Construction contributes to a country's GDP and gross capital formation, as well as provides chances for investment in allied businesses. In comparison to former days, the construction industry is changing and becoming busier.
With the increase in construction activities, there is a growing demand for new construction equipment/solutions that can serve a variety of field applications.
Whether the rise in rentals is due to the weakening economy or other socioeconomic factors, the trend is likely to continue.
There is trepidation about renting construction equipment, as there is with every new trend. Is equipment rental in MD really more cost-effective than buying? Is renting construction equipment the best option for your business?
Clear Benefits of Renting Heavy Equipment
For most people, renting equipment is a good idea. When you rent equipment, you get all of the benefits of having it without any of the hassles that come with owning it.
- Expenditure Analysis
The "bottom line" is a clear motivator for the growth of construction heavy equipment rental. Construction equipment is frequently left to build dust until it is needed for a new project because it is a project-based industry. Obviously, this results in equipment depreciation.
Renting from the best equipment rental company in Maryland has two advantages for construction companies: rental payments are frequently instantly deductible as business expenses rather than depreciated over time. As a result, construction companies benefit directly in the near future. In the short term, the actual expense of renting is also more manageable.
Let’s look at some facts and figures
- New mid-range excavators weighing 15 to 20 tonnes typically cost $100,000 to $200,000 (but larger custom versions can cost up to $500,000). An excavator can be rented for around $571 per day, $1,233 per week, or $3,433 for four weeks.
- Scissor lifts are expensive when new, costing around $22,000. If you rent instead, the same lift costs roughly $99 per day, $287 per week, and $399 for four weeks.
If your business's economy is uncertain or you need to fill in your machine fleet during peak times without taking on debt, renting is a preferable solution. There aren't many disadvantages to renting construction equipment.
The rental agreement time is fairly flexible, and there are no long-term commitments or consequences. As a result, you can return the machine at any time. This is particularly useful if the construction industry is slowing.
Isn’t that so convenient?
- Upgradation To The Latest Technology
There are several more advantages to renting construction equipment rather than purchasing it, including the ability to "upgrade" your equipment as needed, avoiding maintenance fees, and avoiding costly storage space. At the end of the day, renting heavy equipment rather than buying it is a net benefit for many construction companies.
Furthermore, renting allows construction managers to try out construction equipment before making a purchase if that is something they are contemplating.
Clearly, there are many instances where purchasing rather than renting equipment makes more sense. If you plan on utilizing your equipment for the majority of your working days in the near future, and you have the storage space and capacity to keep it maintained, buying rather than renting will certainly save you money in the long term.
Still undecided about whether to rent or buy? What are your main worries? Do you prefer to rent or purchase your equipment?
RentEquip is a leading equipment rental company in Maryland that maintains a comprehensive fleet of quality construction equipment available at the most competitive rental price.
Please share your opinions with us.
Location: 9020 Molly Pitcher Hwy,
Shippensburg, PA 17257 United States