Buying used machinery can be a good move when you are under budget and have time constraints. You’ll pay top dollar if you purchase new machinery, and you’ll have to wait to install the equipment. Used equipment can fill the need and reduce downtime, without depleting your cash reserve.
Even if the seller explicitly states that they have checked and/or refurbished, you can’t be sure that the equipment is in working order, because used equipment is often sold “as is”.
10 Things to Consider When Buying Used Industrial Machinery
When you’re shopping for used machinery, you have to do your due diligence in order to have confidence that you are making a good investment.
1. Seller’s Reputation
The first step is to buy from a genuine, ethical seller. If you do your homework on the business or dealer that’s selling the equipment, you can avoid a lot of headaches later.
There are many ways to research a seller. To see how long the company has been in operation and what its financials look like, look at public company reports. If the organization is in trouble, you’ll want to ask why. Check out the company’s ratings for complaints.
Look for customer testimonials that provide details about their equipment purchase experience and the quality of the machinery. Learn how the organization reacts to issues that occur and how it deals with them, and inquire about assurances.
2. Age of the Equipment
Many consumers decide whether or not to buy equipment based on the year the machine was manufactured. This is a mistake. A press that was built in 1975 may only have run at 60 percent of its actual power during the time it was in service. On the other hand, a press that was built in 1995 may have been run continuously at 100% of its capacity during its shorter existence.
Age is a factor, but it should not outweigh the machine’s overall condition and usage in your decision-making.
3. Machine History
It’s very important to check the history of the Machinery when we are buying used equipment from industrial equipment auctions. The history of a computer is much more important than the year it was made. In general, it’s a good idea to find out who the used equipment previously belonged to. The previous owner will also have a lot of information about the machine.
Normally, the overall condition of a machine depends on the routine servicing and maintenance it received. You can often prevent a major failure by periodically inspecting the equipment, and identifying and rectifying any faults before they lead to greater harm.
4. Price Comparison
Price comparison is a major factor in selecting the right machine. When dealers quote several different prices for the same unit, find out the reason behind it. Check out every feature of the machine. Never compromise quality for the price. While the price is important, quality and value should be the greater focus.
Two important factors in estimating the future cost of used machinery are salvage value and depreciation. Most used equipment only retains about 50% of its value. As time goes by, a machine’s value decreases, but many people still consider well-maintained machinery to be worth buying.
5. Manpower Engagement
Calculate the engagement of your workers, since you’ll have to pay for the man-hours needed to run the machine. The long-term sustainability of an organization depends heavily on the different cost variables, and you’ll need to determine how much you pay per unit of production.
6. Fluid Levels
Checking the fluids in the equipment may reveal maintenance issues or signal potential difficulties. When you inspect the equipment, check the level of each type of fluid to get a well-rounded picture of the condition of the machinery.
Low fluid levels indicate a lack of regular maintenance. A machine can not operate smoothly or transfer heat effectively if its hydraulic fluid or transmission fluid has not been maintained.
Dirty fluid is also a warning that the equipment is unsafe. Most critical fluids will simply turn a dark brown color when they are dirty. Other fluids look cloudy or have a peculiar smell when they need to be changed. Make sure the brake fluid has not become contaminated with moisture.
If fluids are leaking out and leaving little pools of debris under the machinery, it indicates a greater complication.
7. Opportunity to Test
Test driving the equipment allows you to evaluate the sound of the engine and the machinery’s standard capabilities. It’s a good sign if the seller is willing to let you run and test the equipment.
If you’re familiar with the sound, drive, and load of the equipment, then testing it will enable you to recognize any issues that you might have overlooked when inspecting the machinery’s exterior.
8. Availability of Replacement Parts
Used machinery may no longer be in production, so be sure to select a model that you can still get replacement parts for. Choose machinery whose maker still carries the parts you suspect are going to wear out most frequently.
9. Power Requirements
The power requirement is another significant factor in deciding which machine to buy. If the machine uses a domestic phase of power, that’s good.
Otherwise, you would need to pay for a supply of commercial electricity. This requires an investment of time and money.
In addition, check the machine’s energy consumption rate. Operate it for eight hours and check its output to calculate the cost of the energy involved in the production.
10. Proper Documentation
When you decide to carry out the transaction, ask the seller to provide documentation of the sale. You’ll want to have proof of purchase for legal purposes. Confirm the payment with a verification document to ensure that you and the seller are still on the same page, and pay with a check or other method that can be monitored.
The transaction will be officially registered and held by all parties until you have received a receipt and the equipment.
These are only some of the points you need to remember when buying used equipment. It’s not always possible to cover them all, but it’s important to find out as much as possible about the machine and its history before you buy it.
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