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Buying Machinery At Auction
The Condition Of The Machine
When you buy anything online, the experience is unsettling for you. Online auctions have become popular and are where most people visit when they want to sell their underutilized machinery.
You need to make sure you have a condition report on the machine before you can bid on it. some auction houses are going to provide you with the report if you ask.
If the location of the machine is not far, then you can go and inspect it in person. You can bring along a trusted friend who is going to help in inspecting the machine.
If this isn’t possible, then pay a local mechanic to help you inspect the machine you are interested in.
Retail Price vs Auction Price
This is an important thing to consider because in the past auctions provided buyers with a place they could get machines at a bargain. The internet has made life a little easy and auctions can be done online.
Online auctions are handling a lot of transactions daily because it has become the go-to place for many people. One thing that has happened in the auction “bargain” price becoming the auction “retail” price. If you check out eBay, you will see the “buy it now” option is popular.
You need to research so you can know the difference between a “retail” price and a “bargain” price. There is no need of paying more than needed when buying a machine when you can visit the Surplus Database.
The Service Records
Before you buy a machine, you need to ensure that you can service the machine.
If you are good at mechanical stuff, you can do it yourself. If you have to rely on a mechanic to repair or service the machine, make sure you can get the service books or advice from an OEM if needed.
One thing you have to keep in mind is the machine is going to break down at some point and the important thing is how long is it going to be down. You can save yourself a lot of time when you have the service manuals and you need to work on the machine after it breaks down.
Spare Parts Availability
Spare parts are very important because you will need them when the machine breaks down. When you buy from an online auction and see a good machine from a brand that is unfamiliar in the marketplace, ask yourself whether you are going to get spare parts easily.
If the machine is from a foreign brand, then it is going to be hard to get genuine parts when you need to repair the machine, which will complicate things a lot.
There are few dealers who will have the reach to get international parts when you need them.
Machine history
This is going to go hand in hand with the condition of the machine. you will find many machines at the online auctions that are reported to have low hours of operation, but they are not. The owners gave it a quick “liquid overhaul”.
You need to know where the machine was before. The place where the machine was previously is going to have a big impact. A machine that has 1000 hours of operation in a fruit shop is different from one that has 1000 hours of operation in a foundry.
Transportation costs
Many people overlook this when buying machines online. They realize it when it is too late. When they realize the machine is in another state and they have to spend it the moment they realize they have made a mistake.
Make sure you factor in the transport cost when calculating how much you are spending on the machine. You might be surprised to find that you could have bought it locally at the same price.
Warranty
When you buy a machine from an online auction, forget about getting a warranty with that purchase.
The machinery is most of the time sold as it is unless it is stipulated. If you get the machine and you start using it then you realize it has broken down a few days later, you don’t have a warranty that covers the purchase.
You have to meet the full costs of repairing the machine.
The condition of the unit, service availability, and spare availability is very important if you want to keep it running.
The afterlife
You need to think about what you are going to do with the machine after you are done using it.
Is it easy to resell it? Can you relist it on the online auction and then sell it? Are you going to own the machine until the end of its natural life?
It is a good idea to have a disposal plan for any machinery you purchase.
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