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DDWex Acquiring Construction Equipment

Posted on December 13, 2018 by Grace Shelton

Word Count:
474

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Many companies and contractors in need of acquiring new or used construction equipment often don’t have the financial resources needed to buy the construction equipment outright, unless it is a large corporation or some branch of the government. This is when the option of renting or leasing construction equipment comes into play. Deciding to rent or lease often depends on what the contractor or business manager feels most comfortable doing from a financial perspective after e…


construction equipment,used construction equipment,heavy equipment,used heavy equipment

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Many companies and contractors in need of acquiring new or used construction equipment often don’t have the financial resources needed to buy the construction equipment outright, unless it is a large corporation or some branch of the government. This is when the option of renting or leasing construction equipment comes into play. Deciding to rent or lease often depends on what the contractor or business manager feels most comfortable doing from a financial perspective after evaluating the many possibilities and deciding what suits their need from long term leasing to short term renting. The side of construction equipment rentals has met a positive growth since 2004, where nearly 50% of construction equipment dealers’ are offering heavy equipment rentals as part of their operation.

There are two ways most companies acquire their construction equipment, renting or leasing. Many contractors or business managers viewed renting or leasing as an opportunity to test out construction equipment at no extra cost and with no strings attached with the possibility of buying. Most often the rental would be converted into a purchase to avoid losing the invested equity. Most buyers would also take into account whether their business is flourishing or floundering, before committing to buying any construction equipment. In a case where a business has an uncertain future, the potential buyers may deem renting as the best way economically and then return the construction equipment to its owner when the job is done.

The Association of Equipment Manufacturers (AEM) is the international trade and business development resource for companies that manufacture equipment, products and services used worldwide in the construction, agricultural, mining, forestry, and utility fields. The AEM has conducted a survey that predicted that in the near future, more construction equipment buyers will turn to the Internet for product purchases; as construction equipment buyers increasingly turn to the Internet for transactions, information and support.

Consequently, the rise of on-line auctions, sales, renting and leasing are made available by a variety of merchants who cater to the needs of companies and contractors worldwide. On-line merchants such as: Machine Mart, Rock & Dirt, Machinery Trader, Iron Planet, Contractors Hotline, etc. are only a few of the leading markets where companies and contractors alike can find nearly every piece of construction equipment they are looking for, from the top manufacturers such as Caterpillar and John Deere to many more. Many of these merchants offer the options of buying, selling, renting and leasing of new and used construction equipment to parts service and repair and machine maintenance. It’s always wise to investigate the background of any merchant before you place a bid or purchase any construction equipment, to ensure a good reputable stand point before entering into a contract with any dealer or merchant. It’s always wise to shop around and compare deals on construction equipment to other offers before committing to any deal.

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