Investing in industrial machinery can give your business the edge over smaller businesses that have to do the work by hand or not at all. In some cases, it may even be a requirement that you have such machinery. Sadly, heavy equipment isn’t something that can be bought on the cheap. However, there are ways to cut costs to make it dramatically less painful. Here are some of those methods.
Look second-hand
If you’re a small manufacturing business, you don’t need state-of-the-art equipment. Unless you’re building a spaceship, you won’t need half the gimmicks and fandangles that come with top-of-the-range machines. Try looking for low-end second hand equipment. Some of it will still be fairly modern, but will be dramatically cheaper just because someone else has used it a few times. Avoid buying anything too old, as you could end up making up the cost in repairs. If you’re buying online, make sure it’s from a trusted retailer. It may be worth inspecting the machinery in person if you can make the travel to see it. This way you can check for damage (and ask the previous owner/supplier for any extra information that may be handy).
Cost of rent vs buying
If you’re not going to use the piece of machinery regularly, consider renting it. It will be far cheaper. Most rental companies can also afford to provide new equipment that you might not otherwise be able to buy. That said, each time you rent you could end up with a different model, which means having to relearn how to use it. For regular usage and familiarity, buy your own equipment. For fixed equipment, make sure that your premises can support the size and shape of it. For portable equipment, make sure that you have the right vehicle to transport it around.
Check delivery and assembly is included
Many companies will provide delivery and assembly (an example being this Reliant Finishing Systems info page). It may seem like the cheaper option to assemble machinery yourself, but this can take time and certain level of know-how. Working with a supplier than can deliver and assemble the machinery for you can allow you to use this time on other business aspects that could be earning you money, as well as ensuring the machinery is assembled properly (you don’t want to have to pay someone afterwards to repair or reassemble it).
Make other cutbacks
If the machinery is replacing something that was once done by hand, consider the resources that you once used to do that process and whether you still need them. You may be able to sell some of the tools you once used. Realise that you may need to lay off workers if their role is no longer needed. Alternatively, you may be able to take a less brutal approach and cut costs elsewhere. A premises with less rent may be the option. Remember that this machinery will pay itself off in the end, so any cutback may only be temporary.
