When you’ve got big projects on the go, it’s critical to have access to the right equipment for the job. By partnering with top construction equipment rental providers, you’ll be sure to get top-of-the-line equipment so you can get contracts done faster and smarter. 

Advantages of Renting Equipment 

Contractors who rely on dependable, well-serviced heavy equipment rentals don’t have the ongoing responsibility of repairs and maintenance that all heavy equipment requires to remain in top condition. 

Another long-term benefit of heavy equipment rental is that contractors who rent their equipment have no concern over disposal and resale costs. Owning equipment requires a dedicated plan to retain the asset’s value over time. 

For many industries, balancing and managing multiple projects at once is a normal practice and sharing equipment between different locations isn’t feasible. When working on several short-term jobs at once, it’s likely more cost-effective, timely and practical to rent equipment. 

Equipment Rent Agreement 

An equipment rental agreement is a contract that details the conditions by which one party can rent equipment to or from another party. It will define the obligations and rights of the parties involved, including details such as who is responsible for repair and upkeep of the equipment, who is liable for any injuries suffered while using the equipment, and how the equipment may or may not be used.  

Why is Rent Agreement Necessary? 

By stating clearly that the ownership of the equipment stays with the equipment lessor, the equipment lessor is protected against the insolvency of the equipment lessee or hirer. In the insolvency of the equipment hirer, there is a risk that the hirer’s creditor will seize the equipment of the hirer. A well-written equipment lease agreement gives the equipment hirer a right to take back the equipment, and prove that the creditor of the hirer cannot take over that equipment.

Having the right to charge interest on late payments is a powerful tool to encourage prompt rental payments, as well as improve the cash flow of equipment lessors.

In the rare cases when a hirer does not pay in months, or severely damages the equipment and simply disappears after a while, the significance of a rent agreement knows no bounds. The right to enter the hirer’s premises to actively monitor payments, and seize the equipment if they failed to pay rent is an important rent agreement factor to protect the renting company.