Whether you decide to buy or lease a skid steer all comes down to the particulars of its application and the preferences of your business. Buying, renting, and leasing skid steers all come with their unique advantages and disadvantages. Construction equipment, such as skid steers, are becoming more expensive and more complex with growing technological advancements, so it may be time to reassess the way you acquire large equipment for your business.
Finding the right skid steer can be a tricky, time-consuming process. There are several different questions you will need to ask yourself that includes everything from how many machines you need, to what the average skid steer lease cost will be. In this article, we will outline the positives, negatives, and the best options available to you when it comes to buying or leasing a skid steer for your business.
Leasing a Skid Steer
Purchasing a skid steer outright will put a strain on your cash outflow. A skid steer lease can help you better manage your cash flow because there is less expense upfront since you are paying a lower payment each month. The predictable monthly payment also makes it easier to budget over the long run.
The cost-effective nature associated with leasing machinery, such as skid steers, is further emphasized since you can spread the overall cost over several years rather than in one installment when you purchase outright. If you can get maintenance packages added to the leasing agreement, it can further help you reduce the overall cost of the machine on your budget.
A skid steer lease also allows you to stay up to date on the equipment. For example, if you will need to update your equipment regularly as a way to stay technologically competitive in your industry, leasing provides an easy path to do so and therefore will likely improve the performance of your business.
All of this may sound intriguing, however, there are a couple of potential considerations when it comes to a skid steer lease. In the long run, the lease may be bit a more expensive, when you leave out tax considerations if you do decide to purchase at the end of your lease, as you will be paying more than the machine’s initial purchase price. When you do purchase a skid steer outright, you can resell the machine when you no longer need it, although it may have limited value. In the case of leasing, you will be unable to do this because you are not the owner of the skid steer.
Renting a Skid Steer
Renting and leasing skid steers have a lot of similarities; however, rentals are usually only for a short-term period, possibly only a few weeks or months at a time. This comes in handy if you would like to experiment with different machines to find the one that works the best for your company.
Another common reason organizations opt for skid steer rentals is because of the flexibility it provides. If demand is high one month and you require more skid steers in your fleet, renting a machine is an easy way to acquire additional machines quickly. You will be able to return the rentals once the rush period has died down, saving you on the cost it would be to hold onto a machine that you were not using.
When looking for construction equipment, it is important to consider the unique needs of your organization. To get started leasing or renting a skid steer, contact our construction equipment specialists today by phone at +1 (888) 684-3644 or email at sales@themeridian.com.