Shortage of used equipment brings serious competition amongst buyers

There is a serious shortage of quality used equipment in the market today, which is great news for any business looking to offload assets before the end of the financial year. Buyers at the recent Ritchie Bros. auction in Brisbane saw stiff competition across all industries to secure the assets they need to grow their business.

Dale Spedding, Regional Sales Manager for Ritchie Bros. says the shortage in equipment is partly due to the pickup in the economy.

“People are winning contracts, and they’re finding it hard to source equipment from dealers or auctions,” said Mr. Spedding.

“Businesses that would normally be turning fleet over, are holding on to it because of delays in dealer delivery. This is having a great effect on the whole supply chain.”Tony Richardson, owner of Richardson Bros. Transport consigned his entire fleet to Ritchie Bros.’ Brisbane sale in May. After 30 years of carting livestock, Tony said it was time to concentrate on family and their farm.

Mr. Richardson said, “I was really impressed with Richie Bros. throughout the whole process. What they said they would do, they did, and the demand they bought to bare through the marketing of the fleet translated into great results.”

The complete Richardson Bros. dispersal included six prime movers, and eight sets of B-Double stock crates. Richard Lewis, Director of Iron Capital, a heavy equipment leasing company, expects demand on quality used equipment to continue as the end of financial year approaches.

“Budgeting decisions for 2019 are being made now,” said Mr. Lewis. “With companies looking to minimize their taxes through the purchase of assets. If you don’t need to be holding assets, make the most of them while the market is high.”