When the time comes to add machinery to your shop you certainly need to decide on things like brand, capacity, power and many other factors, but you also should consider whether purchasing new or used machinery is the right call for you.  

New vs. Used Machinery: Which Is Right For You? 

Making the decision to add machinery of any kind is typically not one that is made overnight.  It is a calculated process looking at current work in process and future work expected. It may also be a decision made based on replacing current technology to keep up with the demands already in place. Deciding on Used manufacturing equipment is an important step in that process as buying used machinery can save 30-40-50% or even more over the cost of new machinery but it certainly comes with some inherent risks. We have broken down the most important pros and cons below: 

  • New Machinery Advantages
      • Latest Technology
      • Supportability/ Availability of parts and service
      • Highest manufacturing speeds
  • New Machinery Disadvantages
      • Price
      • Availability
  • Used Machinery Advantages
      • Price
      • Technologically close to that of new 
      • Availability
  • Used Machinery Disadvantages
    • Unknown overall condition
    • Long Term support issues a possibility
    • Technology/Manufacturing speed may be slower then new options

Top Considerations When Buying Used Manufacturing Equipment 

The decision to buy used manufacturing equipment is an easy one to make if the latest technology in the process you are considering is not needed or is unnecessary to the actual output of the process. 

The Fiscal Impact

When purchasing used manufacturing equipment the first and most notable reason is the savings. Whereas a typical new machine might retail for $250,000 a like equipped machine just a few years older might sell for half that price or even less. That leaves a lot of room for upgrades, maintenance or repairs that may be necessary to the used machine purchase and still be an enormous savings over new. Further the cost savings frees up capital for other things like ersonnell, material or other machinery needed. 

Comparable Asking price as New

When looking for  machinery make sure you look at the current new machinery values. Often a name brand machine used is still retailing for as much as an import brand of like or better capacity is selling for new. Make sure the used machine price offered is a good deal against all competing brands new and used. 

Elbow Grease will be needed and that's OK

When purchasing used manufacturing equipment you have to calculate the you will need to put in a little elbow grease to get that machine up and running producing quality parts on your shop floor. Whether it is retooling the machine to meet your needs or fixing a hydraulic leak the time it takes to get your new investment returning income shouldn’t be very long. In fact most purchase should budget 10% of the machine purchase price just to getting the used manufacturing equipment up and running on their floor. 

Inspect that Purchase

Whatever machine you decide to purchase, ensure you know the issues it might have by inspecting or having it inspected on your behalf. Just because a used machine may have a few slight issues doesn’t mean you shouldn't purchase it, rather it means you take those factors into consideration when making that final purchase decision. We consider the phase so important we have several articles written about it and even provide free inspection forms to help.. 

Don't expect that New machine Experience

When you have decided to purchase used manufacturing equipment whether it be a private party or through a reseller make sure you know what to expect. Typically all used equipment is sold as-is, where-is and that simply means when you pay for it, it is yours. Any problems, issues or discoveries after the fact are your responsibility, and that’s OK if you value the savings made over purchasing a new machine. You will need to set up the truck, riggers, electrician and technician (if needed) to install and train your staff on proper operation but don’t let this dissuade you as again in most used machinery purchases you have saved over 50% from that of new.  When purchasing from Southern Fabricating Machinery Sales, we will help you setup these services and advise on precautions to ensure you are protected.

Financing that Purchase

Know that used manufacturing equipment can not only be financed like new, but also can be depreciated and written off like new equipment as well there are many ways to get the used manufacturing equipment you need at a reduced cost and spread it out over monthly payments that are ever more affordable. 

Where to Look For Used Machinery 

Used Machinery can be found on just about any reselling or industrial auction site and if you know exactly what you are looking for, how to purchase it, inspect it, move it and put it into service then you are one of the very few.  However you are best off when looking for used manufacturing equipment to speak with a qualified industrial machinery expert like the folks at Southern Fabricating Machinery Sales that not only discuss your needs but recommend processes that may work better for your specific requirements and budget all while offering from a variety of over 500 individual machine options. 

Check Out Our Inventory of Quality Used Equipment Today

If you're ready to start looking for quality used machinery click the box below and checkout our Used Machinery Buyer's Guide to help you make that purchase even better and when your ready to shop for equipment just visit us at www.southernfabsales.com to see all that we have to offer at Southern Fabricating Machinery Sales or better yet, just call us directly at 813-444-4555 to discuss your needs in detail.