Is There Value In Buying A Used Forklift?

With the cyclical nature of business, there are times when businesses that need forklifts have to consider purchasing used models rather than new ones. On occasion companies don’t have the excess funds to make the investment. So, is buying a used lift a viable alternative? Is there value in used forklifts?

Preliminary Considerations

If you are considering the purchase of a used forklift, one thing you need to know early is the different types of lifts available and their market value. Obviously, you don’t want to pay more than you have to.

You also should have an idea of what a used forklift is worth. There is not a one price fits all situation. The value of a used forklift varies due to multiple issues. It is advised that you do your due diligence before entering the marketplace.

A number of things affect the value of a used forklift. They include:

• The manufacturer
• The load capacity and its lift power.
• Type of engine
• Style of tires
• Number of hours of use
• Supply and demand

Manufacturer

Used forklifts made by well-known manufacturers have a leg up when considering value. The known brands utilize the best technology and makes certain that the lift provides great performance. That’s why the brand is well known. One caveat is that well-known brands commonly cost more than lesser-known brands.

Load Capacity And Its Lift Power

How much weight a forklift can raise and carry influences its value. The more powerful lifts can fetch the higher price.

Type Of Engine

It may surprise you, but battery-powered and gasoline, diesel or other fossil fuel powered lifts have about equal value. However, despite the fact that the battery needs to be replaced every once in a while, an electric forklift is less expensive over the long haul when operated on a daily basis.

Style Of Tires

While pneumatic tires cost more to replace than cushion tires, they offer greater traction and a smoother ride. They also help make lifts easier to handle on rough terrain.

Number Of Hours Of Use

When it comes to automobiles, the mileage it has accumulated influences its value. The more mileage, the lower the value. When it comes to forklifts, how many hours it’s been used is more important than the number of miles. When considering a used forklift, think about the number of hours you intend to use it. That should not only included total number of hours, but also how many hours per day. If the lift will be used for lifting heavy loads during long shifts, a used lift with low hours accumulated on it will last longer and perform better than a forklift used for more hours. Keep in mind also that the used forklift with the most hours of use will cost more due to maintenance and repairs.

Supply And Demand

The time you’re in the market looking for a used forklift to purchase will also affect the price. Supply and demand in the marketplace varies over time. In a market where the demand is high, it will be difficult to find a used forklift available at a low price. On the other hand, if the supply of used lifts on the market is greater than demand, then you have a good chance of finding one for a favorable price.

Calculating A Forklift’s Value

Other elements that can affect the value of a used forklift includes:

• Age
• History
• Features
• Condition

Age

Forklifts depreciate the moment they leave a dealer’s lot. To calculate a ballpark estimate, obtain the lift’s serial number. From that you can determine its age. Research other forklifts of similar style and age and determine how much they cost when new. Deduct 15 percent per year for depreciation and you’ll have an estimated base price to work with.

History

How the forklift is used during its life cycle is an important consideration. Lifts that regularly move heavy loads and are used in extreme weather can cause it to age faster. So, it’s suggested that you ask the seller to provide a work record detailing all the hours the lift has been in used. Long shifts on a daily basis results in a lift that has aged faster than lifts that have a shorter and lighter work history.

Features

In your pursuit of a forklift, you will come across examples where one has more features than others. Extra features commonly add to the value and thus increases the price. Some additional features could include a digital control panel, an air conditioned cab, and automatic load weighing scales.

Condition

Just as in the case of an automobile, the current condition of a used forklift also influences its value. Factors to consider are how well the lift has been maintained, does the paint and tires look good, is the mast damage-free, is the driver’s compartment clean, and how well has the engine been maintained. It is also an added benefit if the seller has replaced parts or has added more features.

If you plan to purchase the used lift from a dealer, ask him if he offers on site service and breakdown repair, what their emergency response time is, and if replacement parts are readily available.

(Source: forkliftcertification.com)