The choice about hiring vs buying needs to be based on a variety of factors, like how soon the machine is required & how frequently it is going to be used.
For a business that needs to be flexible about where & when they use their gear or those that foresee using their machines for longer periods of time, buying outright will be the best choice.
Purchasing a piece of plant equipment outright does give you control. It can also amount to a lower lifetime cost in comparison to rental even though the initial cost is more, and it means you will have an asset to trade or sell when you are ready to upgrade/expand your fleet. Buying brand new also means you can get the machine built with the exact specifications you require and be sure you have access to the very latest features & models.
Ownership does come with the responsibility to administer maintenance & repairs, but this is not a barrier for many customers.
The most evident negative to hiring is you do not own the excavator. This can be quite a disadvantage if you rent for an extensive period of time, as it may end up costing you more than purchasing the machinery outright.
The other con is machine availability. During the boom periods, the wait list for renting equipment is exceedingly long, which pushes project schedules out potentially adding to your total expenses.
Lots of larger businesses have their own warehouses & workshops and those who don’t can get excellent support from a great dealership such as Boya Equipment. It’s Just as it’s important to consider the support you get when you rent, it’s worth looking at the after-sales support you’ll get when you buy.
Deciding whether to buy or hire is an important business decision, with both coming with cash flow & tax implications, so get advice about the best way to proceed.
It’s worth talking to an accountant or financial adviser before you finalise a purchase or sign a rental contract. Depending on which approach you take to your business accounts, one option might have bigger benefits in terms of business cash flow or tax deductions.
Ultimately, what helps you flourish in your business is getting the right machine, however, you choose to procure it. If you choose a proven brand such as Kubota and work with a trusted supply partner like Boya Equipment, for example, you’ll be in a good position.
So, whether you are an owner operator, contractor or hire company, Kubota has a machine to suit your needs. For excellent performance, exceptional comfort, ease of maintenance and impressive durability, you can’t go past the Kubota Construction Equipment.
For the best range of quality construction machinery for sale visit Boya Equipment today – they even have a purpose-built dig pit for you to try before you buy on site!