Get a Better ROI Out of Used Factory Equipment

Planning on expanding capacity but need to move forward on a budget? Or are you in a position where you need to squeeze more ROI out of your next big capital expenditure? Consider looking at used manufacturing equipment first. By going used, you'll be able to stretch your budget further and find the right piece for the job. In order to get the best used equipment that you can find, ask yourself these questions about the equipment.

How Accurate Does It Need to Be?

When you're shopping around for any piece of equipment, evaluate how accurate you need the job to be. There's a big difference between industries. If the job doesn't' demand a high level of accuracy, you can save money with a light-duty machine. Make sure your purchase matches your needs.

New equipment won't necessarily be more accurate than used pieces that have been well-maintained or repaired, but you may want to buy from a dealer or retrofitter. For example, even used CMM equipment designed to measure products and catch flaws can be bought used, but you will likely want to work with a CMM dealer who can guarantee its accuracy and update probes and software to make the equipment suitable for today's demands.

Will Workers Need Training?

Whether it's a new machine or just "new to you", don't neglect adequate training for workers. Any new feature on a piece of hardware will involve a learning curve and you should anticipate problems early on. Make sure you have a plan – and the finances – to cope with a bit of downtime as well as the time and investments needed to train employees. Investment today will keep you running at capacity later on.

Can You Buy Used from a Dealer?

Buying equipment at auction or straight from another shop can mean you're taking on greater risks. How confident are you that the machinery will work? At auction, you rarely get any guarantees. Going through a dealer may bring the price up a bit, but there are some great reasons to consider it anyway:

• Used equipment should go through a complete check;
• You should be able to see video of the machine in action;
• A dealer can make additions and modifications before the equipment is shipped to your shop;
• An operational guarantee can save you money and take the risk factor out of the purchase;
• Turn-key installation gets you up and running quickly.

Buying used equipment from a dealer is often more reliable than auction and you will still save compared to buying new.

What's Your Plan if the Machine Breaks Down?

When you buy used, you need to know what happens if the machine breaks down. Will you have to order replacement parts from overseas or can you get emergency repairs done quickly? Losing capacity for weeks while you wait for a part to ship can be a disaster.

A unique concern with used equipment is whether you can even get the parts anymore. Sometimes manufacturers won't want to release parts for old models to discourage resale. But if you do your research, you might find parts and repairs won't be a problem.

Going used is a great way to save money, but you should ask some questions and look around to ensure the machine will be reliable.

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