SUMMER 2019

150
THE DISTRIBUTOR’S LINK
ROBERT FOOTLIK HOW TO BUY SMART ON USED WAREHOUSE EQUIPMENT from page 58
Know What You Are Buying
If you are looking at a forklift, make sure its
specifications suit your loads. On most models, there’s
only a minor counterweight difference between 2,500 lb
and 3,000 lb capacity trucks. But with more than 3,000
lb lift capacity, what appeared to be a nimble solution
may prove to be a clumsy beast.
Similarly, even simple steel shelving can present
pitfalls. A capacity of 400 lbs per shelf does not guarantee
that it will support 400 lbs on the shelf. Capacity ratings
are for a uniformly distributed load added slowly and
carefully... If one fifty pound carton of fasteners is dropped
in the middle, the shelf will probably fail. A shelf rated at
400 pounds and loaded with only 100 lbs of materials will
collapse if someone steps on it in the middle of the shelf.
Always check capacities, manufacturer’s specifications,
heights, widths, and depths before you make that big
purchase. It is very embarrassing to come in one morning
and discover the bargain shelves have failed structurally,
leaving the entire warehouse a tangled mess of collapsed
shelves and jumbled goods.
Equipment Should Fit Your Operation; Never
Compromise Your Operation To Fit The
Equipment
A forklift purchased to put goods on a mezzanine
will not be a bargain if it’s 6 in. too short. Similarly, a
48 in. deep pallet rack is not recommended for use with
the Industry standard 48 in. pallets unless pallet support
bars are securely in place under the loads.
One company found a bargain on a used walkie
electric pallet mover, but forgot to check the load capacity
of the floor. Now they are left with a “white elephant” or
a $250,000 bill to reinforce the floor.
Know How You Are Buying The Equipment
Is it being purchased “as is?” Must it be taken
down, stacked, wrapped and shipped? Who will pay for
the transportation? When does it have to come out of the
building? Who will dismantle it and how will it be done?
There have been many heroic efforts to remove
conveyors, pallet racks and shelving from buildings
before the wreckers arrive. It’s something to laugh about
over a beer at a later date, but its absolute hell when
you are going through it. Take down a section or take
a portion apart to find out exactly what’s involved in
dismantling. Pallet racks that at first glance are clipped
or bolted together may appear to be simple to take apart.
Unfortunately, what you don’t know is that someone
welded all the bolt heads or beams in place. My late
Father, several engineers, an astute used equipment
dealer and I once learned this the hard way.
Know Exactly What You Are Going To Pay
This rule isn’t often followed, but it should be. You
need to know precisely what you are paying, including all
the costs initial price, taxes, fees for the auctioneer or
lawyers, labor, freight, patching what’s left behind, etc.
A rule of thumb is that if the used equipment advertised
cost comes to within 50% of the purchase price of all new
equipment, then the bargain is not much of a bargain,
especially if there will be “extras” and aggravation..
Auctioneers and professional dealers know this only
too well. The purchase price might be ten cents on the
retail dollar, but the price delivered and installed could
be ninety cents on the dollar. That 10% savings will
not adequately compensate you for the headaches of
acquiring it or the compromises of living with it. Make
sure to compare apples to apples, new against used, so
that you know exactly where you stand financially.
Be Sure That What You See Is What You Get
Make sure the equipment you’ve evaluated will be
the equipment that’s delivered. Check the serial numbers
or paint codes, or add your own identifying data and paint
marks to be sure that what you saw is what you get.
“Bait and switch” is especially prevalent on the
Internet. That shiny, clean equipment in the foreground
has been specially cleaned for the photo. It’s the
corroded, filthy materials with glued on labels in the
background that will arrive on your doorstep. This too I
learned the hard way.
CONTINUED ON PAGE 190