Hiring vs Buying: What is Best?
One of the most important aspects of running a successful business is to find the most cost-effective way of obtaining the assets that are required to deliver your services. In the construction and building industry, deciding whether to hire or buy tools and equipment could have a big impact on your business, especially when it comes to surface preparation and concrete floor polishing power tools.
There are pros and cons to both buying and hiring of these floor preparation tools, with factors such as whether there are sufficient funds to buy equipment without the need for a loan being possibly the biggest of them all. But there are plenty of other factors that will determine which is the better option for a business.
These are some of the key decisions to consider when deciding whether to hire or buy:
How long will you require the tools or equipment?
If you require specialist equipment for a one-off project, then it is probably going to be more cost-effective to hire. However, if you need tools or equipment that you will be using on a regular basis over a long-term period, buying is likely to be more cost-effective. This though also comes down to the cost of the machinery, as if you are only ever going to use a concrete grinder or polisher on a few projects each year, you will usually be better off hiring and you won’t have the issue of storing and maintaining it.
Financial circumstances
If you are just starting up a new business and do not have a big budget for a large initial investment, then hiring tools and equipment can help you to get up and running as a short-term measure. Once your business is more stable and you have more money to spend on tools, you could change over to buy the tools, equipment or plant to save money over a longer period.
Maintenance
If you buy your own machinery, you will be responsible for arranging maintenance and servicing, if necessary, whereas if you hire machinery, they will be regularly serviced by the hire company. This then means you’re not only reducing the outgoings, but also the time, effort and hassle of sorting out these additional requirements for your equipment. Plus, depending on the length of time the machines are going to be out of action for to be serviced or fixed, you may also need to hire one to cover the down time, adding another cost to consider.
Availability
If you buy your own tools, equipment or plant then you will always have availability. However, if you are hiring, the equipment that you require could be unavailable if they have been hired out to other people. This can cause delays to your projects and end up costing you money while you are unable to do the required work. One key feature to look forward to in the company you’re looking to hire from is their attempt to go above and beyond, such as offering an appropriate replacement.
Space and Security
If you buy your own equipment, you will need to find a secure place to store it. This shouldn’t be a problem if you have vast amounts of secure space such as a large warehouse, but if you work out of a van or have a small lockup unit for example, then this space will fill up extremely quickly, especially if you try and expand your tool and machinery collection. The use of large plant equipment can also require a large space by themselves, so if you’re looking to purchase a heavy piece of machinery then you’ll have to consider the storage space amongst all else.
Storing expensive equipment can also be a security risk, as tool and equipment theft happens regularly in the UK. Another additional cost that you’ll need to consider if you’re thinking of purchasing the equipment, that is by no means cheap, is making your storage space more secure, such as with CCTV and high-quality locks etc.
At PWM Sales we have a huge range of equipment (regular and handheld tools) for hire and to buy, which are all tried and tested beforehand, so you can find the best solution for your business at the minimal cost. We offer machinery to hire for Dust Control, Floor Grinders and Polishers, Floor Stripping, Power Tools and various Accessories to go with them.
