Download Test Equipment Rental: A Cost-Effective Solution for Businesses and more Study notes Marketing in PDF only on Docsity! Test Equipment Rental Saves Capital and Costs By Tessa Lowrey, Marketing, Advanced Test Equipment Rentals, San Diego, CA In a struggling economy, budgets are being trimmed more than ever. As today’s business environment becomes ever more competitive, the bottom line becomes the measurement of success. Companies are expected to produce more results with fewer resources; therefore every dollar must be carefully spent on advantageous opportunities. In order to be successful, organizations are now evaluating several of their purchases based on their ability to produce a positive and measurable return. Test equipment rental can be the answer to this dilemma. Renting test equipment allows the completion of projects without sacrificing profit margins. This will allow companies who are being forced into researching more fluid options to stay afloat. Many times, the equipment will not be utilized enough throughout the fiscal year to justify the purchase(s). While saving some green may be a universal idea, the decision making process criterion varies from company to company. Three commonalities constitute the constraints under which all corporate purchases must function: performance, time and cost. Meeting Performance Requirements Product performance is based on your test and measurement requirements and frequency of use. Utilization is key, if you know you will be using the equipment at least 65 percent of the time then it makes sense to make a purchase. Otherwise, utilization under 65 percent just doesn’t pay; after factoring in depreciation and maintenance you end up losing money. Opportunities may begin to arise where short term evaluation may be needed. Typically, test equipment products rent for a small percentage of their purchase price. Through renting test and measurement equipment, additional variable results can be determined with minimal financial obligations. Saving Time Major test equipment purchases are often routed to several key decision makers for approval. Once those purchases are approved and a manufacturer is selected, a wait time may arise due to the production capacity of these products, most of which are custom made. Production test and evaluation must continue to be in compliance and scheduled maintenance cannot be subjected to positive economic conditions. Lead times on equipment purchased directly from the manufacturer can have a major impact on project timelines. With typical delivery wait time varying anywhere from four to six weeks, an advantage you may have had over your competitor may be eliminated, especially when dealing with an urgent equipment requirement. This may become a major predicament for those that mandate risks based on safety and regulations while still provide cutting edge results under severe economic and time constraints. Many find that rental equipment is delivered quickly and helps keep their projects on track to meet their deadlines.
