Knowing when to repair or replace an aging vehicle is imperative for any trucking business. There is always the right time to get rid of a truck and start looking for a new one!
If you hold onto a truck for too long, it is going to end up costing your business much more money.
It is ironic really, as most business owners put off replacing their aging vehicle because they believe they are saving money. However, you’re only putting off the inevitable and mounting up the repair costs.
With that in mind, we’re going to take a look at some indicators that now is the time for a replacement rather than a repair.
When should you replace an aging truck?
If you have been thinking about buying a semi truck or you have started looking for trailers for sale online, how do you know when the time is right to take the plunge and replace your aging truck?
Well, irrespective of how well maintained your trucks are, they are going to show signs of wear and tear eventually. With today’s modern trucks, this should not occur until some pretty high mileage has been logged.
However, there is a point where paying for a repair rather than purchasing a new vehicle is no longer the most cost-effective route. General wear and tear problems tend to occur in minor expenses, yet it is the significant repairs that present the problem!
Big-ticket items such as transmission, engine, or timing belt replacement can be unwise to pay for.
Compare the repair cost to your truck’s value
You need to compare the cost of fixing the issue with the value of the vehicle. If the truck itself is not worth much at this point, sinking your funds into substantial repairs will not pay off in the end.
A good guideline is to stay away from any fixes that would cost more than half of the truck’s value.
Is the issue a known manufacturer problem?
Nevertheless, a good practice to get into the habit of is making sure there have not been any recalls for your specific model.
Sometimes people find out that the problem they are having with the truck can be taken care of for free by the manufacturer. Although this is rare, it is still worth looking into.
How long will the repair extend your truck’s life?
You also need to think about how long your truck’s life will be extended by with the repair. You know your fleet best, so spending big bucks to fix something when there are other pitfalls probably isn’t going to work out well.
Instead, replacing your vehicle is probably the smartest move, and there are reputable and credible financial firms available to assist you should you be unable to afford the cost of this upfront. You can take a look at our inventory of recently off-lease equipment to see nearly-new trucks that you can organize smart financing deals on to make your money go further.