Maybe You’re like me and have wondered why anyone bothers with equipment rentals in Stockton, or anywhere else for that matter! It doesn’t take a mathematician to figure out how businesses make money renting equipment. So why do we let ourselves get hustled like that? Why not just buy the equipment once and be done with it? As it turns out, Equipment Rentals aren’t all about the equipment you’re using.
The Clearly Logical Option
I like to think I’m a part of the majority here when I say that buying equipment just makes sense. You have a need for what it can do right now, and you likely will have a need for it again in the future sometime. So we’d be best off purchasing it now. Then the next time we need it, it should be there in perfect working order. Ready to knock the project out. As long as we don’t dig too deep, Purchasing is the best option. Not to mention it leaves us feeling like we really got a deal. Just $120 to buy the thing and now I’m prepared to deal with that problem anytime it should ever arise again.
Looking Beneath The Surface
Unfortunately, upon digging a little deeper, our bullet proof theory turns out to be about as unsinkable as the Titanic… For starters, 9 times out of 10, we’re buying the equipment for a project. Maybe you’re like me where you use the word “project” when really you should use, oh, I dunno, “lifelong endeavor”, or “secondary employment”. But for most human beings using the English language the term “project” indicates that it is temporary. It has an end date within sight.
As a temporary project, the needs of said project will also be temporary. So that tile saw you bought when you were remodeling the bathroom and has sat in the corner of the garage ever since? Yep. it’s gonna keep sitting there. Taking up the space where you could put a nice gun safe or deep freezer until one day 20 or so years down the road when the Mrs. decides it’s time for a new bathroom. It probably won’t move even then honestly, You think she’s about to let you redo the bathroom again after living with your last tile job for the past 20 years? Nope, it’s just gonna keep sitting there.
It’ll Still Be There Right?
The next big flaw is the real kicker though. Why do we even buy it at all again? So we’ll have it for next time, right? Well, I hate to do this, but when was the last time you needed your #10 socket and it was actually where it was supposed to be? You spend 20 minutes running around like a chicken with your head cut off looking for that socket in vain. Finally giving up and buying another only to find your first one still attached to a bolt in the engine bay of the minivan a month later. It’s all a very frustrating conundrum, but one we’ve all encountered more than a time or two.
The Unlikely Solution
I don’t know if you’re ready to hear it yet. I know I’m not. But it’s problems like these that equipment rentals were actually designed to fix. It’s strong suit so to speak. What equipment rentals are really selling you is more than just the ability to use their equipment. They are selling you storage, maintenance, convenience and savings. To explain, equipment rentals provide you with the ability to use a piece of equipment as if it were your own to complete the needed task. The equipment is then returned back to the renting agency upon completion of the project. So it does not require storage space in your garage, or maintenance on your part to keep it ready for next time.
How Does That Help?
Part of the equipment rentals value proposition is providing functional equipment for the patrons to use and as such, handle all maintenance and repair expenditures on their dime to keep the equipment in ship shape. It’s convenient, in that they have it ready for you anytime you need it. There’s no digging around in the back and shuffling things around to see if they can find it, it’s there, ready and waiting for you to come pick it up.
Counting The Costs. All Of Them…
Last but certainly not least, we come to the savings. For this to make sense we’re going to need to have a base understanding of opportunity cost. Everything in life comes with a cost, even if it doesn’t cost you any money, it will cost you something. For example, if you were to pick up a free couch, the cost would be the opportunity to get a new couch, or the cost could be the ability to use the car you used to pick up said couch to take the family on a hike. In short, the opportunity cost is all the possibilities you sacrificed to make the option you went with happen. Financially it manifests itself perfectly in the buy/rent argument.
Doing The Math
Renting costs less up front than purchasing equipment, providing you with a greater number of opportunities on how to spend it. For example, let’s bring back that tile saw. Assume you got it for a steal of a deal and spent $275 on it. But you could rent one for the weekend for $75 dollars. You bought it, and even managed to talk your wife into trying again 20 years down the road. It would seem that we had been fiscally responsible and saved ourselves a lot of money.
But what if we were to go with the renting option? we pay the $75 saving ourselves $200 off the bat. We don’t know it, but we’re going to be redoing the bathroom in 20 years, and the rental company is going to be upping their prices to $300 for the weekend. Inflation is the worst. But we took our original leftover $200 and put it in a CD for 20 years at 10% interest. After 20 years and the withdrawal for the $300 a weekend rental, we would actually come out a full $970 wealthier than if we had just purchased it outright.
Ultimately it comes down to the frequency with which you plan on using your equipment. But Hopefully this has helped open your eyes to the benefits of renting. Working closely with you local equipment rental Stockton agencies will certainly help you find the best deal for you.