Renting vs. Buying a Used Forklift: Which One is the Better Money Saving Option?
Forklifts are a versatile reliable option when it comes to heavy lifting in a warehouse, distribution center or any other facility whose operations involve moving heavy cargo. The challenge however is the cost of the forklifts whose upfront cost discourage many especially the small scale operators. The alternative method aside from purchasing new forklift is either renting one or buying a used forklift. Choosing between which of these two options is good for you depends on your needs, budgetary plans and future plans. A look at the advantages and disadvantages of each option will provide a guide to help you decide which plan suits you best.
Advantages of renting a forklift
A forklift is a great money saving option in that you do not have to meet upfront costs. You only have to pay the rental fee as agreed upon with a forklift rental Toronto company. The other advantage is that you hardly bother with maintenance costs. All upkeep and maintenance costs are handled by the rental company.
Your company also gets the flexibility to decide the duration of the forklift’s use planning it according to your flow of operations. This ease of scalability allows you to match your needs as they arise and cut down on costs when you have a reduced demand for the use of forklifts. You can also easily change one forklift for another whenever a need arises for a different kind of forklift. This ensures you are not burdened with redundant machinery. Finally your company is not burdened with the need to dispose of machinery.
There are disadvantages too that come with renting a forklift. Firstly, you are limited to the inventory of the renting company and the equipment you currently need may not be readily available. If it is a continual engagement and over longer periods, the cost can easily pass the cost of purchasing your own.
Advantages of buying a used forklift
Purchasing a used forklift allows you to have the benefits of owning a forklift without the prohibitive upfront costs. This is because you can make great savings even up to or more than 50% of the price. The forklifts you get have been serviced and maintained to ensure everything is working optimally. This is a great way to build up your forklift units since you increase your bottom-line and can plan to purchase brand new ones should the need arise. The upfront savings can at times allow you to purchase up to two units which greatly improves your workforce and allows you to have increased productivity.
Another advantage you have is getting a tried and tested unit. They have been used before and have worked properly and proven their reliability.
The disadvantages of these units is the fact that they come with a reduced lifespan and after some time you may need replacement.
Purchasing used forklifts will work well for a company that does not have seasonal peaks and lows in its operations and materials handled. On the other hand rentals are the best for someone with urgent short term needs as well as seasonal peaks and off peak sessions.
WHY CHOOSE US?
Whether or not you decide to rent a forklift for your business will ultimately depend on your company’s needs and circumstances. And whether you are leaning toward buying or renting, the professionals at Modern Forklift can help you come up with the best solution for your Toronto business.