Should you buy or rent your transformer?

Business Blog

If you work with electrical components, you may eventually have use for a transformer. This type of equipment works by generating a magnetic field to let energy go through wire. This is a unique type of equipment that you may be in need of, and wondering if you should buy or rent it. Here are some things to consider before you decide.

Buy the Transformer if You Need it Often 

One of the reasons you should lean more toward buying the transformer instead of renting it is when you end up needing it often. Someone who only uses this type of electrical equipment occasionally for special projects probably finds renting it to be more convenient. However, if you find that you are renting it over and over again, it is probably time to think about purchasing one for yourself. If you are looking to save money, there is the option of buying one that is used, just make sure you get some history on the power equipment and make sure it is in really good condition first.

Rent it if Your Business is New and You Are Low on Capital

New businesses often have a limited amount of money to use for payroll, buying supplies, and paying insurance along with various other fees. You might not have the capital to buy an expensive transformer, which makes renting it a great option. This type of equipment does get pricey, though that depends on the model you choose. If your business is new, consider renting it first, not just because you save money in the short-term, but because you might not yet know how often you will be in need of it.

Buy the Transformer if You Find it Convenient to Have Immediate Access

When you buy power equipment like transformers, you are not only not paying rental costs each time, but you have the convenience of immediate access. Instead of having to call or visit the equipment rental place, choose the model you want and hope it is available, pay your rental fee, then have it delivered, it is already on the job site or in the storage area where you keep your other power equipment. There is no worrying about deliveries or pick-ups, or trying to rush through your work so you can get back on time and avoid a late fee.

Rent the Transformer to Test it Out First Before Buying

A good reason to at least start with renting a transformer is when you are trying the equipment for the first time or want to test out a new model. You can rent it a few times to test it out, and let your employees see if they like it better than other models they have tried. It is a good way to decide if purchasing it brand new would be beneficial.


27 June 2016

Top Business Tips

Hello, my name is Sandra and I live in Australia. This is my new blog which is all about the benefits of planning when operating a business. I am new to the world of business but in the 6 months that I have been running my shop, I have learnt an awful lot. My teacher has been Mr Jones, a local businessman with many years of experience. Mr Jones helped me to plan my budget, source my stock and to negotiate with suppliers. I decided to start a blog to pass on some top tips to others. I hope you find it useful.