Buying vs Leasing a Golf Cart Fleet: A Guide for Golf Clubs
Share
By Joel Monahan, CEO of InGolf & Utility. Written for golf club general managers, boards and course superintendents. General information only, not financial or tax advice. Many member clubs are not-for-profit and the mutuality principle can change how tax applies, so talk to your accountant about your club's situation.
The short answer
Leasing suits most clubs that want new carts on a fixed cycle, predictable monthly costs and cash kept free for the course. Typical fleet leases run 4 to 5 years, can be matched to your busy and quiet seasons, and end with a simple swap to a new fleet.
Buying suits clubs with strong cash reserves that want to own the asset, run carts longer, and control their own maintenance and resale.
For many clubs, cart hire revenue helps cover the cost either way. The real decision is how you want to fund and manage the fleet. InGolf & Utility arranges both fleet leases and purchase finance.
A cart fleet is one of the biggest pieces of equipment a golf club owns, and one of the few that earns money every day. Getting the funding right affects your cash flow, your members' experience and how your carts look in year five. Here's how the options compare.
Leasing vs buying at a glance
| Lease | Buy (cash or chattel mortgage) | |
|---|---|---|
| Upfront cost | Low, often the first payment | Full price, or a deposit with finance |
| Monthly cost | Fixed and predictable; can be seasonal | None if paid cash; loan repayments if financed |
| Ownership | Financier owns the carts during the term | Club owns the carts |
| End of term | Return, renew with a new fleet, or buy at the residual (the agreed end-of-lease amount) or market value | Keep running them, or sell or trade them in |
| Fleet age | Always within the lease cycle, typically 4 to 5 years | Up to the club; older fleets cost more to maintain and look tired |
| Tax (general) | For clubs that pay income tax: payments are generally deductible in line with business use | For clubs that pay income tax: depreciation and interest are generally deductible; GST may be claimable up front if registered |
| Best for | Clubs that want certainty and cash for the course | Cash-rich clubs that prefer to own |
The case for leasing
- Cash stays in the club. Bunker renovations, irrigation and clubhouse upgrades compete for the same capital. Leasing keeps it free.
- Payments that match your seasons. Some leases use seasonal schedules, with payments in the busy months and lower or no payments in the quiet ones, so cart hire covers the cost as it comes in.
- A fleet that never gets old. At the end of the term you swap to new carts, so members always see a modern fleet.
- Easier budgeting. One known monthly figure, which boards and auditors like. Maintenance can sometimes be built into the payment.
The case for buying
- Lowest total cost if you run carts longer. Well-maintained Club Cars give years of service beyond a typical lease term.
- You own the asset. The fleet sits on your balance sheet and has resale or trade-in value at the end.
- No lease conditions. No usage limits or return conditions.
- Finance is still available. A chattel mortgage (a business loan secured against the carts) lets the club own them from day one while spreading the cost.
A middle path some clubs take: lease the main hire fleet, so it's always new and on a fixed cycle, and buy a few utility vehicles and marshal carts outright to keep for longer.
Five questions to settle before you decide
- How many carts do you really need? Size the fleet to your peak tee times, not your average. A lithium fleet can do more rounds per cart because it tops up between hires.
- Lithium or lead-acid? Lithium removes watering, charges faster and, by Club Car's figures, keeps about 90% of its capacity after four years. Read our lithium vs lead-acid guide.
- Do you want GPS fleet management? Club Car's Visage and Connect systems manage speed, geofence greens and sensitive areas, and track usage. They're easiest to build in from the start.
- Who maintains the fleet? Your staff, us, or a mix. Decide before you compare quotes so you compare like with like.
- What happens to your current fleet? We take trade-ins on all makes and models, and the value can reduce the cost of the new fleet.
What a fleet typically costs
A new Club Car Tempo Lithium lists at $16,990 inc. GST, and a lead-acid Tempo at $13,990. Fleet orders are quoted individually, based on quantity, power type, GPS, options, trade-in and term. As a guide, a fleet of 40 lithium Tempos at list price is about $680,000 before any fleet pricing, which is why many clubs fund it over several years rather than in one hit.
Why golf clubs choose InGolf & Utility
We're the authorised national distributor of Club Car in Australia and have been supplying golf clubs since 2015. The clubs we work with include Riverside Oaks Golf Resort, Thirteenth Beach Golf Links, Spring Valley Golf Club and Yarrabend Golf.
"Our relationship with InGolf & Utility goes beyond a typical supplier — it truly feels like a partnership." Rob Hurley, General Manager, Thirteenth Beach Golf Links
We handle the whole job: fleet sizing, fleet leases and purchase finance, delivery, set-up, GPS, trade-ins, servicing from our Campbelltown and Dandenong South workshops and mobile technicians across NSW, the ACT and Victoria, and genuine parts.
Get a fleet proposal
Tell us your fleet size, rounds per year and when your current carts are due. We'll put together lease and purchase options side by side so your board can compare.
Request a fleet proposalCall 1300 123 448Frequently asked questions
Is it better to lease or buy a golf cart fleet?
Leasing suits clubs that want new carts on a fixed 4 to 5 year cycle, predictable payments and cash kept free for course projects. Buying suits clubs with strong cash reserves that want to own the fleet and run carts longer. This is general information; ask your accountant about your club.
How long is a typical golf cart fleet lease?
Fleet leases commonly run 24 to 60 months, with 4 to 5 years typical for golf clubs, after which the club returns the carts, renews with a new fleet or buys them.
Can lease payments match a golf club's seasons?
Some fleet leases offer seasonal payment schedules, with payments concentrated in busy months, so cart hire revenue covers the cost as it comes in.
How much does a golf cart fleet cost?
A new Club Car Tempo Lithium lists at $16,990 inc. GST and a lead-acid Tempo at $13,990. Fleet orders are quoted individually based on quantity, power type, GPS, options, trade-in and term.
Can we trade in our existing fleet?
Yes. InGolf & Utility accepts trade-ins on all makes and models, and the trade-in value can reduce the cost of the new fleet.
Should a golf club choose lithium for its fleet?
Lithium removes battery watering, charges faster, allows top-up charging between hires and, by Club Car's figures, keeps about 90% of its capacity after four years, so many clubs now choose it.
Sources: Club + Resort Business: buy or lease your golf car fleet; Savvy: finance lease vs operating lease. This article is general information, not financial or tax advice.
