When Is It Better to Buy Instead of Rent?June 18, 2015
While renting industrial or agricultural equipment certainly makes sense for lots of applications, there are many instances where it makes more sense for small construction business owners to invest in new compact equipment. After all, if you plan on growing your business, you need to use equipment with increasing frequency.
If you plan on using the same equipment over and over again, the question becomes, why rent it? After a while, those rental costs may eclipse the price of adding a new piece of equipment to your own fleet. By deciding to build your own fleet by investing in new compact equipment, you’re making sure to get the best return on your money. You won’t have to pay rental fees just to gain access to the equipment you use to get the job done every day.
Why You Should Consider Buying New Compact Equipment
While buying isn’t for everyone, let’s take a look at some of the most common reasons business owners buy new equipment instead of leasing it:
- You have your pick of the lot. If you decide to rent a piece of machinery, your choice is going to be narrowed by the inventory the vendor has on hand. This means you might not be able to rent the equipment that is best suited for the job at hand. On the other hand, when you buy a new skid steer or a new multi terrain loader, for example, you’ll be able to pick the exact machinery you want. This enables you to be more effective in the field.
- You’ll be able to use your machines whenever you want. When you own your own equipment, you can put it to work on your own schedule. You won’t have to coordinate logistics with the rental vendor, or shape your day around another person’s schedule. This enables you to be much more productive, as you can get to work the moment you’re inspired.
- You’ll save money over time. If you rely on skid steers, multi terrain loaders and other machines day-in and day-out, it doesn’t make sense to keep renting them. If you’re thinking about your long-term budget, it becomes cheaper over time to buy your own equipment instead of constantly renting. When you purchase new compact equipment, you may also be able to resell it later on, recouping some of your initial expenses.
- You can buy used equipment. There are other options if you don’t want to buy new compact equipment — you could always buy used compact equipment. In doing so, you’ll be able to grow your fleet without breaking the bank.
If you’re in the market for new compact equipment, contact Fabick Cat today. We can help you decide if new or rental equipment is the best fit for your situation.