New or Used Hospitality Equipment?

Posted by Angelene Marks on

​Whether starting a new Hospitality Business or running an Existing business, a lot of owners are looking for a bargain and to use working capital wisely.

Consider & compare all of your options "
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Things to take into account when selecting equipment:
  • How important is the equipment to your business?
  • How would you rate reliability on a scale 1-10?
  • What type of Warranty would you like with the equipment​
  • Operating conditions ie; Climate for refrigeration
  • Brands and reputation
  • How much is your budget?
  • Should you consider funding options to conserve working capital?
Mistakes we often see:
  • The Business owner buys from Auction.
    This can mean that the quality of the equipment is unknown. When a vital piece of equipment breaks down during a busy period the impact on the business can be significant. Saving a couple of dollars when purchasing a second-hand piece of equipment may end up costing you more in revenue and service costs.
  • Not taking climate into consideration, in particular with refrigeration.
    Unfortunately, sometimes a customer will purchase a cheaper brand not taking into account the summer tropical months, resulting in loss of food etc.
  • Using their own capital.
    Spending valuable working capital on deprecating assets (equipment) in a business may not be the best use of capital. Reserving working capital for seasonal business trends, and marketing to get more revenue can be a better option. This is critical for a new business that may take time to grow their customer base.
  • Buying the cheapest.
    The old saying of “you get what you pay for” often applies. As an example, a hotplate or oven that does not maintain a consistent temperature ends up impacting food quality and also your operational costs.
 
Solutions:
  • Used Equipment.
    Buy what you know. If the seller can provide you some assurances (such as a warranty or proof of servicing), buying Used equipment can work well.
  • Budget.
    Hospitality Funding options are available and worth considering. This ensures that you don’t sacrifice quality.
  • Consider and compare all of your options.
 
For more information give us a  call on 1800 011 981, we supply Certified Used Equipment (with warranties) and New Equipment.
 
Hospitality funding solutions are also available through our partner business Bizpal Services

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