Running the catering business is not easy. The caterer knows the pain that in any event there are so many factors they have to address that it becomes very difficult economically and physically. For any catering company, the real investment is in the catering equipment because when you are making a list of catering equipment like kitchen items, baking oven or steamer, etc. The list is seen to be non-exhaustive. After all, every event has a different set of equipment requirements and it’s become nearly impossible for any catering company regardless of its size to keep all the equipment in its inventory. This is the reason that usually the catering companies don’t buy their equipment and prefer to opt for catering equipment hire. Hiding the catering equipment is economically feasible and also it provides leverage to the catering company to get the equipment on short notice. This is not only applicable when the catering company doesn’t have any equipment but many times their equipment may be malfunctioning and they need to hire the same equipment from someone else for any event. Here are a few reasons why catering companies should prefer to hire catering equipment instead of buying their own.
- Cost saving: First of all, if any catering company will decide to buy their equipment, they have to invest a lot of capital investment for the purchase. This is not necessary that once the equipment is bought it will be used in every event because the requirement of events can be changed. In that case, that equipment will be in the store and the company will not be getting any benefit out of it plus they have to get regular maintenance on the equipment which will be an indirect expense. It is better that if the company is certain that they will buy some equipment that will be used in reputation then the transaction should be made otherwise they should be getting the equipment hired. It will cost their money in terms of capital investment plus they don’t have to go with regular maintenance of the equipment. Once the computer is bored the depreciation will also apply to it so it is better to go for the rental equipment instead of buying their own.
- Better variety: For example, the catering company has its own Combi steamer oven but now they are organizing an event where they need a larger size combi steamer oven. Not one maybe they needed three of them. This means their own combi steamer oven is not of use and they have to get the combi steamer ovens on This is the benefit that will provide more variety to the catering company so that they can get catering equipment on rent. This provides the flexibility to the catering company to get three or four combi Steamer ovens as per the requirement.
- Quick service: The catering company decides to buy the equipment and then place the order it will take months for the equipment to get delivered. Maybe they will be missing the target even due to the non-availability of the equipment. But if they opt for catering equipment hire, they can get the equipment within days and be able to provide the service without investing much in any other equipment.