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Should I Hire or Buy a Shipping Container?
Buying is better, right? You own the asset, you can do what you want with it and it's yours forever. Perhaps, but hiring represents a strong alternative option to acquire a container, one that is often overlooked.
You should consider buying if...
Many people think that ownership is the best, or the only way to acquire a shipping container. If you buy, you can make your own changes and modifications. This is particularly important if your container is going to form part of a structure. Or if you want to make changes after it has been delivered. There is also no ongoing cost once the container has been paid for in full.
Other reasons to buy include:
- Choose a specific container from our fleet
- Greater control over less common modifications
- Freedom to complete various modifications over time
Or do what is best for you in the short term - hire.
It Might Be Cheaper Than You Think
Hiring a shipping container can start at as little as $2 per day + GST, depending on the type of container you need. If you're not sure how you long you need one for, this could be a much more affordable way to get started.
No Risk of Obsolescence
Hiring gives you access to the latest designs and technology because we are at the forefront of product development, so you get the benefit of our experience and product knowledge.
Increase Your Flexibility
Your container needs will grow and change along with market fluctuations. With equipment leasing, you have the option to take on containers as required and match the term to the duration of your existing customer contracts. That’s where an equipment lease makes total sense, as it gives you the ability to increase, extend, or just return the container/s if you no longer need it.
Reduce Your Risk
Some lease agreements cover certain repairs, upgrades, maintenance and freight, so you may not face the same out-of-pocket expenses and time hassles you’d have with ownership.
Let SCF Manage the Residual Value Risk
Why take the risk of what to do with surplus equipment and have the headache of trying to sell containers you don’t need any more?
Preserve Your Cash Flow
With hiring, you need only a minimal initial investment to get the equipment you need and you can comfortably spread your payments out over time. This allows you to preserve your working capital to reinvest in what you do best and grow your business faster.
A Known and Fixed Cost
Hires are usually written on a fixed rate basis, with the rentals being predetermined and fixed for the term of the hire. This allows more accurate rate and cash flow planning.
It's Tax Deductible
Rentals are considered as an operating cost, which means that it is often possible to deduct them from taxable profits (as a trading expense).
Avoid the strict requirements and long wait associated with traditional financing from the bank. Hires are usually easier to obtain and have more flexible terms than loans for buying equipment. Our application takes only a few minutes to complete. You can be approved within 24 hours and get the equipment within a week (subject to availability).
If you are still unsure, read our blog on container sales and hire price lists for all types of containers to get an in-depth understanding on what may work best for you.