Many businesses need different types of equipment but do without a budget to purchase them. The best option for businesses in that situation is to hire the necessary equipment. You may be stuck between choosing short-term and long-term hires when looking at hire options. In this guide, we look at both options to see which would be best for your business.
Short-Term Equipment Hires
Short-term equipment hire lasts a few days, weeks, or months and rarely exceeds a year. It is an excellent option as an emergency replacement when you know when your equipment will be back or delivered. Having the option of replacing a piece of equipment that is in the shop ensures there are no delays or downtime in the projects you are working on.
The other benefit of short-term equipment hire is accessing the specific equipment you need. Let’s say you need a daily forklift to move some heavy items. You could hire one for the day and return it when you are done with it.
The third significant upside of short-term equipment hire has the time to evaluate a piece of equipment. Sometimes you think your business needs a piece of equipment but are unsure. You can hire one quickly and see if it fits your needs. Buying equipment you will only use occasionally is a waste of money; hiring in such a situation is a far better proposition.
Downsides of Short-term Equipment Hire
Short-term equipment hire is excellent for a day or two but not for extended periods. If you do the math, you will find that continued use of short-term access equipment is more costly daily than a long-term hire.
Long-term Equipment Hires
These last more than a year and up to five or even more years, depending on the needs of the business. They are typically more affordable because the payments are spread over a long period.
Long-term hires are great for businesses that know they need the equipment seasonally. Let’s say the company needs the kit for about seven to eight months since they will not use it during the winter. They can get into a long-term lease agreement cheaper than an extended short-term one over such a period.
Second, the business can avoid expensive repair and maintenance costs. This will depend on your agreement with the hiring company, but the business might not have to worry about these costs.
Lastly, businesses get access to the latest equipment without thinking about it becoming obsolete. Businesses can find different forklift models through reputable forklift hire companies, for example, knowing they are the latest models.
Downsides of Long-term Equipment Hire
The main downside is that you have less flexibility. Let’s say that you find out you no longer need the equipment in the middle of the contract. You might have to keep paying for it or a high exit fee to get out of the contract.
Both short-term and long-term equipment hire options have their upsides and downsides. Short-term hires provide businesses with a lot of flexibility and an opportunity for when they need equipment fast. Long-term equipment hire is excellent for those looking to save money and who do not want to purchase a piece of equipment only to find it is obsolete a year later.
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