One of the biggest advantages of equipment rental is cost reduction.
Buying machinery involves:
- purchase price
- insurance
- maintenance
- depreciation
- storage cost
Rental eliminates many of these expenses.
Another major cost-saving factor is avoiding depreciation. Purchased equipment loses market value over time, while rental transfers this burden to the rental company.
Cost Reduction Areas
Area Savings Through Rental
| Capital cost | High |
| Maintenance | Moderate to high |
| Storage | High |
| Depreciation | Very high |
