You may have already come across plenty of articles and blogs that state renting is better than buying heavy equipment. Well, they are true to a certain extent. When it comes to making a decision regarding renting or buying heavy equipment, you first need to consider your own situation including finances. There are several other factors to consider, without which you can’t reach to a thorough conclusion. Since you want to know how buying heavy equipment is a better alternative to renting; here are three reasons for you to take into consideration.
1. Usage and Availability
One of the biggest advantages of having your own heavy equipment is that they are available to you at any time. Since they can be used at any time of the day, you have greater control. What this means is if you do come across unexpected changes in project schedules or the projects themselves, you can react accordingly, with no hassles or downtimes at all. If you are still not sure about buying your own equipment, consider the possibility that a rental company may not have the equipment you need, especially when you need it the most. Additionally, if you already have all the equipment needed to pull off a job, it will leave a positive impact on your clients too; as they will see you are not only well equipped but are stable and a trustworthy business.
2. Buying is Cheaper than Renting
It may appear renting is cheaper than buying, but there is much more to it than meets the eye. With ownership, you have to deal with maintenance and operating costs, along with insurance and other fees like government licensing and so on, and those costs can vary depending on the type of machines you own. Renting is an inclusive cost; But since rental companies have to make a profit, you are essentially paying the purchase price. And even the cost of ownership in the form of rental fees, which are not so surprisingly marked up. If that is not enough, you will even have to pay to get the equipment transported to and from the rental company, that too repeatedly, making it a far more expensive option when compared to buying heavy equipment.
3. It is Easier to manage your Own Equipment
Come to think about it, many people forget that managing equipment is yet another factor that is often ignored. If you have the time and the skills, you can save a lot of money by buying heavy equipment; And taking care of everything about it, from maintenance to insurance. In case you do not want to have time to manage your own equipment, in that case, it would be wise to rent instead. Renting may be suitable for short-term jobs, but buying machines from a heavy equipment trader gives you more flexibility than you can imagine. For instance, you have a project for which you will need specific equipment for three months. If the term extends for another two months, you will be in a fix if you have a rental.
When you buy heavy equipment, you can use it whenever you want. If the job ends, and you think you do not need the equipment, you can sell it and make extra bucks. If you play your cards right, and manage your equipment well, and sell them when not needed in different auctions, you may even make a profit.
Buying vs. Renting Benefits Simplified
|– A cheaper investment for the long-term|
– Sell equipment when not needed to get a return on your investment
– Less, or no downtimes at all
– Equipment is available to you 24/7
– Tax advantages
|– Lower initial investment|
– A broad range of equipment is available for access
– Get access to the latest equipment
– Insurance, maintenance etc. is handled by the rental company
Whether you want to buy or rent, it depends on your own needs and requirement; along with the projects you are getting involved in. Enough emphasis cannot be placed on the fact you will need to do your homework beforehand to ensure you make the right decisions for your business. Also, understand, it is not necessary that you either only have to buy or rent; as you do have the option to buy equipment that you need time and time again, while you only rent equipment that you may require for a certain project.
The possibilities are limitless. And it falls on you to make the best decisions based on the situations you are dealing with in the first place.
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Jenny Harrison is a passionate technology and lifestyle blogger. She loves to get engaged with the readers who are seeking for home, lifestyle and tech-related information on the internet. She is a featured blogger at various high authority blogs and magazines in which she shared her research and experience with the vast online community. Currently, she is associated with eQuip Sells it, dump trucks and other heavy machinery trader in Sanford, Florida. Follow her on twitter @MJennyHarrison for more updates.