Deciding if your company should rent or own equipment is not a decision that you can typically make on a whim. Every company’s situation will be different but there are some general things to consider when debating between your two options.
To help you with your decision-making process, we’ve outline some pros and cons of renting versus owning your own equipment.
Renting equipment makes more sense if the intended job is something that your business does not regularly perform. If you need a particular piece to expand your operations or to fulfill a unique custom order, it may be more fiscally responsible to just rent the equipment.
One of the main pros of renting equipment is the lower initial investment. You don’t have to pay the premium to own the piece of equipment.
Generally, you will have access to a larger range of equipment at all times since equipment rental companies essentially can rent out almost any piece of equipment. This means you will most likely also have the latest equipment offered. Rental companies will have a hard time renting outdated equipment. Finally, renting relinquishes you from the responsibilities of maintenance which can be rigorous depending on the piece of equipment.
The pros of renting are often seen as the cons of buying; high initial investment, the only equipment available is the equipment you’ve purchased, and you have to take care of maintenance.
However, buying does have its perks. For one, that large initial investment actually is the cheaper option over the long haul. If you are going to use a particular piece of equipment for a lot of jobs, the cost per job decreases and your return on investment increases. Additionally, buying your equipment affords you with more flexibility. The equipment is at your disposal when and how long you need it.
Purchasing your own equipment decreases downtime since you are not waiting to receive the piece of equipment. Finally, buying your own equipment can have possible tax advantages since they are purchases for a business purpose.
For more information about purchasing your equipment, contact Medlin Ramps online or give us a call at 877-4-MEDLIN.