Operating any kind of business has its own risks and costs associated with it. Some business owners in certain industries have to get acclimated to different kinds of risks and expenses associated with their type of business.
Construction businesses are one type of business that can be considered a more “expensive” business to get into, due to the fact that getting up and running can cost a significant amount of money. While some businesses can get away with low equipment costs and setup fees, a construction company has to purchase comparably expensive heavy equipment in order to do any business at all.
One type of heavy equipment that some (although not all) construction companies need to have in their tool belt is a crane. The type and size of crane will naturally vary based on the company, the size of the projects they’re taking on, the city that they’re in, the types of buildings they are constructing, and so on.
Let’s explore a few of the variables that can affect the costs of owning and operating a crane.
Are You Deciding What Type of Crane to Purchase?
Before you can even begin to factor in the actual costs of a crane, you need to know what kind of crane you’re getting - no surprise there.
Are you a construction company that needs large, towering cranes to get the job done? Are you a smaller business (by comparison) that needs smaller cranes that can fit inside of a warehouse?
What kind of items are you going to be lifting? Vehicles? Raw materials? Segments of buildings? Stage equipment? a crane for containers on a port?
Purchasing Costs of a Crane
Unsurprisingly, the major cost of owning a crane is the actual purchase of the crane itself. Once you have the crane you want to purchase in your sights, you can search the web for prices of identical or similar cranes. This will help you to understand whether or not you’re getting a good deal for the crane.
If you’re able to purchase the crane locally, this can save you a lot of money from having to transport the crane to your location. In some cases, it may even be worth paying a little more for a crane that’s local than purchasing one that’s many miles away, because you won’t have to deal with the logistics and associated fees to get it to you. This may not always be an option, depending on your city and the availability of cranes in your area. Luckily, there are crane brokers out there that can help you track one down.
So what are the actual costs of a crane? Varied, as to be expected. Below you’ll find a handful of different types of cranes and their average price to help you get an idea of how much a crane will cost you.
- Telescopic Crane ($20,000 - 150,000+) - This crane uses a hydraulic mechanism that extends and retracts the crane, allowing it to be easily transported while still gaining the benefits of reaching high heights.
- Mobile Crane ($125,000 - $525,000+) - A common type of crane that is transportable, but may have limited range compared to the telescopic crane.
- Tower Crane ($300,000 - $1,500,000+) - One of the largest cranes, this is a balance crane that usually has the highest and most powerful lifting capabilities due to their size and strength.
- Overhead Crane ($10,000 - $35,000+) - Common factories and warehouses, these are used to lift very heavy loads to be moved around the factory using two “tracks” above the ground.
- Loader Crane ($15,000 - 500,000+) - Fitted to a vehicle trailer, this crane is commonly used for vehicles and loading heavy objects onto and off of the bed of the truck. Transporting and placing large, heavy pipes is an example of what a loader crane can be used for.
Remember to do your own research, as you will find different prices based on your region, the type of crane you need, the specs of the crane, and so on.
Crane Operating, Maintenance, and Repair Costs
The next most significant cost of owning a crane is the operating, maintenance, and repair costs associated with each type of crane. While some cranes will have higher operating costs than others, it’s important to know how much you’re going to be paying on top of the initial purchase each month.
You may need to hire people to help install or dismantle cranes, a crew to operate cranes, and your crane will break down from time to time. When your crane breaks down, you’ll have to replace certain components within the crane, such as the engine, bearings, gears, and more.
In order to reduce repair costs, you’ll want to keep up with regular maintenance. While it might seem expensive at first, staying on top of maintenance for your crane can help to reduce the overall total cost of owning and operating a crane. A well maintained crane means more efficient use and, as a result, less frequent repairs.
Financing Your Crane Purchase
Crane financing is often times the only way a business (especially start up crane operators) can afford to purchase and used crane of any kind. Whether it’s a smaller crane for smaller jobs or a massive, towering crane to lift segments of buildings into their proper position, crane financing is the tool that you’ll use to acquire and take advantage of the benefits the cranes provide.
Without crane financing, you’ll be stuck with a particularly huge bill to pay upfront. While you’re still technically still paying around the same amount through crane financing, you’re able to spread the cost of owning a crane over a long period of time, which makes the cost more manageable. Plus, you’ll also be able to actually use the crane to take on jobs and earn profits that you wouldn’t have been able to without crane financing.
Where To Get Crane Financing
Crane financing companies can offer the best choice on how you can finance your crane.
In fact, even the experienced crane operators will advise you to use crane leasing because it can help you save a lot of money. Crane leasing companies will offer you to lease reliable cranes from trusted crane vendors.
If you are looking for crane financing companies that can offer you the best crane loan for a business, look at companies like Trust Capital USA.
Trust Capital USA offers crane leasing & financing for bad credit owners and offers the most competitive deals for good credit customers. You can get pre-qualified for up to $150,000 worth of a loan by just filling out a single page application on their website.
The best thing about their crane financing and leasing programs is that your application can be approved within 2-4 hours!
Their crane loan options are offered with flexible payment options such as no payments for 3 months or $99 for the first 6 months and they have better rates than banks for qualified borrowers.
Trust Capital can reccomend reputable crane vendors that have cranes for lease. Give Trust Capital a call to discuss your crane financing and leasing questions at 866-458-4777
Ready for a free Crane Financing quote? Click the link below! or Call 866-458-4777