What Should You Budget For When Hiring an Excavator in the UK?
Not sure what to budget for when hiring an excavator? When it comes to purchasing or hiring any type of machinery, several different factors make up the overall cost. Budgeting for these costs is essential to ensure your company makes a profit at the end of the day.
Hiring an excavator is not an uncommon decision taken by businesses of all different shapes and sizes. You can drive past most building sites that will generally have an array of different machinery from all corners of the country. Why… because everyone is working to a budget.
In this article, we are going to look at some of the key aspects you should budget for when hiring an excavator. This resource will uncover numerous different factors that you should consider, resulting in maximising your profitability on your hire. Let’s dive straight into why people choose to hire?
Why hire an excavator?
Construction, landscaping and utilities companies across the UK choose to hire their machinery for many beneficial reasons.
Excavator hire in 2022 can start from as small as £75.00 + VAT/day with weekly rates of just over £200 + VAT/week. A business which is accepted for a credit account does not need to pay any deposits when hiring any type of machinery. (Find out more about account applications here)
The availability of equipment from a plant hire company gives you the option to choose from a vast selection of different sizes and specifications. Instead of purchasing one machine, hiring excavators allows you to choose the right size machine every time they are needed.
Businesses choose to hire excavators because of the level of service that is required. You can tell a lot about a business by the way it treats its machinery. Servicing costs businesses a lot of additional money every year. Therefore by hiring the machinery the additional costs of servicing no longer become your business’s responsibility.
Another reason why people choose to hire is due to the amount of support which is available with your hire. Businesses who choose to hire benefit from engineers and replacement equipment should anything go wrong. This convenience is all relative when it comes to budgeting for your excavator hire.
Logistics of plant machinery, especially larger units can be a full-time role. Organising, transporting and doing all the admin in between, may not be what a lot of business owners want to focus on. Hence why companies, when choosing to hire excavators, opt to have the machinery delivered for them.
If you would like to find out more about the pros and cons of buying vs hiring in more depth then click here
Additions to budget for when hiring an excavator?
Hiring an excavator is only part of the parcel when it comes to budgeting for your hire equipment. To guarantee you cover all your overheads, be sure to budget for the following:
No matter the size of your project, you will need to budget for the fuel you will use on your project. In addition, the hired excavator is to be returned with a full tank to avoid any additional hire charges. Remember that excavators are classed as construction equipment and as of April 2022, must be run on white diesel or alternative fuels.
Delivery costs are usually priced each way when arranging transport of the machinery. These need to be added to your overall budget for the project. Failure to do so may result in you eating into your profit margins.
Insuring your plant hire equipment for the time it is in your procession is incredibly important to avoid any nasty upsets. Do not presume that your current business insurance will cover plant hire. It is always best to check beforehand to avoid any last-minute stresses. Temporary insurance for the machinery you hire can save you thousands of pounds if the worst-case scenario is to happen.
WHC Hire has always advised using JCB Insurance temporary cover of plant hire machinery. (Not affiliated, based on customer experience)
If you operate as a builder who carries out work commercially and you and your employees are going to have undergone some training in operating plant before you are allowed going to commence any type of work on a construction site. This is a requirement laid down in UK Health and Safety Legislation. There are many providers of accredited courses for a 360 Excavator are vital to any business involving earthmoving. These can be found fairly swiftly via the internet or with help from Construction Industries training Board (CITB). If you are registered with the CITB you may be able to receive grant funding to assist in the training process. Your alternative option is to hire or employ a 360 operator to use the equipment which can cost more than £30,000 per year (£14.42per hour).
Hiring an excavator generally will incur some type of deposit if you do not set up an account with the hire firm that you wish to work with. Expect to pay at least two times the weekly rate for the machine. This also acts as an additional insurance policy, more so with cash customers. If you decide not to have a credit account with your desired hire company, you will need to budget for a deposit to be paid before each and every time you book an excavator hire.
Ways to ensure you get the best rates when hiring an excavator.
Choosing who and where you hire your excavators from is extremely important. The majority of the time that if plant the price is too good to be true, then it is. Before choosing a specialist, inspect their equipment, and ask for more information about their fleet. Be sure the image and quality of the machinery reflect the way that you work, and how you want to be perceived as a company. In addition, you need to make sure the service they provide is adequate to your requirements.
Hire for long periods
The longer you hire an excavator, the cheaper it will cost you per day. Extended hire periods can bring far more attractive hire rates.
Hire from a local depot
Hiring an excavator from a local depot benefits users by reducing the cost of delivery if required. Less distance requires less cost, which reduces your budget overall.
Book well in advance
If you are aware that you need an excavator for a project coming up, then organise your delivery early to ensure you stick to your time and finance budget. It is important to find the right organisation to work alongside as delayed machinery will end up costing you money.
Need help budgeting when hiring an excavator?
WHC Hire Services have been helping businesses of all sizes reach their goals and aid in the assistance of thousands of projects a year. Our specially designed fleet provides a wealth of quality, reliability and selection. Finding the right excavator for your project is simple with help of our 20 years experience. Our mission is to provide you with the highest quality machinery, when and where you need it, in perfect working order. We pride ourselves on our quality equipment. Speak to one of our team today to discuss excavator hire from your local depot. Click here to get started.