It’s no secret that construction is expensive work. The high cost of many construction projects is directly related to the pricey equipment needed for each job. Even smaller tools can boast a hefty price tag when they’re highly specialized or complex. However, it doesn’t have to be this way.
There are plenty of ways for you to cut expenses on your construction equipment while still performing effectively and getting jobs done on time. If you’re wondering how to balance your budget for your next job, here are five strategies to save money on construction equipment.
You might not always have enough funds on hand to pay for your equipment upfront. If that’s your situation, no problem – go to a trusted partner for equipment finance to get the resources you need.
Equipment financing gives you time to build up your funds while still enabling you to do your job with the tools you need. The best financing partners will get your funds to you quickly at low rates, so it’s an excellent option for maximizing your efficiency on the job.
Keep up your documentation
Balancing your books is essential when you have expensive assets to manage. You need to be able to see how much you’re spending on equipment at a glance. With this in mind, it’s important that you never fall behind on your recordkeeping.
Make documentation easier by investing in inventory management and workforce management software that will enable you to monitor the tools you own and the expenses associated with them. It’s also a good idea to maintain records on paper in case something happens to your digital infrastructure.
It’s understandable if you have a preferred vendor for your equipment. However, you should never limit yourself to just one outlet. Instead, keep your finger on the pulse of market trends and see what prices other suppliers offer. If you know another source selling your tools for a lower price, don’t hesitate to jump ship and get a better deal if you can.
Rent when you can
Owning your equipment might sound great on paper, but it’s not always the most practice move. Renting is often better from a monetary perspective. Every time you consider buying a new tool, should ask yourself: how often are you really going to use this? Will this be a valuable asset for many jobs in the future, or will you only use it for this one project before letting it collect dust?
Unless you plan on using a tool or machine consistently down the line, it’s a good idea to rent wherever possible. Leasing allows you to only pay for your equipment as long as you’re using it, meaning you’re not liable for maintenance, repairs, or wear and tear. Once you’re done with it, it ceases to be your responsibility.
Don’t be stingy with your tools
It might sound counterintuitive, but buying expensive tools can sometimes save you the most money in the long run. If you cheap out on your equipment and purchase shoddy materials that break halfway through their first project, you’ll incur expenses due to replacements and lost time. Meanwhile, if you spend a little more initially and pick up an item that will last you for the foreseeable future, you can avoid having to pay for repairs or replacements and losing time when the tool breaks.
Construction equipment is pricey – there’s no getting around that. However, you can mitigate your costs by following these tips to help you consistently get the best deal.Last modified: December 26, 2020