With the upswing in the U.S. economy, the whole manufacturing industry is busy. Unfortunately, the downside of that is that lead times on componentry is getting stretched. That’s why now is the time to quit putting off that big water well drilling equipment purchase and take the plunge.
Purchasing new drilling equipment is a big decision. Businesses work hard to take advantage of tax breaks to soften the cost. We’ve talked before about making your equipment purchase in the last quarter offering the best financial benefits, but that’s no longer applicable. If you want to be able to get the full tax credit on your drilling equipment purchase, you need to take delivery of it before the end of the calendar year. That means, if you wait until the last quarter, long lead times for parts could throw a wrench in that strategy.
There are several factors that lengthen lead times, and most of them are good problems to have. A strengthening economy, an increased confidence in stocking shelves, and manufacturers staying busy to meet demand, are beneficial for the industry. But catching up to the tremendous 3.3% first quarter growth takes time, and that affects water well drill manufacturers like SIMCO, too.
If you’ve been thinking about new drilling equipment, there’s no reason to put it off any longer. Hydraulics, engine parts, and even truck components have had recent lead times increases of several months. If you’re looking to take advantage of tax breaks, or your own business growth demands more powerful and efficient water well drilling equipment, now is the time to act.
Placing an order now only requires a 25% deposit to get production of your SIMCO rig started.