Article provided by: ACT Construction Equipment
What To Consider Before Patronizing Any Takeuchi Skid Steer Dealer
Do you own a small construction company or do you work in a construction company and take part in decision taking? We want to let you know that we are a Takeuchi skid steer dealer and we also sell and rent out other construction equipment.
As a Takeuchi skid steer dealer, we usually advise owners of small and medium construction companies to lease equipment instead of outright purchase because of the reasons discussed below.
Every Takeuchi skid steer dealer knows how much it costs to purchase a Takeuchi skid steer and that is why we feel parting with such a large amount of money can cause a strain on the cash flow of your business. We also understand that nothing kills a business faster than lack or inadequate cash flow.
So, we will advise you to lease one instead of buying it outright either with cash or through financing. You only need to rent it when you have a construction project. Once you complete your project, you can return it.
We also want you to look at the big picture. A skid steer is not the only equipment you need. So, you should think of how much it will cost you to buy at least one of each equipment. Do you think you can afford the cost? However, when you rent each of them, it will cost you much less.
Frequency of use
Big construction companies usually get one contract before they complete another. So, their equipment are usually always in use. It may be more cost effective for them to buy instead of renting. On the other hand, small and medium construction companies have wide intervals from one project to another so, the number of days that their equipment are not in use is usually higher than the number of days that they are being used. So, it is more economical to rent equipment only when there is a project at hand.
In a nutshell, you need to consider how often you get hired for a construction project to be able to decide whether you should buy your construction equipment or rent them out.
Do you have storage space?
If you decide to buy your equipment, you must also provide a location where they will be stored whenever they are not being used. If you already have a place to store them, you should also be sure that they won’t be exposed to harsh weather there. However, if you don’t have storage solution yet, do you think it will be for economical to buy if you add the storage cost to it?
That means your equipment will be incurring daily cost even when they are not being used. Why not opt for rental only when there is a project at hand. That way, you won’t need any storage space.
Have you thought of maintenance and repair costs
As for us, we usually make sure that our equipment are in the best condition before we give them out for rent. This is because we are the ones to bear both repair and maintenance costs. However, if you think it is better for you to buy your equipment, you can go ahead. By virtue of our experience, we can tell you that it is more profitable for small construction companies to rent equipment instead of buying them completely.