When it comes to buying industrial equipment for your business, this isn’t something that you take lightly—and you shouldn’t. A lot of thought goes into this decision, so make sure your equipment works for the business and helps employees do their jobs effectively and efficiently while keeping them safe.
There are two ways to get your industrial equipment supply: either buy it used or new. While it might sound appealing to get brand-new equipment for your business, this might not be in the budget. There is value in buying used industrial equipment, and some of the benefits are listed below.
Lower Upfront Cost
It’s no secret that industrial equipment can be incredibly expensive. In fact, this will probably be one of your most significant expenses when it comes to starting and maintaining your company. To stretch your budget as far as it can go, you should look into purchasing used industrial equipment for your company.
Just because you find an industrial equipment supply site that offers used products, it doesn’t mean they are going to be junky or on their last legs. In fact, you might be able to find pieces that have barely been used, making them like new. The only difference between the used and new parts will be the price you pay.
You Won’t Have to Worry as Much About Depreciation
The moment you take industrial equipment off the dealer’s lot, it starts to lose value. The first year is the worst for depreciation, and this is when you will lose the most money. As the years go by, the equipment will continue to depreciate, but the rate will slow down.
When you get used equipment, the value will still depreciate over time. Nevertheless, you won’t have to worry about the initial depreciation. If you find that you want to resell the equipment later down the road, you won’t lose as much money as you might have if you had bought the equipment brand new.
You Are Doing Something Nice for the Environment
If you are one of those people who are aware of how your decisions impact the environment, then you’ll definitely want to buy used. It takes a lot of energy to manufacture and ship new industrial equipment, and this can be damaging to the planet. When you buy used, you are mostly finding a way to recycle. This is an eco-friendly practice that can benefit you and the earth now and in the long run.
Other Cost Savings
When you visit an industrial equipment supply site and buy used machinery, not only will you save money upfront, but you will save on sales tax and insurance. Since you pay less for the initial price upfront, you won’t owe as much in sales tax.
For your insurance premiums, one of the reasons new equipment costs so much is because the insurance company figures replacement costs into your monthly payment. Since most modern vehicles cost more to replace, this is what the insurance company bases its price on. When you get used equipment, depreciation has already had an impact on how much it is worth, so you will end up paying less.
Running a business is incredibly expensive, and some of your highest costs are your equipment. To save yourself and your budget, you should consider buying used equipment.