How to assess whether to hire versus purchase a concrete mixer truck

Concrete equipment and heavy machinery required on any commercial or residential construction site is a big financial investment. A concrete mixer truck, bought new will set a company back by over £110,000. If that amount of capital isn't available or equipment is likely to only be used as a 'once-off', then short-term leasing or hiring a concrete mixer, or any other type of concrete equipment, maybe a more viable option.

Hiring a concrete mixer versus purchasing offers advantages

• lack of capital outlay for equipment purchase
• added convenience a less logistical demands required
• high cost of spare parts when concrete mixer breaks down
• where there is a lack on accurate records kept about equipment by construction companies
• procurement, unless paid in full, will incur interest - yet more costs that a business will need to recover to remain in profit. 
• maintenance, insurance, running costs, road tax and storage facilities are all added to the overall cost of owning equipment versus hiring.

Concrete mixer trucks and all other heavy concrete equipment require ongoing maintenance and upkeep which is generally related to frequency of usage. By hiring equipment, time is freed-up not having deal with maintenance requirements.

For construction companies contracted to a site a great distance from their primary location, transporting equipment to the project site can require a high degree of logistical planning and costs. Being able to hire concrete equipment delivered directly to the job site could be financially and logistically a far better option.

Given all the advantages, the financial ramifications of each are what probably drives the overall decision process. A lot of factors need to be considered when calculating the actual cost of buying over hiring concrete equipment and these aren't always accurate because it is difficult to get the true cost of maintenance, labour plus frequency of use offsetting the returns it will generate. There are certainly situations where it is more economical to own versus hire, however the following financial advantages should also be considered in the overall decision process:

• no depreciation - concrete equipment starts to depreciate in value from its first day on a building site 
• better cashflow - there are three options to consider when acquiring heavy concrete equipment. This can be by purchasing new, which is expensive and has a significant impact on cash flow. The second option is to buy used or second-hand equipment, which is less expensive depending on mileage and model but also impacts cash flow. The third option is to hire, which has less of a financial impact on budget.
• hire before purchase - offers an opportunity to hire with the option of purchasing to help in the decision process on the feasibility of acquiring a particular item of equipment.
• offers a much more affordable opportunity for smaller companies to compete with bigger corporates by accessing high quality equipment.

If your company are looking to hire concrete mixer trucks or any other other heavy concrete equipment in the UK, contact Utranazz. A wide range is on offer and they provide an unrivalled service to all customers whether buying new or used equipment, or are opting to hire. Staff are highly knowledgeable about all the equipment stocked and can make recommendations based on your particular project requirements, offer operational guidance, an after sale service or guaranteed service during the period of hire so that in the unlikely event of a break-down, equipment can either be replaced or spare-parts bought to the site and equipment restored to efficient working condition with minimal disruption.