Used CNC machines are now the go to option for several machinists all around the world due to the affordability benefit compared to brand new CNC machines. But there is another affordable alternative to buying new CNC machines, which is renting. There are several machining shops that put their CNCs on rent for rental income, and people often find it beneficial to take those machines on rent, while something’s the opposite. In this blog, we will highlight the key differences between purchasing a used machine and renting one. So let’s read till the end to know which one is a better choice?
Difference Between Buying a Used CNC Machine and Renting a CNC Machine:
Here are some of the major differences between buying a used CNC machine and renting a CNC machine:
- Cost analysis: The first thing you need to take into consideration before deciding between buying a used CNC machine and renting a CNC machine is the cost analysis, which will help you in a financial way. The cost structure is one of the reasons why people often choose to buy a used machine over renting, because renting is a dead end expense, and you will not own any asset even after renting a machine for a year. But if you buy a used CNC machine, then every dollar spent will be counted as an investment for buying an asset that you can put to use for machining or even put on rent for extra income.
Buying a used machine: You will have a lower upfront cost compared to brand new machines, save thousands of dollars, and still own a piece of asset. The asset, which can be used for years and even decades, depending on the manufacturing year. The asset will give you constant returns. Also, if you buy a CNC machine for manufacturing work in the USA, you get some tax benefits under the OBBBA law.
Renting a CNC machine: In renting a CNC machine, you’re essentially for access, with nothing of ownership at the end. You get locked into a recurring monthly payment that will never end. You have no equity in that machine. Also, rental agreements come with different costs and fees, like you might have to pay more if there is any wear and tear while machining. But wear and tear are common in CNC machining, especially in heavy weight machining works. - Operational freedom and control: After you’re clarified with the financial aspect of buying a used CNC machine or renting one, operational freedom is very crucial for businesses to grow, as they need to do different kinds of R&D work and various flexible machining work to increase their business revenue.
Buying a used CNC machine: As the owner of a CNC machine, you will get complete control of the machine. You can run the machine whenever you want and for as long as you want, depending on the volume of your production. There are no limitations on run time. Also, when you own a machine, you get complete control to customize the machine as per your needs. You can upgrade the spindle of the machine or get automation features with the machine as per your requirement. You are also in charge of maintenance and repairs, so in case your machine shows any problem, you can get it diagnosed as soon as possible without needing anyone’s approval.
Renting a CNC machine: The rental agreements of CNC machines often come with different terms and conditions. They have very restrictive conditions, and you won’t ever get complete freedom over the machine applications. Any breach of those terms will cost you a hefty fine. Also, you cannot upgrade or modify the machines as per your needs, and you will have to do your work with whatever is given to you. - Reliability: When making the financial decision of buying a used CNC machine or renting one, you need to be very clear about which one is a more reliable decision. The whole CNC machining thing is not cheap, so don’t make the decision before you’re clear about the reliability level of the machine.
Buying a used CNC machine: Used CNC machines are a reliable option as you get the machine usage history and you for how long the machine has been used, how many hours the machine has worked. Also, you get the option of buying a CNC machine of top brands like DMG Mori, Haas, Mazak, or Okuma, on these used CNC machine selling platforms. These brands are well known reliable brands that produce long lasting CNC machines. You can buy the type of machine that you want, like there are machines that are made for heavyweight machining with strength in their structure, so you can be sure of the fact that the particular machine can help you do heavy cutting work.
Renting a CNC machine: In the case of renting a CNC machine, you don’t get any information about the history of the CNC machine. You don’t know how the machine has been used, so there might be some hidden issues with the machine. Also, the rental companies have a limited number of machines. So, you will have to choose one from that collection and won’t get the freedom to use the machine of the brand of your choice.
Comparison Chart Between Buying a Used CNC Machine and Renting One:
| Factor | Buying Used CNC Machine | Renting CNC Machine |
| Upfront Cost | Moderate to High | Low |
| Ongoing Cost | Moderate (maintenance, ops) | High (rental fees) |
| Maintenance | Owner’s responsibility | Included in rental |
| Customization | Full freedom | Severely restricted |
| Depreciation Benefit | Yes (tax savings) | No |
| Resale Value | Yes (asset to sell) | No |
| Flexibility | High (for process optimization) | High (for short-term needs) |
| ROI (Long-Term) | High (if well-utilized) | Low (pure expense) |
| Risk of Obsolescence | Moderate | Low |
| Asset Ownership | Yes | No |
Conclusion:
The financial aspect, operational freedom, and reliability – all of these three criteria make buying a used CNC machine a better choice compared to renting a CNC machine. The initial appeal of renting a CNC machine is understandable due to its low price for a month, but in the long term, that would be a short sighted decision. So, buying a used CNC machine will be a better choice for you, as you will be able to use it for a long time while also getting revenue by using it.
