Most builders who dream of starting their own construction company often get turned off by the huge capital outlay required to buy equipment. Construction equipment costs a fortune ‒ cash that you may not have when starting out.
The good news is that you can always hire equipment. Here are four reasons why hiring construction equipment makes a lot of sense.
Hiring saves you maintenance costs
Besides bypassing the upfront costs required to purchase construction equipment, hiring saves you from the constant repair and maintenance associated with owning your own plant. For instance, you only need to take care of a hired dumper during the time you’re using it, not throughout its lifecycle.
You don’t suffer from depreciation costs
Construction machinery loses its value at an astonishing rate. After a few uses, it’s impossible to recoup much of your investment if you put it up for sale. With renting, you don’t need to worry about depreciation at all.
Hiring saves you from storage headaches
When you decide to buy construction equipment, you need to determine where to store it when not in use. With space being at a premium in many areas, that can mean having to pay for storage and management of your idle assets. With hiring, the plant remains on site as long as you need it ‒ then it’s out of your way when its job is finished.
You only need to rent project-specific equipment
If you were to buy construction equipment for your company, you’d need to assemble a range of gear for the different types of construction projects ‒ meaning that during some projects assets will remain idle. Hiring plant and equipment means that you use what you want, when you want it. You won’t have to worry about returns on your investment when it’s not needed, nor think about storage management.
There are certainly many more benefits of renting rather than buying construction equipment. So think through the options and advantages ‒ since hiring makes sense.