4 Things you should know before buying a commercial vehicle in Singapore

by | Dec 12, 2023 | Happenings | 0 comments

Planning to buy a commercial vehicle in Singapore soon? Here are some tips and tricks you should know!


1. Requirements to own a commercial vehicle 

Certificate Of Entitlement (COE)

Every commercial vehicle in Singapore are required to have COE. Commercial vehicles fall under and must be registered under Category C.

Only registered companies/sole proprietary are allowed to purchase commercial vehicles.


2. Types of commercial vehicles 

There are 4 main types of commercial vehicle in Singapore.

  • Light goods vehicle (G/Y Plate)

  • Heavy goods vehicle

  • Very heavy goods vehicle

  • Goods / Passenger vehicle


3. Cost to consider

  • Additional registration fee (ARF) – Tax imposed upon registration of vehicle

  • Road Tax – Varies according to the type of your vehicle

  • Insurance – All vehicles need to purchase insurance, and the premium price depends on your car type, coverage and engine

  • Interest on loans – It is usually calculated as part of your monthly bill


4. Factors to consider before purchasing a commercial vehicle

  • Intent use – Consider the industry and purpose you’re going to use your vehicle for

  • Cost – Know your budget and stick to it before looking for a vehicle that fits your budget

  • Parking – Multi-story carpark can accept up to 1,800kg unladen weight for commercial vehicles