In recent years, there have been changes in how products are purchased and delivered to customers across industries. A huge increase in internet purchases accelerated the shift to warehouse products and changed the nature of the products people are buying and the trucks that warehouse facilities use to move them. For beverage operations in particular, there’s demand for greater product selection and availability.
In the face of cost pressures and decreasing margins, beverage operations are looking to optimise fleets. In this scenario, forklift leasing may be considered as a simple and cost-effective option.
Here are 5 benefits of leasing Yale lift trucks and warehouse equipment in beverage operations.
1. Effective cost management
There can be a significant financial upside to leasing a forklift fleet. It can preserve and lower the cost of capital and support payment options to meet cashflow requirements. It can sometimes be easier to secure budgets for the monthly operating expenditure (OPEX) of materials handling equipment, than a larger upfront capital expenditure (CAPEX) of purchasing a fleet.
Leases are also predictable and simple. They bundle equipment costs into a single, fixed monthly payment, and let businesses focus on operations instead of worrying about eventually disposing of or selling used equipment.
2. Ongoing fleet management
Leasing provides a passive, but very effective, form of fleet management. Companies that purchase equipment generally keep it 10 years or longer, and older equipment is generally costly due to increased maintenance spend and diminished reliability. Leasing enables operations to replace lift trucks as their maintenance costs increase, optimising fleet costs and boosting operational efficiency. It can reduce fleet cost compared to other forms of financing.
3. Access up-to-date technologies
Leasing can be considered a planned replacement programme. Holding on to older equipment that has been purchased may limit access to new technology and features that can have a significant positive impact on operations.
Advances like newer forklift motive power options such as lithium-ion batteries, new safety and ergonomic developments, and other design improvements can increase productivity and lower total cost of ownership. Leasing instead of owning means operations can more easily take advantage of these advances as they become available, and move trucks out of the operation when they are no longer of service. Generally in a quicker, and sometimes a more cost-efficient, way.
4. Flexibility for peak demands
Where seasonal demands peak in the beverage industry, short-term rentals can provide a solution that gives quick access to equipment without any long-term obligations. This can help beverage handling operations to flex their fleet to meet operational requirements, without the heavy upfront investment.
However, it depends on the specific operation’s needs. The equipment available for short-term forklift leases may be more limited. So, it may not be the correct route for companies that need access to exact equipment specifications. Usage limits are also a consideration for some short-term rentals. In these instances, a longer-term lease can prove more affordable.
5. Optimised uptime
Equipment leased from a Yale dealer may include a service, repair and maintenance agreements. The cost of this can in many cases be added to the lease cost, which can help simplify budget management. All while keeping equipment up and running reliably to meet operational requirements.
These maintenance agreements may also help keep equipment in lease-return condition, as most leasing contracts will detail the condition in which the equipment must be returned.
Is forklift leasing the right option for you?
Leasing warehouse equipment may offer some beverage operations a strategic advantage in managing their fleets efficiently and cost-effectively. Through leasing, businesses can navigate the complexities of changing modern warehousing demands, maintain access to the latest technology, and optimise their operational efficiency. Whether dealing with financial constraints, the need for flexibility, or the desire to stay ahead with cutting-edge equipment, leasing can often provide a viable solution that aligns with the dynamic nature of the beverage industry.
However, the right leasing, rental, or fleet purchase strategy will always be dependent on the specific requirements and objectives of the application. This is where independent Yale dealers can offer insight and advice based on their local experience of the industry, and their extensive expertise of the range of Yale lift trucks and warehouse equipment.
Discover Yale solutions for the beverage industry now, or reach out to a local Yale dealer to find out more.
