When Should Contractors Rent Construction Equipment?
In the construction business, knowing when to rent equipment can make a difference in terms of time, money, and convenience. Companies in these five situations should explore construction equipment rental options.
If a firm deals with work a long distance from its storage facilities, looking for construction equipment to rent is usually a good idea. Shipping costs for large pieces of equipment can be high. Likewise, there may be permit requirements if you need to take the equipment down certain roadways.
Local construction equipment rental businesses have the resources to deal with these issues more cost-effectively. They typically have equipment closer, and there may not be as much red tape.
As fun as it is to own every piece of construction equipment in the world, it isn't necessarily a good business model. If you know a particular machine isn't going to provide long-term value to your company if you own it, rental is probably the better option. This is especially true with hardware that could be difficult to turn around and sell after a project. If you have a short-term need for a specialized piece of equipment, rental provides value.
Some pieces of equipment need to be in working order at specific times. When you deal with a rental company, you can ask them how many spare systems they keep. You will then have an assurance that if a machine breaks down and isn't easily repairable that the company can send a replacement. If something is mission-critical for a project, it may be better to rent.
Similarly, many construction equipment rental firms offer maintenance with their systems. Knowing that they'll send a technician out when some random machine inevitably breaks down can provide peace of mind.
Every business has limits on how much it can store equipment. Even if buying a system is well within your budget, you have to think about where you're going to keep it. Also, just because there's room for storage now doesn't mean there will be later. You should picture the scenario where nothing is in the shop and everything is parked. If an additional system would make it impossible to keep everything, then renting it is probably best.
Price-to-performance is always a factor in deciding between renting and buying. If the rental cost is low enough, buying can be a less-than-appealing option. Especially if the equipment will likely depreciate fast, you may want to rent.
To learn more, contact an equipment rental service in your area such as Action Rentals.