At Equipment Trader, we’re currently seeing more inventory items being rented on our website than ever before. From construction and agriculture to landscaping and technical trades, renting equipment is growing as an appealing option for business owners and workers, who receive the benefits of machine use without having to buy and maintain that equipment. If you’re wondering just how popular rentals are, and what exactly the benefits of renting equipment might be, you’re in luck, because we’re breaking down those questions right now!!
Understanding the current state of the industry, and how it will continue to evolve into the future, is essential for both equipment dealers and customers who want to make the best choices in their work. Among those who rent equipment, over 90% have conducted traditional, short-term rentals and almost 45% have rented with a purchase option. While most workers seem to use rental equipment, their reasons for doing so can widely vary, from requiring only limited use of a machine (80%) to meeting unexpected needs (58%), and even for testing out machinery before making a purchase (36%).
The various needs met by rental equipment highlight the booming business of rentals. In 2017, a whopping 77% of construction survey respondents report that, compared to 2016 they are maintaining or increasing their equipment rental usage. In fact, rental companies are currently buying half of all equipment sold in the U.S. and, according to the American Rental Association, the rental industry is expected to reach almost $60 billion by 2020!! What’s truly amazing is that rentals – which typically spike during economic slowdowns – are continuing to expand even as the economy recovers, indicating that rental growth is a strong and stable trend that is here to stay.
The business of rentals is booming, due in large part to the major advantages for consumers that come with equipment rentals. Here’s a quick breakdown of those benefits:
1. Renting is cheaper than buying. This is the obvious one, but it’s worth mentioning. You won’t always have the money to make an outright purchase of every machine you’ll ever need. And some equipment you only need for a small percentage of your time on a job-site, hardly justifying the cost of a full purchase. Renting lets you have the right equipment when you need it, at prices you can afford.
2. Renting keeps things simple. When renting equipment, you don’t have to worry about maintenance. You don’t have to worry about storage. You don’t have to worry about licensing fees, property taxes, or many forms of insurance. There’s less paperwork and records to keep. Ultimately, renting equipment simplifies expenses, lowers overhead costs, and gives you greater peace of mind.
3. Renting gives you emergency options. Machines usually do not warn us when they will break down, and when they do, deadlines stay the same. Renting equipment helps you cover for unexpected breakdowns, or when other unexpected needs arise.
4. Renting gives you flexibility. There are many machines available to rent from many rental dealerships. Having so many options for renting equipment gives you the flexibility to find the perfect tool for each project you undertake.
5. Renting provides up-to-date equipment. Most dealers keep their rental inventory up-to-date with modern machines, because they know newer equipment will bring them more business than rusty antiques. When renting contemporary equipment, you don’t have to worry about breaking the bank to buy a machine that could quickly become outdated and obsolete.
6. Renting lets you test-drive before buying. Dealers selling equipment should always allow for comprehensive inspections (we’ve discussed what to look for during a test-run here), but you may want more time with a machine before committing to a purchase. Renting allows you to get a feel for what it’s like to use the equipment on the job, helping you make informed purchases.
7. Renting can boost your business. With access to equipment rentals, you can take jobs that you otherwise would be forced to turn down without having the proper machines.
Whew!! You made it through all 7 benefits — congratulations!! Remember, whether you’re looking to rent or buy, Equipment Trader offers the best machine inventory online!! Check us out today, and leave us a comment: Do you have any tips for renting equipment??