One of the most important business decisions that any construction company will have to make is whether to buy or hire construction equipment. It is the same financial implication for small to large businesses. But what is the impact of buying or renting, below we look at the main differences:
While owning construction equipment might seem like the logical step it will come with long term costs such as regular maintenance and operating costs. You will also have to pay insurance premiums which depend on the type of machine you purchase. Be careful when buying second-hand equipment that it has had all of the necessary service checks.
When it comes to renting most of the maintenance and operating costs will be incorporated into the rental fee. However, be wary of these fees as rental companies need to make a profit so those costs could outweigh the costs of purchasing the construction equipment outright.
Another important consideration when it comes to deciding whether to buy or rent construction equipment is job frequency and length. If you’re working on a site short term and need a specialised piece of machinery or construction equipment, then it might make sense to rent it.
Construction times can vary and if you are renting and experience delays in the project then you are going to be paying monthly rental fees. If the project is long term and you can foresee using the equipment more often in the future, then it will be more cost-effective to buy it making the machinery an asset to the site and the business.
The main benefit of buying construction equipment is that you have access to it 24/7. If you are thinking of renting then consider that some rental companies might not have the machinery you need, and there could be a period where you must wait for it to come in stock. Owning construction equipment shows potential customers that you have the tools to do the job effectively and are a serious competitor in the industry.
If you would like more information about renting or purchasing construction equipment for machinery, then get in touch with one of the expert team here at FOC Sales & Hire. We can advise you on what is the best construction equipment for the job and with a price that meets your budget requirements.
For more questions and information, contact us on 0330 122 9002 or email firstname.lastname@example.org