5 Things to help your decision on Renting or Buying Equipment.
1. Examine Your Businesses Working Capital.
First, you should examine your working capital and make sure you have the required funds.
2. How long do you plan on using the Equipment?
The length of use is very important in making the correct decision if you need to use the equipment for 2 years or more then it might just be worth the investment on buying new equipment.
3. Do you know all the costs?
Figure out the cost analysis of buying to renting knowing costs will help you make a better decision.
4. What is your ROI on equipment?
Would you make more money by buying the equipment, or would your profits increase by renting? Doing a complete analysis of each will yield you more ROI.
5. Does the Equipment have Future Use?
What is the longevity of your equipment use and will it be outdated? Will servicing the equipment cut into your profits in the future, or improve your bottom line?
Developing best practices in any business is the only way to become more successful as a company, analyzing hard numbers will take your profits to the next level. ADVANCE Scale can help you think through equipment purchasing or renting processes, so do not hesitate to call us anytime.