It can be difficult to determine which is best for your business; forklift rental or purchase. Sydney-headquartered MLA offers some advice on the advantages and disadvantages of both options.
Rented equipment does not appear on the forklift hirer's balance sheet. Profits or cost savings from leasing rather than owning the equipment improves the return on assets.
Forklift rental lets you acquire the use of the truck without capital outlay. It is use, not ownership, that enhances a company's profitability. Working capital is thus conserved for expansion and generation of profits.
The total cost of forklift rental is tax deductible. Where a company leases an item of equipment, accounting standards must be complied with. This must be capitalised in the balance sheet, lease liabilities must be reflected and the item amortized over its effective life.
Long-term forklift hire assists budgeting because costs are known and fixed for the period of the agreement.
MLA offers programs for forklift rental in Sydney, Melbourne, Brisbane, Adelaide and Perth which give you the right tools to maximise efficiency through establishing K.P.Is (Key Performance Indicators) and fleet utilisation reports. This dramatically reduces your administration costs and keeps staff free to concentrate on your core business.
MLA's programs can be made flexible to cover changing operational requirements over the term of the agreement.
While your purchased equipment may be ageing and wearing, our replacement program allows the usage of the most up-to-date models.
Proper allocation of the cost of ownership and support is often a difficult and complicated process. Forklift rental payments on the other hand can be charged directly and fairly to the projects or locations where the truck is actually used.
At peak periods or when essential equipment breaks down, forklift hire can put the necessary equipment in your hands right away.
Today, capital constraints and budget limitations are a familiar problem. When efficient performance of your task requires more equipment than your budget will allow you to buy, forklift hire is often the most practical and economical solution.