Buying a forklift is a significant operational decision. While the purchase price is an important consideration, the cheapest forklift may not always be the most cost-effective choice over its working life. When you buy a forklift, it is important to look beyond the initial investment and consider how the equipment will operate and be maintained over time.
This is where total cost of ownership (TCO) becomes important. TCO considers the broader costs associated with owning and operating forklift trucks, including energy, servicing, repairs, tyres, utilisation and downtime.
A forklift that is well matched to your application can deliver greater long-term value than equipment selected on purchase price alone.
What Should You Consider Before You Buy a Forklift?
Before you buy a forklift, assess your application, working environment and operational requirements. The right forklift should have the capacity, performance and configuration needed for the work without being unnecessarily over-specified.
Consider the following factors:
- Load requirements: Determine the typical and maximum loads the forklift will handle, including load dimensions and load centres.
- Lift height: Consider your required lifting height, racking configuration and available overhead clearance.
- Operating environment: Assess whether the forklift will operate indoors, outdoors or across both environments.
- Usage frequency: Consider how many hours the equipment will operate and how intensively it will be used.
- Shift patterns: Single-shift and multi-shift operations can have different equipment and energy requirements.
- Warehouse layout: Aisle widths, floor conditions, turning space and racking can influence the type and size of forklift required.
- Energy source: Compare the requirements of electric, diesel and LPG equipment based on your application.
- Attachments: Side shifters, clamps and other attachments can change the forklift's capacity and configuration.
- Safety requirements: Consider visibility, operator ergonomics, load handling and available safety technologies.
Choosing forklift equipment around the actual application can help avoid unnecessary operating costs and ensure the machine remains useful as your operation develops.
What Makes Up the Total Cost of Owning a Forklift?
The initial forklift price is only one part of the overall cost. A proper TCO assessment looks at what it will take to operate and maintain the machine throughout its useful operating life.
Key ownership costs can include:
Initial purchase
The purchase price is the most visible cost when buying a forklift. However, comparing the upfront price alone can make it difficult to identify the best long-term investment.
Consider the forklift's specification, capacity, energy source, configuration and expected application alongside its purchase price.
Energy or fuel
Energy consumption can have a significant effect on operating costs. The amount and type of energy used will depend on the forklift, workload, operating environment and duty cycle.
For an electric forklift, this can include electricity and battery-related considerations. Internal combustion equipment may require fuel such as diesel or LPG.
Maintenance and servicing
Regular forklift maintenance supports safe and reliable operation and can help identify wear before it develops into more significant problems. Maintenance requirements vary according to forklift type, usage and operating conditions.
Parts and repairs
Wear and unexpected faults can result in additional costs throughout the equipment's working life. Parts availability and access to qualified technicians can therefore be important considerations when choosing a supplier.
Tyres and consumables
Tyres and other consumable components will require attention over time. The rate of wear can depend on factors such as operating surfaces, loads, usage and the working environment.
Operator-related considerations
Operator comfort, visibility, controls and ergonomics can influence how effectively equipment is used. A forklift that is appropriate for the application can support consistent and productive operation.
Downtime
Unplanned downtime can affect warehouse schedules, production and deliveries. The potential impact makes service support and maintenance planning important parts of the ownership equation.
Equipment utilisation
A forklift that spends much of its time idle may represent a different investment proposition from one operating across multiple shifts. Understanding utilisation helps businesses determine how much equipment they actually need and what specification is appropriate.
How Does Forklift Type Affect Long-Term Operating Costs?
Different forklift types have different operating requirements. There is no single forklift type that is the most cost-effective for every application.
Electric forklifts
Electric forklifts can be well suited to indoor applications and operations where low noise and zero tailpipe emissions are important. Their operating costs will depend on factors such as electricity consumption, battery technology, charging arrangements and utilisation.
Battery care and maintenance should also form part of the ownership assessment.
Internal combustion forklifts
Diesel and LPG forklifts can be suitable for demanding applications, including environments where outdoor operation, heavy loads or extended operating periods are required.
Their ownership costs can include fuel consumption, engine servicing, tyres and other maintenance requirements. Linde's engine forklift range includes equipment designed for applications across industries such as logistics, manufacturing and construction.
Warehouse forklifts
Warehouse forklifts are designed around the requirements of indoor material handling. Depending on the application, businesses may consider equipment such as electric counterbalance forklifts, pallet stackers or other warehouse trucks.
Factors such as aisle width, lift height, load type, operating hours and available charging infrastructure should all be considered before selecting equipment.
How Should You Compare a New and Used Forklift?
Both new and used forklifts can have a place in a business's material handling strategy. The right choice depends on your requirements, budget and expectations for the equipment.
When comparing a new forklift with a used forklift, consider:
- Purchase price
- Equipment age
- Usage and operating history
- Overall condition
- Maintenance and service records
- Remaining service life
- Warranty arrangements
- Availability of parts and technical support
- Expected workload and utilisation
A used forklift with a suitable history and condition may offer value where the application does not require new equipment. A new forklift may be more appropriate where you require a particular specification, technology or configuration for ongoing operations.
Linde offers new forklifts, used forklifts and other material handling solutions across Australia.
How Does Forklift Utilisation Affect Its Long-Term Value?
How often a forklift is used can have a major bearing on its long-term value. A machine operating for several shifts each day will experience different demands from one used occasionally.
When assessing utilisation, look at:
- Operating hours: How many hours will each forklift operate?
- Shift patterns: Will the equipment operate across one shift or multiple shifts?
- Workload: What loads and tasks will the machine handle?
- Equipment utilisation: Is each forklift being used efficiently throughout the day?
- Fleet requirements: How many forklifts are actually required to meet operational demand?
The goal is to match the forklift to the workload. An under-specified machine may struggle with demanding applications, while an unnecessarily high-capacity machine can represent an inefficient investment.
For a larger forklift fleet, reviewing utilisation can also help identify opportunities to balance equipment across different applications.
How Important Are Maintenance and Servicing When Buying a Forklift?
Maintenance should be considered before you purchase a forklift, not after. A planned maintenance approach can help support equipment condition, workplace safety and reliable operation.
Linde recommends tailoring maintenance to factors such as forklift type, duty cycle and actual usage.
Important considerations include:
- Preventative maintenance: Address wear and potential faults before they become more significant issues.
- Scheduled servicing: Follow appropriate service schedules based on the equipment and its operating conditions.
- Pre-start checks: Operators should complete required checks before using the forklift.
- Parts and repairs: Consider the availability of suitable replacement parts and qualified technicians.
- Service support: Assess the level of technical and breakdown support available from your supplier.
- Equipment records: Keep accurate records of servicing, repairs and inspections.
Linde provides scheduled maintenance, on-site repairs, breakdown support and access to genuine spare parts through its Australian service network.
Good maintenance does not eliminate the possibility of breakdowns, but it can help businesses manage equipment condition and identify potential issues earlier.
How Can You Assess the Long-Term Value of a Forklift?
A straightforward way to assess a forklift purchase is to look at the complete ownership picture rather than focusing on the initial forklift cost.
Ask the following questions:
- Is the forklift suitable for the application? Check capacity, lift height, attachments, operating environment and other specifications.
- What will it cost to operate? Consider energy or fuel consumption and other recurring operating costs.
- What are its maintenance requirements? Understand scheduled servicing, consumables and potential repair requirements.
- How will it be utilised? Assess operating hours, shifts and workload.
- What service life can reasonably be expected? Consider the equipment type, operating conditions, maintenance programme and workload rather than relying on a universal lifespan figure.
- What support is available? Look at servicing, parts availability, technical assistance and breakdown support.
- Will operational requirements change? Consider whether your warehouse, fleet or workload is likely to change in the future.
- What happens when the equipment reaches the end of its useful life? Replacement timing, resale potential and future equipment requirements can all form part of a longer-term purchasing decision.
The right forklift is not necessarily the one with the lowest purchase price. It is the machine that provides appropriate performance, reliability and value throughout its useful operating life.
Is Buying a Forklift the Right Option for Your Business?
Buying can make sense when a forklift is expected to form part of your operation for the long term. It may be worth considering when you have:
- Long-term, consistent equipment requirements
- High and predictable utilisation
- Dedicated applications
- Ongoing warehouse, manufacturing or logistics operations
Ownership gives businesses control over their equipment and can make sense when demand is stable enough to justify the investment.
However, purchasing is not the only option. If equipment requirements are temporary, seasonal or likely to change, forklift hire may be worth considering instead. The right acquisition approach depends on your operational requirements, expected utilisation and financial priorities.
How Can Linde Help You Choose the Right Forklift?
At Linde Material Handling Australia, we understand that choosing forklift equipment involves more than comparing purchase prices. Our range includes new and used forklifts designed for different applications, along with servicing, spare parts and support to help businesses manage their material handling requirements.
Explore the Linde forklift range or contact our team to discuss your application and equipment requirements.
What Are the Most Common Questions About Buying a Forklift?
How much does it cost to buy a forklift?
Forklift prices vary depending on the type of equipment, capacity, specifications, energy source and configuration. Rather than focusing solely on the initial forklift price, businesses should consider the expected operating, maintenance and support costs over the equipment's useful life.
Should I buy a new or used forklift?
The right choice depends on your budget and application. Compare the purchase price with the forklift's age, condition, usage history, maintenance records, expected service life, warranty and available support.
A used forklift may suit businesses looking for a particular level of investment, while a new forklift may be appropriate for applications requiring a specific configuration or the latest equipment features.
Is an electric forklift worth buying?
An electric forklift can be a suitable choice for many applications, particularly indoor operations. However, its suitability depends on factors including the operating environment, workload, shift patterns, charging arrangements and energy requirements.
The best approach is to assess the complete application rather than assuming an electric forklift will be the right choice for every operation.
How long does a forklift last?
There is no universal forklift lifespan. Service life depends on factors including equipment type, operating hours, workload, operating conditions and maintenance.
Regular servicing and appropriate use can help support equipment condition, but businesses should assess service life based on the specific machine and application.
What should I check before buying a forklift?
Before you buy a forklift, assess:
- Load capacity and load centre
- Required lift height
- Operating environment
- Operating hours and shift patterns
- Warehouse layout and aisle widths
- Energy source
- Attachments and configuration
- Maintenance requirements
- Service and parts support
- Future operational requirements
Taking a TCO approach can help you move beyond the initial purchase price and choose forklift equipment that is better aligned with the demands of your operation.
Ready to find the right forklift for your operation? Explore Linde’s forklift and warehouse truck range at the link below.