Quality construction equipment should be a given on every construction site. Good construction equipment can be obtained via purchase or rental. The method a company chooses will depend greatly on the market, its financial health, in-house maintenance resources, and business logistics. Although it may prove to be in a company’s best interest to buy equipment at times, this article series will focus on equipment renting. In part one, we shared several advantages of renting equipment. In this section, our Sarasota construction attorneys will discuss some of the rental challenges construction companies face. Read part three for tips on finding and evaluating a good rental partner.
Overcoming Equipment Renting Challenges
There are a number of factors to think about when deciding to rent construction equipment. As you consider the benefits of renting, you must also consider the potential challenges. Since you will be facing labor shortages, scheduling conflicts, increased insurance, and so on, these issues will play a role in how you address equipment rental challenges. Some of the obstacles you may face include the following:
Working Long Distance: If desired equipment is not available, a considerable amount of time could be spent seeking out equipment availability. Coordinating with multiple rental companies to get the right equipment for the right project at the right time is key.
Vetting Rental Companies: Vetting rental companies that are outside of the company’s region can be a challenge. Work with companies that other construction companies recommend. Word of mouth is always the best way to know a company’s reputation. Thoroughly research each company to understand what their offerings are and if their model suits your business needs.
Online Access: Companies that are able to browse and reserve equipment online and work with companies that offer digital rental agreements have a more positive rental experience.
Tracking Equipment: Moving equipment around the site or to another site requires skilled tracking. If the equipment is moved to another site, the construction company must notify the rental company.
Increase in Administrative Time: Accounts payable and billing require greater attentiveness and organization as the construction company juggles elements such as rental companies, contacts, due dates, and contract terms.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.