Key Factors to Consider When Choosing Your Equipment

Published on: August 16, 2019

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Purchasing machines can be quite a difficult task for entrepreneurs.  The market is full of machine retailers selling similar products. Machines are capital investments and have a great influence on workflow in any enterprise. There are certain considerations to be made before every purchase. A wrong choice would come with a huge financial loss. Be sure to take into consideration the following points when choosing your next piece of equipment.

New or used machines?

While often seen as a personal preference, buying equipment new or used can play a large role in the efficiency within your work environment. Used equipment is often sought after as a more cost-effective method of obtaining equipment. While saving money is always a plus, some caveats may come with a used equipment purchase. Most, if not all, used equipment will be older and possibly outdated which can affect your bottom line. At the end of the day, you have to determine if the savings in machinery costs is worth potential efficiency or output decrease older equipment provides. In addition, equipment can be misrepresented and with no warranty, your financial savings may be offset by repair costs.

Now purchasing new equipment comes with its own set of challenges. You’re looking at higher initial costs and longer wait times for the machine to be completed. If you have the time and money to spare though, new equipment will ensure the newest technologies and highest yield possible. You eliminate the need for the equipment’s history and can determine yourself and future maintenance necessary. With the added tax benefit, owners have the ability to declare capital allowances when purchasing new machinery.

How knowledgeable is your retailer?

Purchasing is not a simple task and that alone requires strong industry knowledge. When searching for an equipment manufacturer, it is crucial that they understand not only their equipment, but how the customer needs can be met within their industry. Machinery needs will differ significantly between different industries and a knowledgeable company should be able to present several available options they feel will best fit your company’s needs. If you find yourself conversing with a company who can’t explain the difference in an extruder vs a tilt discharge mixer option, perhaps it’s best to move on.

What are people saying about the market retailer?

Every seller has a reputation in the market. While it may seem easy to move forward with a company that’s been around for many years, it’s not always that simple. Due to confidentiality agreements between previous customers, testimonials may be difficult to find but it never hurts to ask others you know within the industry about their experiences with the retailer. A company should encompass great customer services skills, a strong knowledge of the industry, an effective product, and efficient production. When possible, outline your expectations and be sure that they align with that of the company you’d like to work with. Ultimately, you want to be sure your retailer is trustworthy and reputable.

Price Comparison-which is more affordable?

Everyone wants to get the best bang for their buck and with the prices of large-scale equipment, it’s no wonder. Don’t hesitate to receive quotes from several retailers to make comparisons. However, price is not a principal factor in this case. You may get the best price from the least reputable retailer or one who knows too little about the market. You may get a cheap product that would not serve its purpose in the end. Price should therefore not be your most determining factor.

There are quite a few factors to consider before committing to your next piece of machinery. Pinpoint the importance of each in your decision making process so you can move forward with a product that best fits your company’s needs.

 

“10 Things To Consider In Purchasing Machine & Equipment.” NextWhatBusiness, 21 Jan. 2019, nextwhatbusiness.com/purchasing-machine-equipment/.
“7 Things to Consider Before Buying Equipment for Your Small Business.” Grow With Kabbage, 27 May 2018, www.kabbage.com/blog/7-things-to-consider-before-buying-equipment-for-your-small-business/.
“Buying Pre-Owned Is New Again.” Machinery Resources International Inc., 19 June 2017, www.machineryresources.com/buying-pre-owned-new.

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