Experts of heavy equipment manufacturing industries believe that the amalgamation of factors stand together to boost up the construction industry in the mid 1990s. In accordance with the statement made by Fred Snow, President of Brandolini company in West Chester, the economic explosion of the 1990s resulted in the soaring of constructional projects and hence the call for heavy equipment. Since the purchasing price of the equipment increases as the years passed by, contractors especially who are engaged in small businesses turn to renting the machines to meet the project’s deadline by delivering flawless job.
How Renting is better than buying the equipment?
The rental companies which are ruling the construction equipment industries provide transport facilities and periodical maintenance services. Renting the equipment is now considered as the safest and economical option to get the machine and start the work. Leasing of heavy and light equipment with specialised tools is also available at local in-store in many markets. The decision whether to purchase or rent the equipment depends on the circumstances of the particular company. For the most part, constructional companies are better off leasing if the heavy equipment will not be completely used under regular action. There are some constructional companies prefer to rent heavy equipment because rentals are always useful. According to Mike Whelan, the general manager of J.S.Cole Company in CA, “as long as” heavy equipment is active, it’s not “overhead”.
Renting the machines is cost effective most of the times, lower prices when downtime, maintenance and service, and the costs of ownership are taken into considerations. One does not require to pay any cost while the equipment is sitting around. He does not have to pay a single penny for service and other invoice processing parts. No storage and warehousing charge is needed. Renting of the heavy equipment also helps in tax savings and does not require any disposal cost.
It also as many operational merits too. If the machine damages, the technicians will fix it up with ease as they are skilled in this field. It increases the productivity, as one does not have to spend his time in repairing the rented equipment. He just need to contact the renting company and discuss the problem candidly with them, and the company will send a technician who will sort out the problem within minutes and that too absolutely free. Leasing companies transport the machine from one site to another. It does not possess any issues regarding the work –rules and regulations. Moreover, by renting the constructional equipment, one will get the opportunity to try different latest brand and kinds of machines. The maintenance costs forms the main basis for the growing inclination towards long-period rentals.
Some of the renting companies ask to deposit a certain amount before hand over the renting heavy equipment to the individual. One should take the rent from such a company, who knows the applications of the rented equipment, so as to get some tricks and tips of the business to make the assignment go much better than earlier.