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New vs Used Warehouse Equipment

There are a lot of moving parts involved in warehouse operations. Those moving parts are largely dependent on the equipment you purchase and install in your warehouse. Equipment which is constantly breaking down and needs to be fixed costs your warehouse time, money, and resources which could be allocated to other areas. It is best to replace old and broken down equipment before it costs you too much time and money to fix. Equipment is a huge investment, though, and you may need to seek options other than buying brand new warehouse equipment. But in some instances, it is better for you to choose new equipment over used equipment. Here are some advantages and disadvantages of buying both new and used equipment.

New. Brand new equipment does not come cheap. This might be your first reason for wanting to purchase used equipment for your warehouse. However, new equipment should be thought of as a long-term investment. With the proper maintenance, new equipment will last much longer than used equipment. New equipment also comes with the technology to make taking inventory and doing various other warehouse jobs much easier. And if you are looking to make your warehouse more energy efficient, new equipment is the way to go. When it comes to energy efficiency, new equipment will cost you a lot more up front but it will save you money in the long run. As long as your business has a bright future ahead of it and can stand the upfront cost, new equipment might be the way to go.

Used. Your warehouse may not be able to afford new equipment when something majorly breaks down. Used equipment is a good alternative in those cases. Even though they will not last as long as if they were brand new, used machines are great option for the short term. Because the first owner has taken the hardest hit in terms of depreciation, you do not stand to lose much by buying used. Paying less for used equipment has other costs associated with it, though. Old equipment is not nearly as energy efficient as new, technologically advanced equipment is. This means you will pay a lot more to run older, used machines. However, if you run a smaller warehouse, energy efficiency might not be a top priority. Take stock of what features are most important to you and to your warehouse situation in your equipment to better understand whether or not buying used will actually cost you more money in the long run.