Is your business in desperate need of a forklift? Although you might be tempted to take the first forklift you find, it’s best to consider your options to save money in the long run.
First, you’ll want to decide if you should buy or rent a forklift. Keep reading to learn the pros and cons of each.
Buying a Forklift: Pros
If your business uses forklifts often, there are a lot of pros to buying instead of renting. Buying makes more sense financially in this situation. You’ll get your return on investment and can make money if you ever need to sell.
When you rent a forklift instead of buying but use your forklift often, the cost of leasing will become too high. Forklift companies may charge more for a rental because they still have to incur the costs of owning the machine.
There are some areas of the country where the costs of transporting rental forklifts are too high and businesses can’t afford them. In this case, it’s also beneficial to buy a forklift.
Buying a Forklift: Cons
Maintenance costs are large expenses that forklift owners have to pay. In fact, the U.S. machinery maintenance market has grown by 10.4%
This is one major con to consider if you want to buy your machine.
If you don’t do the proper research, you might end up with the wrong type of forklift for your business which renders it useless. Of course, you can sell it to reap some of your initial investment, but you won’t get all of it back.
In this situation, you would spend more money buying, selling, and then having to buy or rent a new forklift.
Buyers that don’t use their forklifts often still have to make sure that they maintain their equipment properly so it doesn’t need repairs sooner than later.
If you don’t have storage space for a forklift, you’ll incur additional costs for storage.
Renting a Forklift: Pros
The number one pro of renting a forklift is saving money if you don’t need this machine often. Plus, a lot of forklift rental agreements include general maintenance in the contract so you don’t have to worry about those costs.
You’ll only pay for a forklift when you need it which opens the door for more capital flow.
If your business utilizes different types of forklifts for different work, you’ll have your pick of the litter without needing to buy each machine separately.
Renting a Forklift: Cons
Although there are different types of forklifts available on the market, some machines for very specific needs are less common. If you have a specific need, renting might not be an option.
Location might also be a problem for renters. If the costs of delivering or picking up a rental forklift are too large, you might end up spending a lot more than you initially thought.
Should You Buy or Rent a Forklift?
Deciding whether or not you should buy or rent a forklift will depend on the needs of your business.
If your financial situation is rough, renting could be the better option. But, if your business regularly uses a forklift, it’s cost-effective to buy a forklift.
If you choose rentals, we can help! Contact us today to learn about our options.