When it is time to replace your golf course mower or any other turf equipment then you have three options. The first option is buying new turf machinery. The second option is buying used turf machinery. The option of renting golf course equipment is also available. You can save money by finding used turf machinery for sale or by renting golf course equipment. The following factors play an important role in this decision:
- Budget
- Needs
- Priorities
Based on these three factors, you can decide whether you should lease or invest in used turf machinery. This article is for those who are considering leasing.
Leasing vs Buying
Golf course mowers and other turf machines are very expensive. Though you can save a decent amount of money by investing in used turf machinery. You don’t get the flexibility. You can get better equipment for golf course maintenance if you are not satisfied with the performance of the current equipment. If your current leased equipment stops working, you can replace it in no time. However, in case you purchase equipment and it stops working, this will affect the maintenance. Moreover, you may have to purchase the machine again. If you want to buy used turf machinery, make sure that it is in good condition.
Type of Lease
Shall you go for a conditional sales contract (CSC) or fair market value? Your choice depends on the type of equipment you want to lease. If you are going to use the equipment on a regular basis and you will replace it at the end of the lease then go for the fair value lease. This option is suitable for golf course mowers, golf carts, blowers and utility vehicles.
A conditional sale contract is an ideal option for machines like aerification equipment, sprayers and tractors.
Lease Payment
Be smart when structuring your lease agreement. Go for seasonal payments in the case of a seasonal market. You can also schedule payments according to the frequency of use.
Consider the costs and long-term gains of the option you choose. Whether you should lease or invest in used turf machinery, completely depends on your budget and requirements.
