Equipment Hire Agreement (B2B)

You should consider the following:

• How long is the hire period – will this impact your ability to hire the same equipment to other customers?
• What are the hire fees – is this going to be profitable for you? How will you be paid? When will you be paid (and how often)?
• Are there any installation fees? i.e. if your arrangement with the hirer includes an agreement that you will be responsible for setting the equipment up, do you want to charge extra? You should consider this especially if the installation is going to be complicated or take a significant period of time.
• Do you need to take a deposit from the hirer? If so how much? Particularly if the equipment is of high value, if you do not know the hirer etc.
• You may want to consider running a credit check on the person/company hiring the equipment prior to agreeing to hire the equipment to them.
• Consider the site where the equipment is going – does the hirer propose to use the equipment appropriately?
• Has all the equipment been tested to ensure that it is fully operational and most importantly: safe
• Are you adequately insured should the equipment be returned to you damaged, lost or if it is stolen? Also if your employees are setting the equipment up, you may be liable for their negligence if an injury is caused as a result. It is important that you are clear as to your insurance arrangements prior to agreeing to any hire.
• Termination arrangements – if the hire is on a long term basis what arrangements do you want to make should the hirer want to terminate the agreement?

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