It’s a common business owner’s dilemma to consider a choice between owning and renting heavy equipment. Although one-time projects are easier to decide on, businesses needing repeat use of heavy equipment have more things to factor in. Of course, like any business decision, there are pros and cons for either option.
Optimizing Costs: Why Do Businesses Rent Heavy Equipment?
Business owners must focus on their business’s growth, this is especially true for startups and small to medium enterprises (SMEs). For this reason, the business model must be optimized to reduce overhead costs wherever possible. Besides being free of the storage costs of having a fleet of heavy equipment, renting from a vendor also leads to other strategic advantages.
Here are some benefits of opting for heavy equipment rental:
Better Budget Allocation
Unlike standard office tools, heavy equipment can be an extremely expensive purchase. This is why investing in an entire fleet of machines for a small or start-up business is generally the wrong move. It will take several years before you earn back the amount of capital spent on a big ticket item like heavy equipment. Even if you rely on business loans, you’ll still be working with a negative net worth if you don’t have a steady stream of customers.
By renting heavy equipment, you can reallocate your projected purchasing expenses to other facets of your business. For example, you can reinforce your lead-generating efforts to gain more clients early on. Instead of spending large amounts on purchasing equipment, you can use the budget to expand your team.
No Maintenance Concerns
Buying and owning heavy equipment can lead to logistical problems. Besides the monthly payment plan for each item, equipment owners need to budget for the maintenance cost of their entire fleet. Although heavy machinery is powerful enough to handle heavy-duty jobs, it does require regular maintenance to operate well consistently. Regular heavy equipment maintenance is a must for safe and efficient day-to-day operations.
By renting heavy equipment as you need it, you avoid ongoing maintenance costs and storage of your rented fleet. Your supplier will be responsible for post-project repairs and upkeep while you focus on other aspects of completing a job.
Greater Fleet Flexibility
Different construction projects require specific pieces of machinery depending upon the job. As an enterprise in the construction and development industry, you need to offer your versatility to face any requirement of the projects you’ll accept. Depending on your budget, purchasing one piece of construction equipment may not be the right business decision. There are likely a lot of different opportunities and jobs you may be in a position to handle if you have more flexibility.
Partnering with a heavy equipment supplier gives you access to the specific equipment you might need perform a range of jobs.
Rely on Groff Tractor for Your Heavy Equipment Rental Needs!
Investing in your business’s future is about making decisions that will lead to long-term growth. Renting heavy equipment is a choice that will give you more flexibility as you grow your enterprise. With the help of the right supplier, you can maintain steady progress toward your business goals.
When you work with Groff Tractor, you’re choosing a long-term business partner that understands the industry and positioned to support your needs. If you’re looking for heavy equipment rental in Pennsylvania, you’re in the right place. Browse our diverse fleet and find the right tools to run your business!