Selling

The process required to process the sale of rental equipment depends on the methods used.  Each method includes a set of corresponding  Classifications.  The first pair are depreciated and the 2nd set is managed as inventory.   The recommended method to manage rental items is the asset method:

1. Asset method that includes depreciation:  

1. Non-inventory Serialized Items:  this classification should be used for most equipment such as vehicles, power equipment, and other serialized items. Any rental equipment that has a serial number, VIN number, or other number attached to the item should be classified as Non-inventory Serialized Items. This classification is the most common classification used for rental equipment.

2. No Count:  This classification should only be used for depreciable assets without a distinct number of items available. For example, a company that has a large number of chains, scaffolding, or other supplies that are not limited to a specific number of rentals would use this classification.

2. Inventory method that allows the sales person to sell or rent an item.  This method is not common for new product since a rental item is normally discounted from the new item.  

1. Serialized Item: This classification may be used for used equipment sales with some rentals until the unit is sold.  This classification requires a serial or VIN number.  

2. Track Count:  This classification only be used for inventory items that are not identified individually, including used attachments, scaffolding or other inventory items that are not identified individually.  

Asset Method

When rental equipment is sold, it should be processed and disposed of using the same steps as any depreciable asset. This would include any equipment that was added to the Depreciable Asset list described in the Purchasing Rental Equipment section.

Review the Depreciation > Disposing Assets > Selling Assets within a Sales Invoice within the main documentation delivered with the EBMS software.

Inventory Method

Any rental equipment sold that was not depreciated should be processed using the standard steps of selling inventory. Review [Sales] Invoices > Entering a Sales Invoice for instructions to sell inventory items including rental items.