Renting heavy equipment hasn’t traditionally helped a company’s brand image in the marketplace. Fleet managers have labored under the belief that ownership proved a business was asset-heavy and on a fast track to success.
That is no longer the case. Slowly but surely, that perception is changing. Several industries, such as waste management, recycling, construction, and logging, are strengthening their fleet of owned equipment with rented units.
Storm fleets in particular, comprised of utility and building supply trucks, are relying heavily on rentals these days, because renting aligns with the unique nature of their jobs.
By definition, storm fleets operate in the event of a storm, or a hurricane or any other disaster, that destroys property and cuts off essential supplies. This means the work is mostly seasonal and unpredictable for the rest of the year.
Benefits of Renting Storm Fleet Equipment
Here are some reasons why renting, in such circumstances, may make more sense than buying:
- Purchasing equipment to meet emergency needs means it’s likely to be sitting idle and unused when it services aren’t required.
- Making upfront investments in `reinforcement’ vehicles ties up funds that could be allocated more profitably elsewhere.
- A well-managed fleet requires upkeep. In addition to regular upgrades and maintenance work, equipment parts may fail suddenly and need urgent repair or replacement for fault-free performance. When you rent, you already know the financial outlay you have to make in advance. Companies can easily include this in the budget with no unexpected surprises.
- Long-term parking takes up valuable real estate on a company’s premises. This is especially true if they require storage to protect equipment from extreme weather. Renting instead of buying frees up this space. Also fleet managers don’t have the added burden of making storage arrangements.
- Quick transport is of the essence when responding to emergency events. Not owning the equipment that will be deployed means the rental company bears responsibility for making transport arrangements. Then the fleet manager can strike another important job off their busy to-do list.
- Rental expenses are generally deductible, while purchased equipment is taxed at a depreciated rate over its lifetime.
- Rental expenses look good on the balance sheet as banks may not perceive them as a liability. This affords better borrowing power for a business looking to rent equipment.
- No matter what the emergency, storm fleets still have to be compliant with the emission laws of the state. It is the job of the rental company to be on top of any recent changes in local emission laws. This is particularly useful when it is a mutual assistance call for a storm fleet that is out of a company’s operating state, where the laws may be different.
- Owning equipment restricts you to that unit’s attributes and technologies. Being able to rent means being able to work with units featuring the latest innovations.
- Another freedom gained from renting is being able to choose specs and additional functionalities. You can then tailor your equipment to the nature of the emergency at hand.
Renting With Custom Truck
At Custom Truck One Source, we are proud to stand by our storm fleet customers with the widest range of rental equipment to choose from.
As the first true single-source provider of specialized truck and heavy equipment solutions in North America, we are not restricted by a limited inventory or your geographical location, and we offer financial solutions in-house as well.
Get in touch with us for all of your rental needs by clicking HERE. Our customer service staff is standing by for your call!