RENTING DONE RIGHT
...If you experience breakdowns, most rental companies have 24/7 assistance. For instance, says Nick Mavrick, vice president of marketing, strategy and sales for Volvo Rents, his fi rm will replace a faulty machine with another upon customer request...

PURCHASE POWER
...For those who can’t dole out cash for new equipment, Mavrick suggests obtaining it through financing. Loans trump leases if you want to own, since equipment leases can cost more in the long run.
If ownership still scares you, ask a dealer or rental store about using a rental purchase option. A percentage of the rental payment—agreed to upfront—is applied toward the purchase. “This financial structure helps you buy the equipment with less of a time commitment than a lease,” Mavrick says. Payments for this type of agreement will differ by customer. Customers should first request a price for the piece in question.

“Say you wanted a backhoe for three years and could purchase it for $40,000,” Mavrick says. “If you rented it for a year, it may cost $20,000. Renting it for three years would add up to $60,000. You should negotiate the rental purchase option between the purchase price and the rental price...
...When you buy, you should also work with an accountant or fi nancial expert to determine your equipment’s depreciation schedule. Depreciation methods differ by asset class, Mavrick says, and states have different rules for tax purposes...

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