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We currently rent equipment when needed. It makes sense for us to purchase at this point.

How did you or do you finance your equipment? What are the most popular options.

I am assuming cash, lease, or manufacturers finance programs. Am I wrong on that? What are the pros and cons of each?
 

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We've done all of the above. Might ask if the place you've been renting from if the would do a rent to own agreement if you like the equipment you've been getting. At least you'll have an idea what you've got. Unless you are looking at new stuff. I'm not sure we will ever buy anything new there is a lot of good used equipment all over the place now days.

You will most likely get the best rates with new stuff though. There are many different thoughts on equipment purchase, do you have or know a good mechanic? Might help with used stuff if that is the way you want to go. The dealers should be able to help you. I would start with someone who knows you first if they have anything that interests you, they can put a good word in if need be.
 

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You will typically get your best interest rate from a dealer, for a manufacturer. You will also pay more than you would for a used piece of machinery.

The same dealer may offer financing for the "pre-owned" machine at a higher, but still a reasonable rate.

The leasing companies will be a higher rate above that usually.

I have used all three options at different times.

Cash is King, if you can pay for it, do so and negotiate the best deal possible.
 

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if you work with a fleecing....er i mean leasing company....make sure you have your acct. AND your attorney read the agreement and explain to you if you don't 100% understand it. i got into a bad deal when first in biz in the early 80's...i got banged like a screen door in a hurricane.
 

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Cat dealer where i used to be had a pretty good rent-to-own plan. You could do regular rental, and at the end turn in the equipment and that was that. Or if you decided to buy, all of the rental went toward the purchase price. They would tell you up front the depreciated cost of the machine. Dealer always had new or low hour machines for rent. Excellent way for buyer to try out machine under actual everyday working conditions. Talk to your accountant. Be prepared to show dealer your financial statement up front.
 
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