Are you looking to acquire a material handling reach truck to increase your productivity and decrease your downtime? Choosing between which reach truck to buy can seem daunting, but it does not need to be a complicated task. It is important to develop an understanding of the type of reach truck that will best match your organization’s financial and efficiency goals.
Many reach trucks are designed with cushion tires, high turning radiuses, and are electrically powered. Reach trucks are particularly adaptable and reliable, equipped with advanced technology to maneuver smoothly and safely around your warehouse. While they can be expensive, they oftentimes prove invaluable. They can enhance efficiencies and productivity in your warehouse, making a great financial impact on your facility in the long run.
When you are deciding between buying or renting a reach truck, there are multiple considerations you should examine. We have created an overview of the advantages and disadvantages of both financing solutions, from the cost implications, to intended use, to technology incentives.
Cost Implications
When acquiring a reach truck, you should treat the process as you would with any other type of investment. The first step to take is to determine how much you can spend. Your organization’s decision will be rooted in a cost analysis – it will come down to which solution you can afford upfront and the subsequent costs after the acquisition, such as maintenance and repair costs. You should also ask yourself how long it will take you to recover those costs through work output.
Purchasing a reach truck outright can prove to be a much higher initial cost than renting. If your business can afford a higher amount initially, then purchasing can be an option. If not, renting will be your best bet. The monthly cost of renting a lift will be generally stable. Furthermore, with renting, you will not need to pay maintenance costs because it is included in the monthly cost.
Usage
Another key aspect to consider when deciding whether to purchase or rent is the amount of time you will need the reach truck. If you will need the machine for only a few projects, then renting will be your go-to. On the other hand, if you will need the reach truck for jobs lasting months or years, or even daily tasks that you complete throughout the year, purchasing could be more appropriate.
Renting will allow you to account for variability in the type of work your reach truck will complete, perhaps due to the changing seasonal demands. If you are thinking about increasing or downsizing the number of reach trucks you have in your inventory, renting provides flexibility since you do not hold the burden of ownership. Both long and short-term rentals exist, so you can get the reach truck you need for however long you need it.
Technological Effects
When buying a reach truck, you are stuck with the technology, features, and capabilities of the model you bought. Renting will allow your business to keep up with advancements in technology. Renting, however, allows you to constantly review whether or not newer features make sense for your business use case.
In Closing
Deciding whether to purchase or rent a reach truck can be tricky. If you rent your reach truck, you could be saving money that can be reinvested into your business. However, if you decide to purchase, be sure to properly maintain your machine, and you will realize long term cost benefits. The material handling equipment experts at Meridian Leasing are here to help. Our consultative approach to the equipment procurement process will guide you to the reach truck that best meets your needs.
To begin your reach truck search, contact our material handling equipment specialists at +1 (888) 684-3644 or send an email to sales@themeridian.com for more details or to speak with an expert.