Most of the manufacturing managers find it easier to rent air compressor equipment and parts to keep their operations running smoothly. In fact, in line with a recent marketing research study released by Technavio, a worldwide technology research and advisory company, the worldwide compressor rental market is predicted to get approximately $4 billion by 2020.
Renting companies are aware of the importance of the compressed air system in industrial and craft activities and to ensure their productivity even in the unfortunate event that there is a serious breakdown, and that requires a long period for repair.
Rental in the long term:
The rental of the compressor room, or operating lease, is a contract under which the user has the availability of the system for a fixed time, towards the payment of a monthly fee, including maintenance services and commensurate with the value of the use of the plant itself.
After the contractual period, the Customer has the following rights:
- extend the duration of the lease under fixed conditions;
- return the equipment or request its replacement;
- ask for the purchase of assets at a price determined based on their market value.
- Rental is the ideal solution for users who want to keep up to date with the latest technologies and for those who want to maintain liquidity.
- Renting is the best alternative to buying with your means or with leasing. Having eliminated the risk of technological obsolescence associated with ownership, users can renew their fleet more frequently, adapting it to the latest technologies and keeping it at a technological level suited to business needs.
- Rental is the best guarantee against the risk of technological obsolescence.
- During the rental period, the user can add new equipment to adapt his system to the new needs with a simple adjustment of the rent.
- The rental has a minimal impact on your budget and lines of credit. The rental allows us to anticipate the acquisition of the equipment, to choose the best products, as the cost is spread over many months.
The characteristics of the rental
- Rental fees are 100% tax-deductible
- An extensive program of financial solutions allows you to customize the rental to the user’s specifications
- The costs related to the immobilization of capital for the purchase, the reduced productivity deriving from technical downtime and the economic risk deriving from the resale of used equipment are eliminated
- The related costs associated with management
- The service provided is built and modulated according to the Client’s needs in terms of contractual duration, need for use and optional services
- The rental period is from 24 to 60 months
- The procedure for activating the rental is simple and fast
- Monthly or quarterly instalments and rental without a down payment
- Significant reduction in equipment management cost thanks to maintenance planning
- It does not have to advance VAT as opposed to financing or direct payment.
- Asset insurance depends on the type of contract, all-risk insurance (against theft, fire, and RC), or you can use your insurance.
Overall it shows that it is better in so many ways to rent equipment rather than to buy it. Many industrial companies are now turning to renting equipment rather than buying it out and it seems to be working better for the companies.