As an owner of a construction firm, one of the biggest and most important decisions you would have to make is choosing between buying and renting equipment. It goes without saying that both approaches come with their own sets of benefits and advantages, and that you should take the time to explore all your options.
The right choice depends on a number of factors, and what is best for one company may not necessarily hold true for yours. You have to consider your own needs and preferences, particularly when it comes to your finances.
To help you gauge which option is best for your case, here are some of the most critical considerations to make:
How regularly you’ll use the equipment
All types of construction equipment — dump trucks, bulldozers, compactors, etc. — play major roles in any project. However, there are some that you most likely use more than others. In this case, it makes more sense to invest in a dump truck, especially those with a tipping body customsed to your needs and wants, rather than regularly renting or leasing one.
You have plans of expanding in the near future
Once you are doing better in terms of finances, your next logical step is to grow your construction business. Your first step would probably be expanding to other areas and accepting new project offers. This means more frequent usage of construction equipment, not to mention the need for more types of machines. Rather than rely on leasing or rental units, it would be best to at least have some that you already own.
These are only some of the critical factors to consider as you make a choice between renting and buying. As long as you make the right one, you can save money in the long run and give you more chances to grow your firm.