Subsea Cameras and Equipment: To Rent or Buy?
5 Factors To Consider
When acquiring subsea equipment for your marine research, offshore energy, ROV survey, or other subsea project, deciding whether to rent or buy is often top of mind. With pros and cons for each scenario, taking the time to consider things like your budget and future plans can go a long way in helping you make your decision.
To help get you started, we’ve come up with five factors you need to consider.
1.
Budget
Budget is one of the first factors people think about when making a purchase. Start by projecting your costs over several months or years for both purchasing and renting scenarios, then compare the two. Look beyond your current situation. While buying might be a larger one-time expense, the cost of renting can quickly add up and over an extended period of time could end up costing you more in the long run. Don’t forget to factor in any costs that might be needed to maintain and store your equipment. Depending on your government’s taxation laws, there could be tax deductions and incentives to both renting and buying scenarios. Speak with your accountant or financial controller about the possible tax advantages or implications for renting vs. buying equipment in your country.
2.
Length of Your Project and Project Frequency
If your only plan on using the equipment for a short period of time, renting is your best option. However, if you need to use the equipment over a long period of time or if you’ll be using it multiple times, investing in your own equipment will pay off over time.
3.
Equipment Availability
When you choose to rent, there is a risk that the equipment you want might not be available when you require it. A big advantage to owning is that it is yours and available whenever you need it. You can easily adapt to unforeseen circumstances or changes in your schedule.
4.
Maintenance and Storage
When you buy subsea equipment, you will need to maintain and store the equipment. Some companies might lack the expertise and space to do this. This isn’t an issue when renting.
Pros of Renting
☑️ Lower short-term costs
☑️ Caters to short-term equipment requirements
☑️ No need to maintain or store equipment
☑️ Try before you buy
☑️ Can act as spares or backups on projects
☑️ Easier to upgrade to newest technology
☑️ Tax deductible (depending on your government taxation laws)
☑️ More flexibility in quantities to acquire and models to use
Pros of Buying
☑️ Lower cost over the long term
☑️ Best for long-term or frequent projects
☑️ Available whenever you need it
☑️ Less time spent on logistics and integration
☑️ Can resell equipment
☑️ Use or modify equipment at your discretion
☑️ Tax incentives and possible depreciation deduction (depending on your government taxation laws)
5.
Logistics and Integration
When renting, you’ll be faced with ongoing logistics and equipment integration to manage. This can increase the chances of errors or delays. When renting, you’ll also need to learn how to operate new equipment on an ongoing basis, which might also cause delays as you get up to speed. Whereas when you buy, you’ll become an expert in your subsea equipment, making your projects more efficient.
Buying or Renting is Easy with SubC
When it comes to buying or renting subsea equipment like cameras, lasers and LEDs, or Digitial Video Recorders, our expert team can help determine what option is best for you.
