Owning Versus Renting: Which is Right for You

Find out if buying or renting will fit your business needs

Finding the right equipment can be tough and costly. Our team at SIGMA Equipment is here to help you find the right equipment for the job at a price you feel good about. We offer two main options designed to match your budget: buying and renting.

Purchasing new equipment is a big investment. That pressure can deter buyers from committing to a decision. Our customers often ask, “How do I know if I should rent or buy equipment?” Before looking at all the pros and cons, you should calculate how much each option will cost you. The equations below will help you determine which option will be the most cost-effective for your needs.

Calculate Renting Cost:
Total Rental Cost = (rental agreement fee number of months expected to use) + transportation costs Total Rental Cost per Month = total rental cost number of months rented

Calculate Buying Cost:
Total Purchase Cost = equipment listing price + operating costs - resale value (if sold) Total Purchase Cost per Month = total purchase cost number of months owned

Although cost is a big factor when deciding between buying or renting, there are often additional points to consider. We’ve created a primer with the benefits of each that should help you make a more informed decision.

Renting:

Testing
Renting is a great way to test out your equipment before purchasing. We can also send our rental equipment through our state-of-the-art shop to make sure the piece fits your project or production line before shipping. This is a great way to ensure your rental is ready to go from day one.

Capability
Renting equipment from SIGMA will give you access to a wide range of workhorse and specialty equipment. This gives you the capability to keep up with an increase in production during busy seasons as well as complete more specialty projects.

Affordability
If you are only using the equipment for a short period of time, renting can be an affordable option as it has a lower upfront cost. Renting also means you don’t have to worry about ownership costs such as insurance and long-term maintenance. Additionally, you won’t have to rent storage for equipment when you’re done using it. Just ship it back to SIGMA and we’ll hold it until you’re ready to rent again.

Reliability
SIGMA’s rental equipment is always up-to-date and well maintained. Renting with us gives you peace of mind that you will receive reliable equipment that is in working order.

Time
Renting equipment is great if you only need to use that equipment for a short period of time. Need to ramp up production for a few months during the busy season? Rent! Are you working on a project you’re not sure will continue long-term?? Rent! Are you working to fill a large order and need short-term additional equipment? Rent! Our high-end rental fleet is packed with packing, processing, and other equipment waiting for you.

Space
Renting equipment has a smaller warehouse footprint over the long term and can help you when you know you won’t be staying in your current location very long. Just use the equipment for as long as you need and then when you need to move or you are done, send it back.

Buying:

Affordability
When purchasing equipment that you use every day or for an extended period of time, buying can be a more cost-effective method. SIGMA also offers a rent-to-buy service, where 50% of your rental fees go toward purchasing. This is a good option if you end up using your rented equipment more than you originally planned and gives you time to save up for the purchase.

Scalability
Owning equipment gives you the freedom to customize pieces to fit your needs. You have the option to set your lines to match your exact specifications. Scalability allows you to get the most use out of your equipment since it can meet your current needs as well as your needs in the future.

Accountability
Since you are personally responsible for your equipment, you are solely accountable for its longevity. You know its history and how well it will run to your exact specifications.

Longevity
Since you own the equipment, you don’t need to worry about a short-term investment that could be wasted effort down the line. Your line grows with you - that initial investment could pay dividends.

No need to return
It’s simple - you bought it, so it’s yours forever! If you decide you no longer need the equipment, you can simply reach out to SIGMA Equipment again and we can help you sell it!

Money
While renting is a great short-term option for those on a budget, purchasing equipment can actually save you money in the long run. Over longer periods of time, renting fees can add up compared to a one-time purchase.

No matter which road you take, SIGMA Equipment can match you with the equipment you need to keep your production running. When you’re ready to get your project started, contact our sales team so we can highlight the next steps for you.