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Five Problems To Be Considered In Concrete Mixing Plant
- Mar 07, 2017 -

In recent years, with the increase in crude oil prices and labor costs, rental costs rise, coupled with the industry "price war", a lot of business leasing companies there are different degrees of decline, profitability was significantly decreased compared to the same period last year. Construction machinery rental encountered "cold", some practitioners began to re-examine the development of the domestic construction machinery leasing industry environment. Insiders believe that the China construction machinery leasing industry cannot always have blindly optimistic attitude, but not the Europe and other developed countries mature industry standards as used in the present China theory wholly intact of the leasing industry, after all, the domestic market environment and the developed countries have obvious differences. Market practice tells us that in the leasing industry behind the bustling, there are at least five issues worth pondering.

First, the concrete mixing station credit system, the relevant laws and regulations is not perfect is the main obstacle to the healthy development of the leasing industry. Although this is a problem but it is a commonplace talk of an old scholar, the current domestic leasing industry "basic national conditions", the short term is still not resolved. Therefore, to carry out construction machinery leasing business must first have a clear understanding of this, all the leasing business in this environment to consider, the establishment of early warning mechanisms to prevent risks, do the necessary psychological preparation.

"Rental, rent is difficult" is the true portrayal of the current domestic leasing business. In China's current legal system, the economic disputes caused by the recovery of lease payments are treated as ordinary civil cases. In addition, the current domestic credit system is not perfect, because the enterprise cost of breach of trust is very low, some construction units or individuals deliberately rent arrears, even malicious misappropriation of property through leasing companies transfer equipment. Once this happens, leasing companies will be dragged into a legal battle lasting, spend a lot of manpower and resources, even if the final win will face legal judgment difficult to implement, difficult to recoup their losses as can be imagined.

Different from the developed countries, the developed countries have relatively perfect leasing regulations. In the United States, if the lessee is in arrears with the rent, the lessor may investigate the criminal liability of the lessee in accordance with the law. Coupled with the improvement of credit supervision system, leasing companies are very valued corporate credit rating, the challenge of social integrity will pay a very heavy price, so the rental rate of equipment is very low. According to reports, the world's largest leasing company - Hertz Equipment Rental Co's bad debt rate is only about 0.5%, and the loss of equipment rarely occurs.

Secondly, there is a big gap between China's concrete mixing plant and the developed countries. At present, the lease subject of China's complex, numerous, according to incomplete statistics, more than 90% of China's leasing companies are small and medium enterprises, in addition, has only a few sets of equipment "spread" folk individual rental quantity wins, industry overall strength is relatively weak, weak anti risk ability, lack of benchmarking lease enterprise powerful. The market operation often lack of coordination, no corresponding industry standards and market access standards, on the whole in a state of disorderly competition. As the whole industry is still in the low level of competition, the homogenization of serious business, price competition is the main means to compete for market share. The whole industry of small enterprises and individual rental lease by a greater impact, in recent years, equipment rental prices and profit margins have been declining, many rental companies are busy living, the development of less investment, the sound development of the industry is restricted.

Third, business awareness is not enough, relatively simple product type. Equipment is the carrier of leasing business, but only the equipment is only the lower stage of the development of the leasing industry. At present, the domestic construction machinery leasing business are still staying in the equipment rental stage narrow, a lot of leasing enterprises due to its limited strength, the lack of facilities for customers to choose products also have great limitations. In the rental service, most rental companies can only provide equipment maintenance services, can not provide comprehensive equipment solutions for customers, especially for some temporary requirements of customers, leasing companies often unresponsive, unwilling or unable to solve. The leasing company's products provide no significant features, lack of core competitiveness, the entire rental industry products are generally in the simple equipment rental and rental collection stage.

From Europe and other developed countries of the characteristics of the concrete mixing station business, leasing companies in addition to providing direct equipment, able to provide the user from business consulting, project planning, equipment selection and maintenance services to customers return service. Provide a set of tailor-made solutions, is the core business of high-end leasing business in Europe and the United states. Improve the equipment to provide programs to attract a large number of construction business users, leasing business enterprise itself higher value-added industries, leasing companies can get a huge profit. In addition, large foreign leasing companies because of its powerful brand and product range, equipment has a wide variety of customers, a great choice, especially for the temporary needs of customers can give the best response in a very short time.

Fourth, the lease agreement is not detailed, equipment delivery is not rigorous. Affected by the domestic legal system construction process, the majority of domestic leasing enterprises are indifferent to legal consciousness, which is reflected in the signing of the lease agreement。