Should Your Company Buy or Rent Industrial Machines?

Business

When you need a big industrial machine for a construction project, the business has to make a decision whether to buy or not. There’s another option these days: renting. Is it better to rent a particular machine or does your company really needs to buy it? Here are some factors to consider when making that decision:

Availability is a Big Factor

Mainly, availability is probably what really decides it for you. Some machines are available for rent, while most machines are available for purchase. For example, you can find excellent rebar bender equipment for sale across Australia and New Zealand rather than for rent. If the most suited machine for the job is available for purchase, but not rent, then go for it. Don’t choose a subpar machine for rent when you could just buy the right one. Read on below for more things to consider along these lines.

How Often Would You Need to Reuse the Machine?

If you need a machine for one project for this one time, then it’s important to consider whether the expenses of purchasing are really worth it. If you need a machine for one or two time use, it’s more cost effective to rent and return. If the task needs to be repeated on an annual or seasonal basis, you might want to purchase. Therefore, really do consider how often the machine would be put to use before deciding to buy.

Consider the Resale Value When Buying New

Some new machines hold value over long term, while others quickly go out of style as new machines are introduced. In other words, some industrial machines are like desktops that last long, while others are like smartphones that get better versions each year. As you probably won’t keep most machines forever, it’s important to think hard about the resale value after purchasing. A machine that gets used a lot is worth buying if it still holds value on the long-term, so you can easily sell it if you want to.

Think about Servicing

Some machines might not be that expensive to purchase. It may look like a good deal up front, but do take a double take on the servicing charges. Machines require servicing annually or before or after each job. These are additional expenses. Do consider these expenses when buying a machine. When you rent, the servicing charges won’t be your problem, as the owner would take care of it.

Manning the Machinery Should be a Factor Too

Do give some thought to who would man the machine once it’s in your possession. If you are buying a machine, you may need to hire additional permanent employees to keep it manned and serviced. When renting, you can hire the manpower as well. This will depend on the industry and needs of course. But it should be given some thought in advance.

Don’t Forget Size and Storage

It’s absolutely essential to consider whether your business site can hold the size of the machine you intent to buy. Rental machines can be temporarily stores and returned. When buying, you will need to find permanent storage space when the equipment is not in use.

Use the above tips to decide whether you really need to buy or rent. It’s not just down to the costs, as you can read above.

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