Used Equipment: Vetting Value
In one instance, he says, he was called in to evaluate a saw from which the shop owner removed the laser.
“If you didn’t know it came with a laser, you’d think it looked pretty good,” he says. “However, that laser would be at least $1,000 to replace. It would have been much easier to sell with the laser.”
Then, there’s the matter of software. CNC saws and production centers usually require proprietary software to run the equipment, and that software (or an authorizing code) may or may not be available to a buyer.
“A lot of times the customer may have the software, but a physical key – typically a USB dongle that identifies the computer is capable of running the software legally – may not be included,” says Rollin’ Stone’s Jackson. “If that key’s not there, it can cost anywhere from $3,000-$10,000 to replace. It’s also something the buyer needs to be aware of.”
Granite Machine’s O’Connor agrees. He tells of one shop where he was hired to go in and dismantle a machine being repossessed. The employees weren’t paid for their last two weeks of work, and he says some took their anger out on the equipment.
“As they left, they were sabotaging the machines, deleting software files and taking the dongles,” he says. “To replace those is a fortune.”
Nor is that the only part of the software saga that can cause problems. While some companies make updates available to the original buyers for a nominal cost, if you’re buying used there’s no guarantee the same relationship will continue.
“Some companies – especially those overseas – will work with you real well, but others will not,” says Stone Equipment’s Kruschke. “I know one Italian company that told a guy they would send him new interface software and everything else he needed, along with instructions on what computer to buy, and it was less then $3,000.
“However, I know of another company where that bill came to $23,000. You have to do your legwork up front.”
It can make a difference in what company you’re dealing with, agrees Salem’s Spears.
“I haven’t had any dealings on the software side, but in terms of parts manuals, electrical schematics and such, for the most part those are e-mailed to us from the Italian vendor at no cost,” he says. “We just get an e-mail address, push a button and send them out.”
It’s important to remember that a warranty doesn’t transfer with any machine, although Park’s Walerius says there are other options out there.
“The warranty stays with the original owner,” he says. “Now, they can buy a service program from us, and that will help cover some of the things with the machine.”
Beyond that, different equipment manufacturers take different approaches to dealing with new owners. If you’re lucky, you’ll find a piece of equipment from a company such as Park or Salem.