EOFY is the perfect moment for small business owners to take stock of your gear. Should you snap up that scissor lift or boom lift you keep hiring, or stay nimble and keep renting? It’s not a one-size-fits-all answer and the wrong call can drain cash, stall projects and cost you tax opportunities.

Here’s a practical look at the EOFY equipment finance decision QLD builders and tradespeople face: when to hire, when to buy, and how to make the most of it.

Upfront Costs vs Ongoing Hire Costs: The Basics (But Don’t Overthink!)

We all know the obvious: buying a machine means a big upfront spend, while hiring only costs you a rental fee when you need it. But it’s not just a simple “day rate versus buy price” equation. Think about:

• Cash flow: Buying outright (or financing) ties up cash or adds a monthly loan repayment. Hiring keeps cash in your bank for wages, materials, or that next big job.
• Long-term value: If you’re using a piece of gear every week, buying might save you money in the long run. But don’t forget that long-term hire rates are not just the day rate x 365 and can be surprisingly cost effective.

EOFY Tax Tip: For EOFY, remember the $20,000 instant asset write-off applies for purchases delivered and ready to use by June 30 to claim in that tax year, so if you’re buying a new or second-hand machine below that price, you can write off the whole cost this year. For anything above $20k, you’ll be depreciating it by 15% in the first year, then 30% each following year under the small-business pool.

Flexibility vs Control: What’s More Important?

Hiring is about flexibility – you get what you need, when you need it, without the big hit to your cash flow. It’s ideal if your projects vary a lot or if you’re not sure how busy the next 6 months will be.

Buying is about control – you’ve got the gear on hand, ready to go. If you’re working on a remote site, somewhere with strict project schedules, or outside of regular hours, owning can eliminate availability panic and delivery slot headaches. But don’t forget: you’re also on the hook if it breaks down or needs servicing, and you’ll have to plan and pay for moving it between sites.

Hidden Costs of Owning

One thing that’s easy to forget in the hire vs buy equipment debate is how much work it takes to own a machine.

When you buy, you’re on the hook for:

• Servicing and maintenance: Most EWP and plant access machines need a service every 90 days. Reliable call-out technicians aren’t cheap and downtime hurts revenue.
• Insurance: It’s your asset, so you need to insure it against theft, liability and damage each year.
• Transport: If your jobs move around Brisbane or South East QLD a lot, transporting heavy gear can cost hundreds of dollars each trip. It’s not just about having the right truck, the driver needs the proper licence, and you’ll need someone qualified to load/unload the class of equipment you are transporting.

• Storage and paperwork: You’ll need somewhere secure to keep the gear. And you’ll need to keep up with strict inspection schedules, safety inductions, and test and tag records.

These hidden costs can tip the scales back in favour of hiring, especially if you’re not using the machine all year round.

Compliance and Safety

In construction, safety is non-negotiable. Machines need to be tagged, tested, and compliant with each site’s specific rules. If your projects move around or work with different standards, that often means different compliance standards to keep up with or lengthy machine induction processes.

The Resale Factor

It’s true that you can sell your second-hand gear on platforms like Machines4U and Facebook Marketplace. But keep in mind:

• You’re tying up cash until you sell.

• You carry market-value risk.
• Listing, haggling and paperwork take time you’d rather spend on site.

Treat resale like a safety net, not guaranteed profit.

When Hiring Makes Sense (and When Buying Might Be Better)

Here’s a quick snapshot of when hiring or buying can work best:

 

Real-World Example: Brisbane Builder Dave

Dave, a Rocklea-based builder, landed a 12-week multi-warehouse fitout job. He needed a 19-foot scissor lift to get the work done, and needed to work across 2 sites in Brendale and Acacia Ridge. Buying a used unit for $18,000 fitted the $20k write-off rule, but three red flags popped up:

1. Transport: Moving the lift from supplier yard to site, then back, plus future moves, added ≈$1,200 in truck and driver fees.
2. Storage: After the fit-out, the lift would sit idle, and rack rent alone was $50/week.
3. Maintenance: The 90-day service window would fall mid-project, risking downtime.

Dave chose a discounted 3-month hire from AusDirect Hire. The package included transport, scheduled servicing and compliance paperwork. Total hire spend was under a third of the buy price, fully deductible this year, and Dave kept $18 k liquid for payroll and materials. When the job finished, the lift was picked up the next morning—no idle asset, no extra transport bill.

EOFY Reminders for Tax and Cash Flow

If you’re thinking about buying and you want to claim the $20k instant asset write-off. Remember:

• The asset must be delivered and in use by EOFY in the year you wish to claim.
• GST input credits are usually claimable up front (even on 30-day terms), but you’ll want to check with your accountant if you’re on cash or accrual GST accounting.

Let’s Get It Sorted Before EOFY!

The best decision isn’t always the cheapest sticker price—it’s the one that keeps jobs moving, teams paid and the ATO happy. Still on the fence? AusDirect Hire can run the numbers with you in minutes.

• Need a one-day lift or a six-month hire? We’ll sharpen the pencil.
• Thinking of buying? Talk to us about reliable ex-hire units under $20k or our new-equipment deals.

Don’t miss our EOFY offer: Buy an LGMG 19ft electric scissor lift before June 30 and get a $1,300 discount!

Call our team today—and make EOFY work for you, not against you.

 

Written by Jordyn Toohill, Manager of Finance and Strategic Projects at AusDirect Hire Group. With a background in financial planning for small and medium business owners and experience in logistics and transport consulting, Jordyn helps clients make strategic decisions that support any project’s financial success and efficiency.