New vs. Used Pallet Rack: Why Buy Used Racking

Used Pallet Rack Shelves

Pallet racking is a multi-level storage solution that comprises multiple levels of pallets, positioned in horizontal rows.

Pallet racking is a popular choice for warehouse storage because it’s affordable and makes the most of your space by storing products on multiple levels. However, outfitting your warehouse with a complete pallet racking system represents a significant investment. Sometimes, it can be more cost-efficient to buy used racking over new.

Benefits of Used Racking

If you’re on a budget, there are benefits to choosing used racking rather than buying new pallet racks for your facility. Purchasing used pallet racks can save money and still provide high-quality storage systems. The benefits of a used pallet racking system include:

Significant Cost Savings

The obvious perk of choosing used pallet racking over a brand new warehouse rack is that the cost is significantly lower. If your business is downsizing or if you’re sticking to a tight budget, used pallet racks are an excellent investment.

Long-lasting Value

Buying used pallet racking is a smart choice because there is a substantial market. That means even after you’re done with it, there are going to be significant resale opportunities. Pallet racks are durable and built to last, so even after being bought and sold several times, you can still recover part of your investment if you sell your older racks through a reliable vendor.

Long-term Profitability

Pallet racking requires minimal maintenance once installed and is easy to handle for technicians familiar with the setup. The product’s longevity coupled with no cost to maintain and low investment upfront by buying used results in significant cost savings for your company. They are also compatible with most material handling systems, so there is no need to invest in new picking equipment.

Buy Used Pallet Rack

Benefits of New Racking

For a fair comparison, you must also consider the benefits of opting for brand new pallet racking:

Peace Of Mind

When you purchase directly from a trusted manufacturer, you can feel confident that your pallet racks meet current industry safety standards and have no underlying damages.

Higher Resale Value

As the first owner of a brand new pallet racking system, you’ll be able to charge a good price down the line if you sell the racking to someone else. This resale price will be higher for racking you bought directly from the manufacturer than for racking that you already purchased used.

Factors To Consider When Buying Used

When choosing used storage racking over new, it’s important to examine a few key factors to ensure you’re getting the best value for money.

What Condition Are the Racks In?

Before you agree to purchase used pallet racks, it’s vital to inspect them. While a used rack may have experienced some wear and tear, you need to be sure that any small blemishes on the exterior do not affect its stability.

Be extra vigilant in your inspection. While the manufacturer and resale vendor will have initially inspected the products to meet OSHA guidelines, they have no control over any damage the previous owner inflicted. A damaged pallet rack might have a lower weight capacity than it was initially built to withstand. You should also inspect used racking for corrosion. Rust can weaken the structural integrity of the racking over time and eventually lead to a collapse.

Cost Comparison

The price of the used rack versus the cost of a new pallet racking system is a key consideration. Most people choose used pallet racking because of the lower cost, but the price tag at the time of purchase isn’t the only thing that determines value. You need to think about how many pallet racks your warehouse operational plan requires and how long you expect to use the product for.

If you intend to fill a warehouse with pallet racking as a one-time investment, buying a used pallet rack offers a more attractive price.

Warranty Coverage

Used pallet racking does not come with a warranty. If you miss something in your inspection of the system before purchase, there’s no insurance policy to protect you from the financial loss of having to replace or repair it.

The Takeaway

For warehouse managers, choosing between new and used pallet racking depends on your budget, the amount of racking you need, and whether you care about its resale value. Used pallet racking is a fantastic way to save on your initial investment costs, particularly if you need a large quantity to fill a warehouse.

At Shelving + Rack Systems, Inc., our careful inspection allows you to feel confident when purchasing our used pallet racking systems that there are no dents or structural problems present. To receive a free quote, call us at (800) 589-7225 today.