The Pros and Cons of Purchasing Heavy-Duty Equipment via Auctions
Are you currently planning to bolster your fleet with SDLG construction equipment?
One of the most common methods that buyers usually consider when they want to acquire heavy-duty equipment is an auction. A lot of people think that it’s easier and cheaper to get the machine that they need when they attend auction events instead of checking a multitude of stores and dealers.
If ever you haven’t experienced yet purchasing anything from an auction, then make sure to read this article. We’ve rounded up the pros and cons of buying heavy-duty machinery via auction for you to easily understand if this buying method is perfect for you. Here they are:
Buying Equipment at an Auction Is Faster
One of the advantages of an auction over other buying methods is the fact that you can take home the equipment that you want in the shortest timespan possible. Unlike buying through construction equipment dealers and agents, you will only need to wait just a few weeks until the purchase is completed.
Greater Variety of Equipment
This is another common reason why buyers flock auction events. They offer way myriad construction equipment models that are not usually available in stores. As a matter of fact, they may even offer models that are already limited in the market but are well-known for being efficient machines.
Auction Offers a Straightforward Way to Acquire Equipment
Another advantage of auctions over other buying methods is the ease of participating in the event. You will only need to take with you an identification card such as a passport or a driving license, the details of your solicitor, and any kind of acceptable paying methods such as banker’s drafts.
And by the way, with most auctions, there’s no need for you to pay the price of the equipment right away; you’ll just have to provide at least a 10% deposit during the auction day and pay the remaining amount in the days following the event.
There’s No Such Thing As “First Come, First Served”
Unlike the usual buying method wherein you need to be the first customer in order to avail of a particular machine, auction events allow customers to relax and not to worry anymore about who got there first and who will be entertained first.
Lesser Time for Surveying the Equipment
Even though it is faster to buy from an auction, buyers are given a relatively shorter time to inspect the equipment and ensure that everything is up to par. Generally, the only time that you have to arrange a survey is the time between the catalog is published and sent to participants and when the auction begins.
If you do not like the fact that you won’t be able to scrutinize every detail of the equipment you want to acquire then consider other buying options.
There’s a Great Chance You Get Carried Away with the Budget
Imagine finding one of the best excavator models in the catalog and you want it so badly. You want to own it but unfortunately, there are plenty of other bidders who want to own that piece of equipment as well. What do you do? You bid even higher until you realize that you have already exceeded your budget limit.
Although we’ve listed this as a disadvantage, there is actually an easy way to avoid this from happening. Buyers must always be mindful of their budget and make sure that they stick to it.
You Have to Prepare Your Finances
Another disadvantage of an auction is having to prepare your finances during the auction night. Before attending auctions you have to ensure that your finances are in order so that you can pay the required deposit right away. And since you are not aware of how much you will be paying, you have to make estimations.
While the auction is indeed a popular buying method, buyers—especially first-time construction equipment ones—must first consider the pros and cons before attending auction events. Of course, if the auction isn’t really for you, there are plenty of other options for you to consider.
Got any additional pros and cons that we haven’t included in our list? Share it with us!