Whether it’s a white-collar establishment with a need for computers and printers or an auto shop with hydraulic lifts, every business owner needs commercial equipment they know they can depend on. In a world where getting parts and equipment isn’t a guarantee, it’s important to ensure you have the right tools to work.
The big question for most decisions makers in businesses comes down to ownership. Is it better to rent or buy the equipment you need?
There is no one right answer to that question, but we’re happy to help you come up with the answer on your own.
Buying Commercial Equipment
The main benefit of outright buying the equipment you need is ownership. Equipment that has a long use life and isn’t likely to become outdated anytime soon is a great investment for business owners to make.
There’s also something to be said about tax benefits. You could write off hundreds of thousands of dollars of equipment costs in taxes.
The initial cost can be too high for some business owners to justify. There’s also the potential problem of being stuck with old equipment. If you make a big investment with something outdated or prone to problems, ownership can be more of a burden than a benefit.
Renting Commercial Equipment
There are plenty of advantages that come with equipment leasing and renting. Sites like https://laundrysouth.com/lease-commercial-laundry-quipment/ clearly outline the multitude of benefits that come with leasing laundry equipment, but these benefits can relate to almost any other business.
In the beginning, it’s usually far less costly to rent important equipment than it is to buy it. In fact, many leasing places don’t require a downpayment for their equipment. This can make it incredibly easy for new business owners to start things working and making money.
Business owners that are concerned about equipment maintenance may want to consider renting or leasing. Many companies that rent equipment also regularly service what they rent out.
We did mention that there are tax write-offs for buying equipment, but you may not know that there are some incentives for people that rent and lease. Many business owners can write off rental and leasing fees as a necessary business expense.
One big advantage of renting equipment comes down to technology. Things are always moving fast in the manufacturing and tech world. The state-of-the-art equipment you have today could be made obsolete by tomorrow’s big discovery.
Business owners that choose to buy commercial equipment can miss out on the benefits of new tech, but renters and leasers don’t need to. They can easily upgrade to the newest models without having to invest a lot of money.
Rent or Buy: The Best Decision for You
The decision to rent or buy commercial equipment is going to differ depending on what matters to you the most. Business owners who want to invest in their own equipment with plenty of money to handle upfront costs should consider buying. People who want to save money in the beginning and have access to the latest technology should rent.
Buying and renting commercial equipment is only one big question savvy business owners have to answer. Keep browsing our posts so you can learn more tips about how to handle tricky situations.