Is Buying Used Forklifts Worth It? Find Out Here

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Forklifts are a common necessity of almost every warehouse, building site, or construction area. Forklifts are one of the most durable vehicles that you can find on the market today – simply because of what they are made for. They can handle tough working conditions day in and day out for years with no trouble at all. If cared for, forklifts can be in good operating condition for up to ten years. Over time, machines wear down and it’s time to upgrade. If you require a new forklift but don’t have the budget for one outright – purchasing used or pre-owned is a great option. Forklifts are readily available on the market, especially if you are looking for a pre-owned model. So, is buying used forklifts worth it? In this article,  we’ll discuss the pros and cons of buying used forklifts.

Pro: Used Forklifts Are Cheaper And Many Great Deals Can Be Found

If you are looking for a forklift but don’t have the budget for one, purchasing a pre-owned machine is a good option.  There are many used forklift models available on the market at a fraction of the cost of buying new ones. Some companies may even offer to sell or lease their used forklifts as an alternative to scrapping them outright as they still have good life left in them. Some websites aim to simplify the buying process by matching you with dealers near you as well as those that are delivering forklifts all across the country, based on your preferences. This way you can easily get in touch with a reputable dealer and make a deal for your machine.

Con: Used Forklifts Have A Higher Risk of Breakdowns And Malfunctions

As compared to new forklifts, used ones have a higher risk of breakdowns and malfunctions. As time passes on, new parts wear out and need to be replaced just like any other machine on the market. Sometimes these parts may not be readily available on the market anymore which could result in long downtimes until they are found or ordered from overseas suppliers. You will also have to consider that if something breaks down on a used forklift that there is no warranty from the manufacturer versus a brand new one which would come with a warranty. In addition, while some used forklifts may be available for sale with a warranty, many of these manufacturers will not cover the machine’s parts if they are defective.

Pro: Used Forklifts Are Reliable And Can Work Just As Well As New Ones

Another great benefit of purchasing a used forklift is that they are reliable and function just as well as brand new models. These machines were made to last for years without issues, so even if it has been in use for quite some time chances are it’s still good to go. Many forklifts that have been on the market for years will still be able to carry the same weight capacity as their newer counterparts. With the proper care and maintenance, these machines can be as good as new. Just make sure you have the mechanics check it out before you buy, so that you know if anything needs to be fixed. You should always do your research and speak with a forklift dealer before you purchase to ensure that you get the most out of your money.

Con: Used Forklifts Have A Lower Resale Value Than New Ones

One of the cons associated with buying used forklifts is that they have a lower resale value than brand new machines. This is especially true if you are purchasing directly from a manufacturer or dealer, as opposed to online through websites. If you plan on reselling your machine at a point in time to purchase a new model, be sure that you will get more money out of it when selling it privately versus going through another dealership or manufacturer – this way you can recoup some of the investment cost from your initial purchase. The amount of depreciation depends on how much mileage was on the machine as well as its overall condition.

Pro: You Know What You Are Getting When Purchasing Used

Another great benefit of purchasing used forklifts is that you can be sure of what to expect when making your purchase. If you are buying directly from the manufacturer or dealer, then chances are they will run a diagnostic check on the machine before selling it to you. This way you know if anything needs repairing and whether it is covered under warranty or not. Most dealerships do not want their customers having issues with their equipment, as this could cause them to lose business from dissatisfied buyers. Also, most used forklifts still come with a standard warranty which covers certain parts for one year or more depending on how long the machine has been in operation at the dealership.

While buying a used forklift may have its cons, it is highly dependent on the situation. If you know what to expect and how the system works, there’s little reason why you shouldn’t consider buying a used machine instead of a brand new one. It will cost less, thus creating more money in your budget for other necessary equipment or improvements. So if you are looking for a reliable machine to make your business run smoother, used forklifts are usually the right way to go.

Top 10 Biggest M&A Deals Of 2017

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In the fast-paced world of business, mergers and acquisitions (M&A) have become a common strategy for companies to expand their reach, diversify their offerings, and enhance their competitive edge. Large M&A deals, in particular, hold the potential to reshape industries and economies, offering both opportunities and challenges that can significantly impact the business landscape. In this article, we will delve into the intricacies of large M&A deals, exploring their dynamics, strategies for success, and the lasting effects they have on organisations.

Understanding Large M&A Deals

Large M&A deals involve the consolidation of two or more significant companies, resulting in a single entity with enhanced market power, increased economies of scale, and potential cost synergies. These deals often involve substantial financial investments and complex negotiations, making them critical junctures in a company’s growth trajectory. The motives behind large M&A deals can vary, ranging from market expansion and portfolio diversification to cost savings and increased operational efficiency.

Key Factors for Success

Strategic Alignment: One of the cornerstones of a successful large M&A deal is strategic alignment. Companies must meticulously assess how the potential deal fits within their overall business strategy, ensuring that synergies exist between the two entities. A misaligned M&A deal can lead to integration challenges and hinder the realisation of expected benefits.

Due Diligence: Thorough due diligence is imperative to uncover potential risks, liabilities, and hidden opportunities associated with the target company. A comprehensive assessment of financials, legal obligations, cultural compatibility, and operational processes is crucial to make informed decisions and avoid post-acquisition surprises.

Integration Planning: Effective integration planning is the linchpin of successful M&A execution. Companies should have a well-defined roadmap that outlines how different functions, processes, and teams will come together harmoniously. Clear communication and a detailed timeline are vital to ensure a smooth transition and prevent disruption to ongoing operations.

Cultural Integration: Large M&A deals often bring together teams with different organisational cultures. Addressing cultural differences and finding ways to foster collaboration and shared values can enhance employee morale, minimise resistance, and accelerate the integration process.

Leadership and Talent Management: Identifying and retaining key talent from both merging entities is essential for maintaining continuity and driving innovation. Strong leadership is crucial to navigate through the complexities of change and inspire a sense of purpose among employees.

Stakeholder Communication: Effective communication with stakeholders, including employees, customers, suppliers, and investors, is paramount to maintain trust and confidence. Companies should provide regular updates about the progress of the deal and its potential benefits.

Impact on Industries and Economies

Large M&A deals have far-reaching implications beyond the involved companies. They can reshape entire industries, leading to changes in market dynamics, pricing structures, and competitive landscapes. Economies can benefit from increased job creation, technological advancements, and the infusion of capital into new areas. However, there can also be concerns about reduced competition, potential monopolies, and the concentration of power.

Case in Point: The ExxonMobil Merger

An illustrative example of a significant M&A deal is the merger between Exxon and Mobil in 1999. The deal, valued at $81 billion, created ExxonMobil, one of the world’s largest integrated oil and gas companies. The merger aimed to capture synergies in operations, technology, and distribution, positioning the newly formed entity as a dominant player in the global energy market.

The success of the ExxonMobil merger can be attributed to meticulous integration planning, effective leadership, and a clear focus on operational excellence. The companies leveraged their combined strengths to weather industry fluctuations and emerge as a resilient entity in a highly competitive sector.

Conclusion

Large M&A deals are transformative events that can reshape the business landscape, offering opportunities for growth and innovation while presenting challenges that demand careful consideration and strategic execution. By prioritising strategic alignment, due diligence, integration planning, cultural integration, talent management, and stakeholder communication, companies can increase their chances of success and unlock the full potential of these deals. As industries continue to evolve, the impact of large M&A deals will remain a critical aspect of the global economy, driving growth, innovation, and change.