The demand in the equipment manufacturing industry grew by 24% in the financial year 2017 to 2018. The demand for the material processing equipment and material handling equipment also expanded by 66% and 42% respectively in FY 2017-2018. Furthermore, the medical equipment industry also grew by 10% by FY 2018.
To fuel this growth, several financial institutions and NBFCs offer advances like a machinery loan. While you purchase, there are certain points that you can consider as given below –
- Understand your motive
Before you make a purchase, consider analysing your requirement. Also, analyse the motive behind your purchase. Try to assess whether the purchase will increase your profit margin and will it benefit your customers.
- Consult with professionals
Avail professional help who can provide you with their expertise and professional outlook in their designated field. Such professionals can also help you with your purchases and find you the best deals. You can even consult them while you avail advances like a machinery loan and obtain a lower interest rate to reduce the cost of your loan.
- Make a list
Sort out all the available suppliers in your area. You can keep a track on these suppliers via newspapers, magazines, online sites, etc. Furthermore, inquire about the prices that they sell their equipment at. If the prices fit your budget, you can make the purchase with an equipment loan and improve your cash flow.
In case you do so, make sure you learn about the required business loan documents and eligibility criteria before you apply to avoid the rejection of your application.
- Create a budget
To ensure a smooth purchase process, make sure you analyse the available funds and create your budget.
However, in case you lack the required funds for your purchase, you can avail a Business Loan from NBFCs like Bajaj Finserv at an attractive interest rate against minimal documents. They offer collateral-free loans, instant approval, substantial loan amount, prolonged tenor, online account access and other lucrative benefits.
- Keep the safety factor in mind
While you purchase any equipment, do make sure that you have learned the safety instructions to avoid accidents and life hazards.
- Train your employees
With appropriate usage of your equipment, you can manufacture quality products, gain customer acceptance and help grow your business. Hence, you must train your employees the correct utilisation process to induce better performance and avoid mishaps.
- Decide your purchase
Before you make a payment, analyse for how long you would require the equipment. If your requirement is for a short span, you can also rent the equipment to feed your professional purpose. Nonetheless, if you require the equipment for a longer period, you can avail advances like a machinery loan to fund your purchase.
- Learn about maintenance
An essential point that you should keep in mind while your purchase is the maintenance of the equipment. Consider purchasing items that hold low maintenance cost to reduce the burden on your pocket.
- Size of your equipment
Measure your working space before purchasing equipment. Avoid purchasing item that would take up the maximum of your workspace.
In addition to the above, consider knowing the time your supplier would take before delivering your product and arrange your workspace accordingly. Keeping all these points in mind will help you procure equipment easily.