To rent or to buy? Due to the high price of construction equipment, every crane user is faced with this question. Renting can be incredibly frugal in the short term, but buying your own crane can offer more freedom. Ultimately, the choice depends on your needs, both right now and for the next two decades.
Why Should You Rent Your Cranes?
When you rent a crane for your construction project, you relieve yourself of quite a few burdens that come with owning the crane outright. For example, you don't need to worry about paying to maintain the machine or what to do if it breaks. The rental company will have your crane repaired as-needed with their own mechanic, and may even offer you a replacement crane while you wait, depending on availability. Companies may even offer to send a mechanic to your site until the project is done, for a small fee.
You can also change cranes based on your needs without buying new ones outright. If you're working a project that will require several sizes of crane for a short period of time, this can save you hundreds of thousands of dollars over buying them outright. New cranes can be brought in to your site within just a few days of ordering, and even faster if you tell the rental company ahead of time what sizes you'll need and the dates you want them at the site.
Renting your crane also allows you to skip some of the tedious paperwork that crane owners are obligated to handle. For example, you don't need to worry about getting insurance for your machine, since the rental company has already covered it. You also don't have to report your rental to the government and pay taxes on it the same way a new crane owner would need to report their purchase.
In general, renting cranes from places like Wazee Crane is a good idea if you only need them for a short project, if you need different sizes as your project progresses, or if you need several cranes in place all at once. So long as you don't intend to use crane for decades to come, the cost of renting them is significantly lower than purchasing outright.
What Are The Benefits Of Buying Cranes Outright?
Buying a crane comes with more responsibility, but it definitely rewards you if you have many projects during the year that require the machine. When you own your own crane, you can decide where it is and when it gets there, moving it at the drop of a hat without needing to call anyone or pay any additional fees. You can also accept projects on sudden notice with the assurance that your crane will be there on time.
In the long run, buying a crane outright costs significantly less than renting one. If you intend for your business to use its crane for the next 20-25 years, buying a 5- to 10-year-old used crane is the best way to save on the cost per year. Over 20 years, for example, a used crane that you purchase for $500,000 will end up costing around $25,000 per year. However, using a rental crane for 20 years will cost you almost $50,000 per year at a minimum, and up to $600,000 per year for more high-end models.
Owning your own crane also allows you to save money on servicing costs by hiring a skilled mechanic to work for your company. When you rent, though the rental company may handle any necessary repairs for you, you'll likely still have to shoulder some of the cost. By hiring your own private mechanic, you can pay for the labor and parts at significantly lower rates. This also ensures that a mechanic is always available to take care of your crane at a moment's notice.
If you plan to use your cranes for years to come, buying is definitely the most frugal option. It allows you great control over the machines and keeps you from paying extra fees per-project.
Whether you choose to rent or buy your crane depends on your needs, but the best decision is always an informed one. Get in touch with a crane company in your area and talk about your options.