The decision to rent equipment versus purchase can be a tough choice for procurement and key stakeholders to make. Equipment tends to be a large expenditure and critical to productivity, making this spend crucial to an optimized spend management strategy. Procurement needs to weigh several factors to decide what makes most sense for their organization.
We have outlined the pros of equipment rental versus equipment purchase.
Top Reasons to Rent Equipment
|Low upfront capital expenditure||Equipment purchases require large upfront investments|
|Access to up-to-date equipment with the latest technological advancements||Technology becomes stagnant at point of purchase|
|Equipment is compliant with all necessary regulations, including emissions||Requires staff to maintain equipment to ensure compliance with all regulations|
|Avoidance of potential fees associated with non-compliant equipment||Risk expensive fees if equipment is non-compliant|
|No storage fees||Need to allocate space in facility for storage or pay fees for offsite storage|
|No need for in-house mechanic(s)||Owning equipment requires continuous maintenance to protect investment|
|No depreciation over time||Equipment lifecycle shortens over time (especially without proper maintenance)|
👉 One more bonus pro(curement) tip: By renting equipment end-users will save time as they have access to the right tools and right equipment, when they need it, and for the period they need it to complete their job.
EQUIPMENT RENTAL PROGRAM
Once procurement has made the decision to rent equipment OMNIA Partners offers multiple rental opportunities, allowing purchasers to make the best decision for their specific requirements. Learn more about the Equipment Rental program and the industry-leading suppliers Herc Rentals and Sunbelt Rentals.
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