Renting a bulldozer is a business that is growing year after year. The number of customers who prefer to rent equipment is also growing strongly. Nowadays, the decision between buying or renting machinery must be analyzed by reviewing several factors.
One of these factors is to see the impact of this decision in the medium and long term. Because in the short time there is no doubt that renting will always be the best decision.
Having state-of-the-art technology is one of the main factors that drive companies to choose the rental option. Machinery and its technology are advancing daily in enormous proportions.
Therefore, the only way to stay ahead and keep up with this pace is to get an option that is financially flexible and manageable for companies. This option is the bulldozer rental.
Advantages Of Renting Bulldozers For Short Periods
Some people may not understand the reasons why it would be better to rent rather than buy. In many aspects of life, we have been taught that it is best to purchase something or own something. But this is a half-truth in the business world.
Many times it is possible that renting an asset may be more convenient than buying it. Of course, this should not be taken as a hard-and-fast rule.
Many factors must be evaluated, and it will also depend on the type of business and the stage we are in. Let’s analyze some of the advantages of renting a bulldozer for a short time.
You Don’t Have To Invest A Large Amount Of Money
If your initial idea is to buy a bulldozer, we invite you to think about it before deciding. The investment needed to purchase this machinery is very high.
It is only a part of the expenses you will have. You have to add maintenance, repairs, software updates, insurance, and much more to this investment.
You Can Have The Specific Equipment You Need For Each Type Of Project
The reality is that the plan to buy a bulldozer can be pretty limited. You can’t have every bulldozer available on the market. Each project will have very particular conditions of the equipment that will be needed. If you bought a bulldozer, it might not meet the requirements of a specific job site.
What to do in that case? Buy a bulldozer for each project? Of course, it is not possible because that is what the rental option is for.
Depending on the construction site, we can rent the exact equipment we need for a short time. We will have equipment that is almost tailor-made for each job we do.
We Can Have The Most Modern Equipment On The Market
We may have jobs that we can do with older equipment. But there will be others where this will not be possible because we will need the best possible performance.
We will be able to have the latest technology bulldozers without paying the price we would have to pay if we bought the equipment.
There is another great benefit of having modern equipment. The image of your company and brand will gain prestige and attract new customers.
For Tax Purposes, Leasing Invoices Are Deductible As Expenses
All those who are used to using the leasing figure already know what the advantages are. Renting a bulldozer has significant tax benefits because it is accepted as a deductible expense when declaring taxes.
Let’s put it more simply, if you lease machinery; you will pay fewer taxes. On the other hand, if you buy this machine, you will be able to amortize it, but you will not deduct it from what you will have to pay in taxes.
You Would Take On Projects Even If You Have The Machinery Occupied In Other Jobs
Many times good opportunities appear when we least expect them. Sadly, sometimes we have to say no to a customer because we don’t have a bulldozer available.
This problem is completely eliminated with the rental. We can take on as many jobs as we want, and our operational capacity allows. But we will no longer say no to a customer for lack of machinery.
We Will Not Have To Pay For Maintenance Or Repairs
Many times maintenance costs can be more or less predictable. The problem is in the prices of repairs. Because we will not be able to calculate it with precision, it is sure that they will be more and more expensive as the equipment gets older, not to mention the cost of a bulldozer breakdown in the middle of a job.
None of this occurs in the rental model. In this scheme, maintenance and repair costs are handled by the owner. This means that the operability of the rented equipment is always guaranteed.
You Can Better Control Labor Costs
When we don’t have to pay for maintenance and repairs, we spend less. This helps lower unforeseen expenses. It also allows us to calculate the cost of the bulldozer rental more accurately before we start the project.
We Also Don’t Have To Spend On Transportation Vehicles To Move The Bulldozer
Almost all companies that provide the rental service offer the transportation of the machinery. If they do not have it, other companies do it, and it can be subcontracted.
The central aspect is that it would not be necessary to spend on an in-house transport fleet. Here we find another significant savings point that we would only have in the rental model.
We Don’t Have To Spend On Bulldozer Upgrades
When we use these machines constantly, we are deteriorating it progressively. This cost of obsolescence does not fall on us but on the owner.
The owner has to update it with new attachments every time there is a need to comply with safety standards. Many accidents happen because the equipment is not correctly updated.
This is another advantage of bulldozer rental; this whole issue is the owner’s responsibility.
Save Money In The Storage Of Bulldozers
This is another good news; this is a double saving. We don’t spend money on installations, nor do we spend money on tools or materials to clean or maintain them.
This is one less fixed expense that we will be saving. And if you have machinery storage areas, you can use the space for something else.
No Idle Or Underutilized Machines
Because we work on a project basis, we can turn the bulldozer over once we finish if no other work has come out. This is impossible if we buy the equipment.
On the contrary, we can have equipment idle for long periods. And as time goes by, the bulldozers can get damaged due to lack of use.
How Much Do Bulldozers Cost To Rent
The cost of renting a bulldozer will depend on its size, power, and weight. Other factors influence price, such as the rental company, year, model, and make.
The minimum number of hours a bulldozer can be rented is 4 hours per day. Renting an 80 horsepower bulldozer for 4 hours is $595.
If you want to rent this same bulldozer for a week, it will cost $1,540, and for the month, it will cost $4,600.
If the bulldozer is of the crawler type, the daily cost will be 630 dollars, the weekly fee will be 1,700 dollars, and the monthly payment will be 5,000 dollars.
A Final Look At Bulldozer Rentals
The purchase of a bulldozer is always a significant investment for any company. The question of the century is always: do I rent or buy the bulldozer I need.
The answer depends on the type of your business; what is the purpose for purchasing the equipment? How long will I need it?.
If you are clear on the answers to these questions, it will be easier to decide. But beyond what you choose, this article has listed a number of advantages of renting. It is a business model that offers many benefits.
That invites you to think very carefully before deciding to buy a bulldozer.
Sources:
https://www.holtca.com/company/news/renting-equipment-versus-owning
https://www.macallisterrentals.com/construction-equipment-rental-guide
https://www.rbauction.com/blog/when-to-buy-or-rent-heavy-equipment
https://thompsontractor.com/buy-new-used-rent
