Hiring equipment is suggested as a proven method for contractors to weather the worsening economic storm. According to Andy Kennard, Kennards Hire , hiring can be a life raft for contractors when the economy goes bad.
Hiring allows one to continue to take on work without having to outlay capital or take on new debt. Once the job is finished, the equipment is returned, without the worry of depreciation, repairs, maintenance or storage costs.
Moreover, the hire fee can be charged back to the client. The hire fee is fully tax deductible, and can be recovered in one year, and not spread out over several years which happen when equipment is purchased. By hiring, one can also do a wider range of jobs.
The ’toolbox’ from Kennard Hire includes everything from small power tools to large earthmovers, trucks and elevating work platforms. Temporary fencing, portable toilets and road plates are some of the equipment, which can be hired for operating building sites.