Along with the many varied and important other things that you will need to think about before launching your new business, ensuring you have the right equipment in place and ready to go is crucial.
When I started ThriftyMum and some of my other side hustles, I realised that investing your money into actual equipment is difficult because you may not know exactly how that investment will turn out, yet without the tools and machinery you need, you won’t be able to make any money at all. So it is a necessity! Knowing what to consider before buying the equipment you need will help you to make that investment wisely and confidently.
Make A List
When you go food shopping, do you make a list? Most people do. That way, they only buy what’s on the list and they don’t go over their budget., then you don’t forget anything either. It’s the same when purchasing equipment for your business. Make a list of everything you need and want – those two things might be in separate columns because they aren’t always the same thing. You can even make this list part of your business plan; it will help potential investors see what you are planning to spend the money on, after all.
Your list should also include a timeframe. Although it would be wonderful to be able to buy everything you need right at the start, the reality is that that probably won’t happen due to a lack of funds. Therefore, you will need to know which pieces of equipment have to be purchased right now and which ones can wait.
Consider Second Hand
When you first start to look at buying the equipment you need to run your business successfully and profitably, you will most likely look at brand new items. However, it could be worth checking out second-hand options. They will cost you a lot less money, but of course, that could be because there is a problem with them and they possibly don’t even work correctly anymore. However, if you take the time to really do your research and carefully look over the equipment before you part with any money, you could come up with some fantastic bargains, which is particularly useful if you have a somewhat limited budget since, on average, you can save between 25 and 50 percent on used items. Auctions, garage sales, and even liquidation sales can all yield fantastic results.
Spend Where You Need To Spend
If there is an item that is more important than any other, the thing that your entire business is going to hinge on and can’t function without, perhaps something specialist like tachograph analysis software for your vehicles or a specific piece of machinery like a Cricut to make your products, then that’s where you need to spend your money first. That’s the thing that has to take priority.
Don’t try to cut corners and skimp on these things. If it truly is vital to your business’s success or even its existence, then work your budget out around it so that you know that you can definitely afford to buy it. If you spend more money on something that is good quality, then there will be less chance that it will go wrong and cause issues for the entire company.
Borrow it first
If you’re not ready to make a massive investment as you don’t have sufficient funds yet, you could borrow the equipment you need first to not only test it out, but not have the massive upfront outlay too.