Most heavy equipment owners plan to sell heavy equipment before the end of its useful life. The condition of the machine plays heavily into the final selling price. While you have no control over market supply and demand, you can take steps to maintain the resale value of your heavy equipment. Here’s how you can:
Schedule regular and preventive maintenance:
Maintenance is essential for keeping equipment operating at optimum levels. During maintenance, parts with excessive wear or at the end of their life can be identified and replaced, preventing a costly unexpected breakdown during a project. Regard equipment maintenance, both regular and preventive, as the cost of doing business.
As a reference for scheduling maintenance, refer to the manufacturer’s operation and maintenance manual. Plan ahead and schedule maintenance in between projects or during slow periods so productivity isn’t sacrificed.
Document all maintenance, service and repairs in a log book. When it comes time to sell, make the maintenance log book readily available to the buyer. The more buyers know about the maintenance and usage history of the machine, the more willing they will be to spend top dollar on a machine that has been properly looked after.
Buy equipment from reputable manufacturers:
Some equipment manufacturers are synonymous with top-of-the-line heavy equipment. Equipment from reputable, top-tier manufacturers, such as Bobcat and Caterpillar, will always be more attractive, both in a weak and strong market. Even if the market softens in a particular region, a seller of top-tier equipment will have the option of selling in another region where the market is stronger.
Sellers of equipment with little brand recognition or brand recognition restricted to a particular geographic area, may have a much harder time getting a good price for their equipment in the same situation.
Respect the equipment and its intended purpose:
Use the machine for the job it was designed. Always follow the manufacturer’s guidelines, including load capacity. Confirm that equipment operators are familiar with and will adhere to manufacturer guidelines as well. Only allow properly trained operators to use equipment.
Avoid operating machinery in extreme weather, but if you must, ensure you’ve taken the necessary precautions to prevent damage. Follow the manufacturer’s recommendations for preparing equipment for use in extreme weather conditions, as extreme weather can take its toll on equipment, damaging internal components.
The condition of your heavy equipment – shiny and new or previously owned and gently used – comes heavily into play when you decide to sell. If you are looking towards the future, when you may want to sell, make sure you take the necessary steps to maintain the value of your equipment over the long term in order to get the best selling price possible.