When it comes to buying industrial machinery and equipment, factories and manufacturers must consider several factors before making a purchase. One of the most important decisions to make is whether to buy new or used machinery. In this article, we will explore some of the pros and cons of both options and help you decide which is the best choice for your specific needs. Do You Save More with Used Machinery and Equipment? One of the main factors to consider when buying industrial machinery is cost. On the surface, it may seem like used machinery is the more cost-effective option, as it is typically priced lower than new machinery (usually 30% - 70% lower depending on the demand of the equipment). However, there are a few factors to keep in mind. Used Machinery Costs It's important to keep in mind that purchasing used … [Read more...] about Buying New vs. Used Machinery and Equipment
Industry News
February 2023 Publisher Page: Welcome to the New Surplus Record Magazine
Welcome to the new Surplus Record magazine! This is the first time since 1955 our publication has undergone a complete re-design, and only the second time in our entire 99 years of printing our publication! First let’s knock a few questions out of the way… So please sit back, relax, cut out some screen time, and enjoy browsing the New & Improved 1,179th Surplus Record magazine! Who knows, you may just be one page away from finding the exact equipment item you need, or finding a trusted equipment Dealer that will supply your company with used, remanufactured, or surplus equipment for the next decade! Special thank you to our partners EP Graphics, ePageCity, RFBDesign, and of course our Advertisers that helped make this possible keeping the last publication of surplus/used equipment for sale alive in … [Read more...] about February 2023 Publisher Page: Welcome to the New Surplus Record Magazine
Does Your State Tax Manufacturing Machinery?
This question arises several times a month: When buying used or new equipment, should sales tax be added? The answer is, "it depends." It depends on the type of machine or equipment and the state in which you are purchasing. Ideally, the purchase of manufacturing machines should be exempt from sales taxes to prevent tax pyramiding. This phenomenon occurs when taxes are applied multiple times throughout the production cycle. For example, you pay sales tax on the machine that makes a widget, which is then sold in stores or to a plant that also has a sales tax on items incorporating that widget. When states tax machinery, they create a system resembling a gross receipts tax, which is considered one of the most economically detrimental forms of taxation. The good news is that most states have wisely chosen to exempt both used and … [Read more...] about Does Your State Tax Manufacturing Machinery?
Private Equity in 2020: Time to Sell/Partner For Manufacturers?
Private equity (PE) firms are some of the most likely buyers of manufacturers. Known as “financial buyers” rather than “strategic buyers” – e.g., another industrial firm or peer looking to expand its business – these organizations leverage a combination of their own cash and debt to fund their acquisitions. While private equity got a bad name in the 1980s during the heyday of the “leveraged buyout” or LBO market, today’s firms, especially those investing in manufacturers, look quite different. Granted, while they will still borrow 50% or more of the cost to fund many transactions, usually guaranteed against the cash flow of the business, many have truly become operators in terms of rolling up their sleeves with management to drive growth, creating operating efficiencies (often in procurement and supply chain) and driving the overall … [Read more...] about Private Equity in 2020: Time to Sell/Partner For Manufacturers?
What should Business Owners look for in a Machinery Appraiser?
For any business owner, investing in machinery isn't just about the equipment—it's about understanding its value. A reliable machinery appraiser can provide insights into the current market worth of your equipment, guiding crucial decisions on buying, selling, or leveraging assets. But with numerous appraisers in the market, how do you select the right one for your needs? In this blog post, we'll explore the key factors that business owners should consider when choosing a machinery appraiser. And remember, for both buying and selling industrial equipment, Surplus Record offers a trusted platform that prioritizes accuracy and integrity in all transactions. Dive in with us to ensure you're making the most informed decisions for your business. Look for Appraisers that have the Right Credentials When it comes to … [Read more...] about What should Business Owners look for in a Machinery Appraiser?
