Don’t lose sleep at night wondering whether you accurately tracked the cost of your rental equipment.
Instead, ditch the guessing and track equipment efficiently using these 3 simple steps:
In this article...
1. Track Each Piece of Equipment Individually Including Its Daily Cost
Whether you approach tracking manually or choose to use software, your very first step should be to create a record or database of all of your rental equipment.
Each piece should have an identifier, and the daily cost for using that specific piece of equipment should be included in your database or spreadsheet, too.
With this information, you’ll know what equipment you have, what you need, what you’re stockpiling, and the rental fee for all equipment.
Now you can respond to customer inquiries efficiently while setting yourself up for accounting success.
2. Capture All the Information You Need
The challenge of tracking equipment rental becomes more significant the bigger the project.
Without a process in place, it’s more likely that different team members will return different equipment at different times, increasing the likelihood of equipment loss.
This will take a toll on your pocket as you have to replace missing equipment and you won’t be able to accurately cost out the rental fee for that equipment either.
That’s why—before handing out equipment—you should charge a person with the role of keeping track of equipment.
They should record the name of the project the equipment is being used on, the location where the equipment will be used, as well as the name of the person assigned the equipment.
Eventually, they will need to record when it was returned.
Some people may find that using a spreadsheet to keep track of rental equipment works well.
For businesses using a software solution like GoCodes, all the information you need is captured the moment that the barcode is scanned, ensuring this part of equipment rental tracking, is easy.
3. Cost Out the Project for Effective Billing
Once the equipment is returned, you should price out the cost of each individual equipment item, as well as cost out the equipment used by the project.
Both sets of numbers are needed. How you go about reporting is up to you.
Some people prefer to use the calculator method, others prefer to use a spreadsheet.
The GoCodes’ Enterprise Reporting feature enables you to create a report easily at the touch of a button.
Whatever way you build your reports, reporting accuracy is key to ensure that you charge your customers the correct rate and you get paid correctly too.
In essence, accurate reporting ensures everything is fair and square which helps build customer trust and your platinum reputation, too.
