Starting a heavy device condo commercial enterprise is a totally worthwhile commercial enterprise idea. In the US, the heavy equipment rental industry includes 5,073 businesses and is worth 52,000,000,000. On average, each rental business makes about $8,800,000 a year. As for the salary, a heavy equipment rental business owner could generate 100 and 10377 per year in income. If you live in a rural area or small town, this business venture could be more advantageous for you.
Starting an equipment rental business would have a lower capital investment and reduced maintenance and storage cost in rural areas. Plus, small towns have varied needs from farm to residential projects. A heavy equipment rental business offers a broad range of equipment, meeting different requirements without the need for customers to own multiple machines. However, it is also a capital heavy business. Given this financial requirement, a strategic approach would be to start on a smaller scale.
Initially, you could focus on renting out a single type of equipment, expanding your inventory as you accumulate profits, and gain a better understanding of the local market demands. This gradual expansion allows for a more manageable growth pace and reduces financial risks. With this, you still have to figure out exactly what kinds of equipment your customers want. So we’ve done comprehensive research on the top heavy equipment that can make you the most money so you won’t have to. Here are the top most profitable equipment to consider prioritize buying.
Choose 1 or 2 to start with then expand the business. 1, mini excavators. Interestingly, excavators lead the way as the most popular rental in the heavy equipment category despite some unexpected market trends. Data from IBISWorld indicates a 1.2 percent revenue decline in the construction industry’s excavation sector from 2015 to 2020. Given this downturn, it’s somewhat surprising to find excavator rentals at the top of our list.
However, many excavators have led the way since 2021. Many excavators are a great starting point due to their cost effectiveness. They’re affordable to purchase, cheap to transport, fuel efficient, and have low maintenance costs. Their versatility makes them constantly in demand for a variety of small to medium sized projects. The target market is usually homeowners or small project holders for short term use.
Estimated rental price is around $200 to $500 per day. 2 skid steer loaders. Skid steers are versatile. Used not just in construction, but also widely in farming and agriculture. This versatility likely explains their high ranking on our list.
According to 4constructionpros.com, most skid steer rentals are 1 300 to 1 in 800 pound machines. They can be equipped with different attachments for tasks like snow removal, site cleanup, demolition, and excavation, making them a popular choice in rental fleets. You can charge skid steer rental fees from $200 to 500 per day. 3 bulldozers. Dozers are powerful machines used for moving large quantities of materials like dirt, gravel, and sand.
They are particularly useful for large scale construction and land clearing projects. Offering dozers for rent can provide a cost effective solution for businesses needing heavy earthmoving capabilities for short term projects. You can offer bulldozer rental for around $300 to $1,000 per day. 4, loaders. These machines are incredibly flexible and can be used for a multitude of tasks.
They come in various sizes, making it important to choose the right size for your typical jobs to maximize profitability. Medium sized wheel loaders are particularly beneficial as they can be driven to many job sites. While there are many attachments available, it’s advisable to invest in key attachments for regular work and rent others as needed to avoid overinvestment. Rental fees could be offered starting at $500 up to $1200 per day. For example, Big Rents rents their 2.5 cubic yard wheel loaders for 4.73 per day, 3 cubic yard wheel loaders for 4.84 per day, and their 4 cubic yard articulating wheel loaders for 728 per day.
5, high reach equipment. This category includes equipment like boom lifts, scissor lifts, aerial lifts, and atrium lifts, essential for tasks at height. Additionally, various scaffolding options such as hydromobile, power mast, and frame scaffolding are in demand for projects with specific height requirements. These equipments are crucial for safely executing tasks on tall buildings or structures. 6, backhoe loaders.
Combining the capabilities of an excavator and a loader, backhoe loaders are versatile machines suitable for a wide range of tasks. This dual functionality makes them a valuable and cost effective choice for many construction projects. You can offer backhoe loaders for rent for 150 to $500 per day. SEPT Concrete mixers Concrete mixers are fundamental in construction for mixing cement, sand, aggregates, and water. They are critical for any project involving concrete work.
Renting out concrete mixers can be particularly beneficial for small to medium sized projects, where contractors may not have the volume of work to justify the purchase of a mixer. You can offer rental charges for concrete mixers for $40 to $200 per day. Date, crane. Crane rental is a vital service in the construction industry, particularly for large scale and high rise projects. With rental prices ranging from $200 to $1,000 per day, cranes represent a significant but necessary investment for tasks requiring vertical lifting and heavy load transportation.
These powerful machines are indispensable for tasks such as lifting steel beams, large construction materials, and even other machinery to significant heights or across large construction sites. 9, bucket truck. Bucket truck rental, often a vital component for projects requiring aerial access, offers a practical and cost effective solution for a variety of industries. With rental prices ranging from approximately 600 fifties to $9.50 per day, bucket trucks, also known as cherry pickers, provide essential services in areas such as utility maintenance, tree care, sign installations, and exterior building repairs. These trucks are equipped with an extendable arm and a secure bucket, enabling workers to safely reach and work at significant heights.
This capability is especially crucial for tasks like electrical line repair, window washing on high rise buildings, or trimming tall trees. Renting a bucket truck is often more practical than purchasing, especially for businesses that require such equipment sporadically or for specific short term projects. By opting for crane rental, construction firms can also enjoy the advantage of having access to latest models with advanced technology and safety features without the burden of long term investment and depreciation. Moreover, rental companies often provide expert operators and conduct regular maintenance and safety checks, ensuring not only the efficient functioning of these machines, but also the safety of the construction site. Ten graders.
Important for precision grading and leveling, graders are vital for shaping and finishing in construction projects. Renting graders can be beneficial for specialized or occasional grading needs. 11, forklift. Renting forklifts presents a practical and flexible solution for businesses across various industries. Forklifts are essential for tasks that involve lifting, moving, and stacking heavy materials, making them indispensable in warehouses, manufacturing plants, and construction sites.
As a forklift rental company, you charge higher rental fees to offset the costs of owning the forklifts, which includes covering repairs and accounting for depreciation. Rental prices vary based on the forklift’s capacity. For instance, renting a small capacity forklift might range from 2 1 fifties to 3 and a fifties per day. An electric forklift capable of handling 5000 to 6000lbias could be priced between 203150s per day. 1 with a capacity of 7000 to 10000lbias might cost between $2.50 and 400 per day.
12. Trucks. Trucks are indispensable in most construction projects, but they also represent a major expense. The cost of buying a truck ranges from $150,000 to $200,000, encompassing not just the purchase price, but also insurance, maintenance, licensing, and permits. Typically, this requires a substantial upfront investment as loans are often not a viable option.
While the trucking business is highly competitive with significant costs and fuel consumption posing challenges to profitability, There are strategic ways to turn it into a profitable venture. One effective strategy is to invest in multifunctional trucks that can fulfill more than one role, such as a tractor that also functions as a dump truck. This versatility can increase the utility and rental potential of the truck, thereby enhancing profitability. 13. Smooth drum rollers.
Smooth drum rollers, essential for compacting soil and road construction, have a highly specialized function. Their use in general construction tends to be infrequent and situational. Equipment watch reports that 44% of contractors prefer to rent equipment like rollers and compactors as they are less frequently used and more tailored to specific jobs. This makes it appealing for you as a heavy equipment rental business to offer smooth drum roller rentals. Day rentals can range from about $200 to $550.
Starting a heavy equipment rental business can be an exceptionally profitable endeavor. With the industry boasting annual revenues of about $8,800,000 per business and an average owner’s income of 110 VB Web 3 77 per year, The potential for success is evident. However, success in this venture requires strategic planning and understanding the market needs. Starting small, perhaps with just one type of equipment, and gradually expanding based on profits and market demand is a prudent approach. If you’re considering stepping into the heavy equipment rental market, now is a promising time.
With the right strategy, a focus on the most profitable equipment, and an understanding of your local market’s needs, you can build a successful, lucrative business in this thriving industry. Be sure to keep an eye out for our comprehensive list of top recommended heavy equipment for a rental business.