Should you buy waste and recycling equipment, or is it better to rent? Let’s have a look at the ups and downs of both options to see which is a better choice for your facility.
Waste management is an equipment-heavy demand on almost any business, including the retail, industrial, educational and municipal clients we serve. AtSource Recycling works with commercial centres, food and hospitality providers, healthcare facilities and even residential customers to deliver the big machines they need to process waste, and one of the most common questions we hear customers asking is: Should you take out a loan and buy equipment all at once, or should you rent and save money? Let’s have a look at your options.
Buying waste recycling equipment is a major up-front investment. It can be hard to swing on an industrial scale, but once you’ve paid for it, you own the machines for your business. You’re also taking up the ongoing costs of preventative maintenance and repairs, as well as upgrades and, ultimately, replacement.
Renting waste management equipment works differently. Unlike buying, you don’t have the trouble of owning your machines. Instead, you can enjoy all of the benefits of having modern, state-of-the-art machinery without the costs and challenges associated with buying.
Renting equipment can save you money on the front end. New waste-processing equipment is a large capital cost you have to pay before you can start operations, which limits your ability to get off the ground or to replace older equipment. Renting this equipment puts the latest and greatest machines in your business facility without this issue, which could help you save cash right now, avoid debt financing and keep your facility up to date.
Apart from short-term savings from up-front costs, you’re also saving money over the long term. Rented equipment is generally covered for maintenance and repairs, which reduces both overhead and continuing costs. Consider also the nature of waste and recycling equipment. These machines don’t directly generate revenue on their own, which makes them a necessary cost rather than an asset you’re guaranteed a return on.
By its very nature, renting is more flexible than ownership. Say you buy a shredder with a 30-kilogram-per-hour output that’s adequate for your needs right now, but in 6 months, you win a contract that doubles your traffic. If you own the shredder, you’ll have to buy a second machine. If you’re renting, however, you can just call and ask for an upgrade to something that runs 60 kg/h. Rentals can keep up with your needs as your business grows.
Ironically, the more flexible option of renting also comes with greater stability. When you agree to a fixed-term rental, your future costs are largely predictable and easy to budget for. Even in the event of an equipment loss or other unforeseen event, you’re guaranteed to have a working set of equipment for a single agreed-upon monthly price.
Your business is critically dependent on waste and recycling equipment to keep going. Those machines need to be modern, in good repair and always available for a price you can afford. AtSource Recycling leases balers, compactors and a wide range of other waste management and recycling equipment on an enterprise scale to customers all over Canada and the United States. Contact our team to talk about your equipment needs and get a quote for renting some of the most capable machines the industry uses today.
We have served 1,000’s of customers across Canada and the United States, and we look forward to serving you, too. If you’re interested in learning how we can help you handle your recycling and garbage more efficiently, please contact us today to request a quote.
