The state of the global economy has hit everywhere.
Small machine shops are absolutely no exception.
They, too, are facing an increasing number of challenges.
Increasing competition has led to the downgrading of the pricing structure.
The lending companies are also tightening rules and regulations and are generally lending less money.
So this makes things even harder for small machine shops trying to finance their capital equipment.
And on top all this, the recession has created excess machining capability in large facilities.
This results in less work being outsourced to smaller machine shops as most of the work is done within the facilities.
So the smaller shops that depended on this work are now mostly out of work and hence their profits are falling dramatically.
Thus the funds available for buying capital equipment for smaller shops are becoming smaller and smaller.
Faced with such a problem, there are only a few solutions.
One of them is to buy used machines to avoid the financial pressure.
New machines are often far out of reach for these fighting to stay afloat companies.
There are various places where one you buy used machines.
There are several online stores; auction houses and plant liquidators that sell such used machinery.
Other than the obvious financial advantage, buying used machines also has another advantage.
Many of the places selling used machines also offer tooling packages.
These packages have everything that a typical buyer needs in one package and they are usually offered at a lower cost.
The places selling them also offer tooling package financing.
See what's available to you locally and online for the best deals.
And keep up with the times - and economy.