarding environmental and social concerns is important. The corporate social responsibility improves its brand image. A study by ADEME shows that 72% of French people feel concerned by responsible consumption. More and more of them have a positive image of companies with a CSR policy. Going electric enables them to reduce their carbon footprint, thanks to electric vehicles that emit far fewer greenhouse gases than combustion-powered vehicles. A electric car emits 100g of CO2 per kmwhile the same petrol model emits 200 to 250 g CO2/km.
Technology is advancing, and electric car batteries are lasting longer. They can be recycled and reused, reducing the impact on natural resources. By adopting electric cars, companies also contribute to the development of recharging infrastructures. By conveying these values, they can use their reputation to encourage consumers to adopt electric vehicles in their turn.
Find out more : Corporate Social Responsibility: definition and examples
Cost savings
A company that wants to buy electric cars also wants to save on operating costs. With electric vehicles, maintenance costs are lower than with combustion engines. The propulsion mechanism is simpler on an electric car, and there are fewer parts. Energy costs are lower, and the cost of recharging the battery is less than a full tank of fuel.
Government subsidies also enable companies to reduce the purchase price of electric vehicles.
Find out more → All the help you need to buy an electric car
Promoting the ecological transition: a helping hand from the State
SMEs wishing to migrate to electric vehicles can take advantage of the ecological bonus. The maximum amount is €3,000 for an electric vehicle costing less than €47,000. This bonus can be a real asset. They can also obtain the conversion bonus to replace their old polluting vehicles with clean ones. This bonus applies to vehicles with crit'Air stickers category 3 and above (ecological sticker mandatory sticker for vehicles circulating in certain ZFE). The amount of assistance varies according to the type of vehicle. It is particularly advantageous for commercial vehicles and heavy goods vehicles.
Contributing to a sustainable future
The automotive industry is largely responsible for air pollution. To limit it, companies will soon no longer have the choice of whether or not to renew their business vehicle fleets. By 2024, 20% of the cars in their fleets will have to be electric. By 2050, it will be 50%.
Switching to electric vehicles: financial and ecological benefits
Research has shown that electric cars are better for the environment. They emit fewer greenhouse gases and air pollutants than petrol or diesel cars. This takes into account their manufacture and the production of electricity to run them. If you've already made up your mind about electric cars, Beev invites you to take a look our leasing offers.
Electric cars: better for the environment?
The main advantage of electric cars is the contribution they can make to improving air quality in cities. With no tailpipe, electric cars produce no carbon dioxide emissions. This significantly reduces air pollution.
Electric cars give us cleaner streets. Cities and towns alike are becoming healthier places for pedestrians and cyclists. Interestingly, it takes around 30,000 to 40,000 km (2 to 3 years' use on average) for an electric car to become better for the climate than its internal combustion counterpart.
Average carbon footprint of a car sold in 2020 according to mileage
Source : Carbone 4
What's more, they help combat noise pollution, especially in cities where speeds are generally low. Electric vehicles are much quieter than gasoline-powered vehicles. They create a more peaceful environment for everyone (cyclists, pedestrians, local residents).
A tool to help SMEs compare the overall environmental impact of electric cars versus combustion-powered cars is available on the website of the Institut de la Science et de la Technologique of Luxembourg. The aim is to help companies understand why and how the electrification of vehicles can really benefit their image.
The manufacture of an electric car consumes a lot of energy. Emissions during production are higher than for an internal combustion engine, due to the lithium-ion batteries. Over the course of its life, more than a third of CO2 emissions are produced during manufacture alone. Despite this, it remains the cleanest solution when compared with a combustion-powered car.
In addition, theAgence de la Transition Écologique tells us that an electric car driven in France has a carbon footprint a carbon impact 2 to 3 times lower than that of a similar internal combustion model.
Financial benefits for SMEs in 2023
As in 2022, SMEs will benefit from government financial assistance in the same way as private individuals. The environmental bonus and the conversion bonus are designed to provide financial assistance to companies that choose to renew their car fleet. The conversion bonus is paid on condition that the company scraps its old, polluting vehicles. Other benefits are also available. An additional €1,000 in aid for SMEs whose electric cars are located in ZFE (low-emission zones). For models emitting less than 21 g/km, they are exempt from paying the annual CO2 emissions tax. Lastly, in terms of taxation, also depending on what the electric car emits, the company can make a deduction from its depreciation. In all cases, the company will not have to pay any tax on the vehicle registration document.
| Type of vehicle | Until December 30, 2022 | From January 1, 2023 |
|---|---|---|
|
New electric vehicle under €47,000 |
4 000 € |
3 000 €
|
|
New electric vehicle from €47,000 to €60,000 |
2 000 € |
0 € |
|
New hydrogen-powered electric vehicle over €60,000 |
2 000 € |
0 € |
|
New electric van |
4 000 € |
4 000 € |
|
New plug-in hybrid vehicle(range over 50 km) |
1 000 € |
0 € |
Ecological bonus amount
| Type of vehicle | Criteria | Amount of assistance |
|---|---|---|
|
New or used electric or plug-in hybrid vehicle |
Range over 50 km/ Price less than or equal to €60,000
|
2500 €
|
|
Light commercial vehicle |
Electric vehicle, rechargeable hybrid, new or used/ Range over 50 km
|
40% of the acquisition cost, up to a maximum of :
- 5,000 € for Class I vehicles
- 7,000 € for class II vehicles
- 9,000 € for class III vehicles
|
|
Two-wheeled / three-wheeled / motor quadricycle vehicle
|
- New electric vehicle
- No lead-acid battery
- Maximum net power greater than 2 or 3 kW (depending on homologation regulations)
|
100 € |
Amount of conversion premium
Leasing: the ideal solution for professionals?
Despite the supply chain challenges, sales of electric vehicles have more than doubled to 6.6 million by 2021, representing almost 9% of the global automotive market. The global market for electric vehicles is expected to more than quadruple by 2026. This trend is also confirmed for the French market, where almost half of all cars will be electric by 2040. An encouraging finding for the Climate Plan which aims to reduce greenhouse gas emissions. There are a number of ways in which companies can finance this ambitious project.
Long-term rental
The long-term leasing was not popular in its early days. It emerged in the 1980s and has grown steadily over the decades. In 2019, 1,912,269 vehicles were leased, up 6% on 2018. In 2022, the 51,553 electric cars registered under long-term leasing represented 28% of the automotive market, a figure that remains stable compared with 2021 (55,842 registrations, or 29.9%).
Source : Sesamlld
Leasing gives SMEs access to a new car for a period of between 24 and 60 months. They pay a monthly rental fee and, in some cases, a deposit or downpayment when they sign the contract. The advantage of this type of financing for companies is that it also includes services. Maintenance, tires and replacement of the electric vehicle in the event of an incident are all included. At the end of the lease, the SME can :
- Returning the electric car (end of contract)
- Choose a new model (sign a new contract)
- Buy back the vehicle (the lessor sets the sale price at below the market rate)
When the contract is signed, the amount and number of monthly rents are set according to various criteria. Financial investment, which comprises the difference between the purchase cost of the electric vehicle and its residual value (the estimated resale value on the second-hand market). Lease termthe agreed annual mileage, lthe first rental charge, any additional services services (assistance, insurance) and a deposit. The latter will be refunded to the lessee at the end of the contract.
For an SME, being on a long-term leasing contract means it can renew its fleet often. fleet. The electric vehicle landscape is evolving rapidly, 1,102,975 electric vehicles and light rechargeable hybrids are on the road in France, with 346,865 registered by 2022. Automakers are regularly bringing new models to market, such as Volkswagen with its new iD.3 and its iD.Buzz .
In financial terms, the SME can reclaim VAT on its business electric vehicles. As the lease payments are not included in the company's operating expenses, they are tax-deductible. For future projects, long-term leasing also enables the company to preserve its borrowing capacity.
A company that opts for long-term leasing to electrify its vehicle fleet benefits from additional services.
The assistance service (available 24/7) covers car breakdowns, accidents or theft. SMEs benefit from breakdown assistance or towing of their electric cars, with no mileage limits. Driver accommodation is covered in the event of immobilization for more than 24 hours.
A replacement electric vehicle can also be made available to company employees while they wait for their damaged car to be repaired. In this case, the rental company lends a model for a pre-agreed period.
Vehicle maintenance includes technical inspections, servicing, regular repairs and labor.
Which model of electric vehicle is right for SMEs?
There are many considerations and decisions involved in changing or adding cars to a company's fleet. Which electric vehicle to choose? How to manage charging and payments efficiently, and how to avoid being swamped by the multitude of electric car offers on the market?
What is a fleet of electric vehicles?
An electric vehicle fleet is a fleet of low-emission vehicles owned or leased by a company. The cars in the fleet are used to transport people or goods. An electric vehicle fleet produces low carbon emissions when in operation. Unlike traditional fleets, electric vehicle fleets rely on batteries rather than petrol or diesel to operate. Just as a traditional fleet vehicle needs to be refueled, an electric fleet vehicle needs to be recharged.
Find out more : All about the electric vehicle fleet
Make your energy transition now, with several new 100% electric vehicles available for leasing from Beev!
The automotive audit: the first step
Before embarking on this project, a vehicle audit is necessary. It provides a current overview of the company's vehicle fleet. The company will then know whether its project is feasible and realistic. Here are the points to consider:
- Set the company's objectives for electrifying its fleet (reduced operating costs, reduced greenhouse gas emissions, etc.).
- Collect data on the current vehicle fleet (number of vehicles, fuel consumption).
- Calculate the costs of purchasing and operating electric cars.
- Evaluate the associated costs (charging infrastructure and installations).
Putting employees first
When an SME wants to determine which model is best suited to its fleet, the employee who will be using the electric vehicle must be the company's priority. The employee's ability to recharge at home, daily autonomy and the type of vehicle are essential. The experience must be positive for the employee driving the car. A dissatisfied employee can slow down the electrification of the car fleet by providing poor feedback. Conversely, a satisfied driver can spread the word and give momentum to the transition. As an SME, Beev advises you to identify the employees most receptive to driving an electric vehicle. This will enable us to assess their needs and their views on the different models on the market.
Which electric car is right for a small business?
Not all professionals have the same needs. This is especially true when they're out and about on business. When it comes to fleet renewal, the choice of electric vehicle model will depend on speed and volume. Some cars are more suited to SMEs than others, depending on their activity. From electric sedans today easily exceed 400 km, such as the Tesla Model 3. But thanks to increasingly efficient cars, the question of range is secondary. In the past, it was one of the main concerns when companies switched to electric cars.
Find out more : 2023 ranking of long-range electric cars
For SME employees, owning a small electric electric city car is an ideal solution in large French-speaking cities, whatever the region. They often have simple journeys (to and from work). By recharging their company car during the day at the company 's charging station, or at home in the evening, they don't have to worry about the battery's range. battery. Models such as the Peugeot e-208, the Renault Zoe e-Tech or the Fiat 500e are well suited to their needs.
Unlike employees, field technicians have more hectic days. They frequently travel from point A to point B to meet their customers or partners. They need a larger charging volume, greater autonomy and the assurance of rapid access to a charging station.
The range ofelectric vans has expanded considerably. The major brands all their own. The Citroën e-Jumper, which is the best-seller in Francewith a range of over 300 km and a 37 kWh battery.
Sales people need electric cars with a long range. As well as making numerous daily journeys, they may have to travel outside their own region, or even abroad. Although expensive to buy, leasing is an interesting solution, for example with the reduced price of the Tesla Model 3 allowing companies to benefit from advantages such as the ecological bonus.
Conclusion
As we have seen in this article, companies that equip themselves with electric cars benefit from numerous advantages (financial incentives, cost savings). They also benefit from a better brand image. Long-term leasing also makes it easier for SMEs to switch to electric vehicles. However, you need to take all the conditions into account before committing yourself. Finally, to ensure the success of this ambitious project, it is essential to communicate with your staff beforehand, so as to better understand their objectives and expectations.
