Ideal for Short-Term Use
If you plan on using the equipment for only a short period of time throughout the year or occasionally from time to time, going for 2nd hand machinery can help save you hundreds and even thousands of dollars.
Granted, older machinery may not last as long or be as reliable as brand-new equipment, however, if you don’t plan on using it regularly, these factors shouldn’t be much of an issue. Also, most machinery and factory equipment are built to last for more than ten years. This means that depending on the machine you get, it may end up serving your company for many years to come.
While there is always the option of renting using machinery, owning yours gives you peace of mind knowing that you will always have it at hand should the need arise. You also get the opportunity to sell it to another person and recoup your money if need be. Also, it won’t drop much in value than when you bought it as a new piece of machinery.
This is perhaps the biggest reason why people opt for industrial surplus. It goes without saying that buying new equipment and factory machinery and equipment requires a huge amount of capital. Few people have the financial capacity to buy outright without requiring a loan.
However, if you opt for used equipment, you can easily find a good deal and end up spending a lot less out of pocket for the equipment. You will also be left with more money to put into other areas of your business by avoiding the hefty costs associated with purchasing new equipment.
This is particularly beneficial for startups, which are often low on capital. Going for used equipment allows you to get what you need to get started quickly and at a lower cost. This significantly increases your chances of success in your business.
If you are impressed with the benefits of buying used machinery and factory equipment, there are a number of websites online that offer great ideas on used industrial equipment.
The Risk of Purchasing Faulty Products
When buying any kind of equipment or machinery, whether old or new, there is always the risk that the product you are getting is defective or damaged. However, the risk is significantly much higher for used equipment and machinery.
What’s even worse is that, if you bought the used equipment from a private seller, there is very little chance if any that you will be able to get a refund from the seller in case of any defects. If you find yourself in this predicament, you may find yourself back at square one searching for used equipment.
Reduced Efficiency and Productivity
While you might find the exact type and quality of machine that you are looking for, if it has experienced heavy use in the past, it will have a lower level of efficiency and productivity than a piece of new industrial equipment.
Here, efficiency has to do with the reliability and work quality of the equipment while productivity focuses on the amount of work that a machine can deliver within a specified amount of time.
If the two features named above are compromised, you won’t be able to perform the work at hand at the speed or consistency that you may desire. This can ultimately affect your business in the long run and affect your revenue. Even though this doesn’t happen in all cases, used equipment and machinery present a higher risk of these problems.
One of the biggest downsides to buying used machinery is that, depending on how frequently and how long the machine has been used, it may have a lower life expectancy. With this in mind, you may need to consider whether you are okay with enjoying lower prices but potentially suffering a shorter lifespan or would rather pay more for a longer lifespan.
However, given that most industrial equipment and machinery tend to last for more than a decade, going for used machinery still remains a viable option.
Having a warranty is especially important when purchasing high-priced products. If you are buying brand-new equipment, it will almost always come with a warranty. However, if you are buying used machinery, there is a high likelihood that the transferrable manufacturer’s warranty has been reduced or is no longer active.
However, in case you are purchasing the used equipment from a non-private seller, they may provide you with a short, limited warranty that covers workmanship mistakes, which kicks off from the moment you buy the equipment. And given that you are buying already-used equipment which is being sold for a much lower price than brand-new equipment, getting a reduced warranty or any at all is a great and rare proposition.