Beginner’s Guide to Construction Equipment Rental
In a survey of over 70,000 business owners, CEOs, managers, and procurement professionals between 2011 and 2014, Purchasing.com found that heavy equipment rentals are increasing across the nation. During that time period rentals for compact truck loaders shot up 925%, wheel loader rentals skyrocketed 273%, and forklift rentals jumped 90%.
Like with every new trend, there is apprehension about renting construction equipment. Is it really more cost-effective to rent over buy? Is renting construction equipment really best for your company?
Read on to gauge whether construction equipment rental is best for you and your firm.
There is one clear driver for the growth of construction heavy equipment rental: the “bottom line.” As a project-based industry, construction equipment is too-often left to collect dust until it’s needed for a new project. Naturally, doing so only leads to equipment depreciation. Renting can thus be a double benefit to construction companies; rental fees are often immediately deductible as business expenses as opposed to depreciated over a long period of time. Thus, in the short-term, construction businesses immediately benefit.