Renting heavy equipment rather than buying offers quite a few major advantages that can be beneficial to companies of all sizes across different industries. Here are just a few advantages:
Convenience and Logistical Advantages to Renting Equipment
One the biggest categories of advantages that renting has over owning is in the added convenience that it brings and lower logistical demands that it requires.
When a company rents heavy equipment it is the rental company, not them, that handles these maintenance needs. This frees up a considerable amount of time, labor, and overall hassle and stress, especially when whole fleets of equipment come into play.
Most pieces of heavy equipment will begin to suffer over time if they are left outside and exposed to the elements. Warehouse space is often at a premium and storing large, heavy equipment may be eating into a company’s ability to store much-need products and materials.
Transportation Is Easier
Transporting heavy equipment, especially an entire fleet of it, can be very expensive, time-consuming, and logistically challenging. Renting equipment removes this burden since the equipment can be delivered to the worksite instead.
Operational Advantages to Renting Equipment
A company may already have some equipment, but still find that in order to get the job done in a timely, efficient manner they need to ramp up their capabilities with additional pieces of equipment. It is much more cost effective to rent these temporary extra units than to purchase them outright for an isolated project.
Rent Before You Own
You can even try different brands and models for a more hands-on comparison. This allows your ultimate purchase to be much more informed and helps you set your expectations accordingly.
If something goes wrong with the equipment, or you aren’t sure how to do something, they can either walk you through troubleshooting or swap out the problem unit with a different one.
Financial Advantages to Renting Equipment
There are times when it is more cost effective to own rather than rent; however, the following financial advantages to renting should definitely be taken into consideration before a decision is made.
Rental expenses are usually fully deductible to a company as a business expense. Capital costs will instead be amortized or depreciated over the life of the equipment.
A drawback to purchasing just about any type of equipment is that it will immediately begin to depreciate in value, lowering the amount you would receive if you resold the equipment later.
Better Cash Flow
Buying new heavy equipment is expensive and in all but very large companies such a purchase is likely to have a significant impact on cash flow.
Our award-winning team takes pride in helping you meet the challenges of your dynamic operation. Contact us today to get the right equipment rental for you. Contact your local KMH Representative at 888-564-7978 or fill-out the form below…