Question
What are the hire-purchase options of equipments available to a contractor? On what conditions should equipment be purchased?
Answer :
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Hire-purchase is a popular option for contractors when acquiring equipment for construction projects, as it allows them to use the equipment without the immediate financial burden of a full purchase. The hire-purchase model typically involves a contractor paying an initial deposit followed by a series of periodic installments until the full value of the equipment is paid off. This option is especially useful when a contractor needs equipment for a specific project or limited time, without committing to outright ownership. There are several types of hire-purchase options available to contractors, depending on the terms and conditions set by the supplier or financier. One of the most common options is the traditional hire-purchase agreement, where the contractor agrees to rent the equipment
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