Buying equipment?
How to decide between new and used

With technology changing at a dramatic pace, entrepreneurs may assume that buying the newest products available is the best option. But that's not always the case. It's important to assess your needs first in order to decide whether new, used or refurbished equipment is the best choice. For example, will the purchase you are contemplating go to help you deal with a temporary increase in demand? Or are you facing longer-term needs?

New equipment
The most obvious benefit of buying new equipment or technology is that you're keeping pace with technological change. New equipment sharpens your competitive edge and enables you to run a more productive company. New purchases typically come with the best warranty and customer-service plans. You're less likely to experience downtime or repairs, and if you do, you have the reassurance of a guarantee.
But buying new equipment is also your costliest option. Before you make that important investment, be sure you carefully evaluate your short-term and long-term needs, including the need for financing. You may also have to budget over and above the initial estimate, including training and downtime.

Used equipment
This is the least expensive option and will cost you a small percentage of the original price. Typically, you scan the marketplace for the lowest cost, and then the equipment or technology is shipped to you without a rebuild, warranty or support of any kind.
If you're buying used equipment, keep in mind that you will have to convince your financial institution that it's a viable purchase and will improve your productivity.

Refurbished or remanufactured
Refurbished or remanufactured equipment is often a good alternative, particularly for businesses that are just getting started or are looking to expand. This equipment is usually fully disassembled, repaired, upgraded and reassembled. Not only is the cost lower than with new equipment, but warranty and customer-service support may be included. Another advantage of fully refurbished or remanufactured equipment is its increased reliability compared to used equipment. This type of purchase allows you to keep pace with technological change without investing top dollars.
If you choose this option, make sure you know your expectations for the performance of the equipment. For example, if you're looking at your production requirements, keep in mind that there may be some risk—such as downtime—involved. You need to know how much risk you're willing to take. While a lower price may be attractive, downtime isn't.
When you buy refurbished or remanufactured equipment, double-check that you're not buying brokered or used machinery without servicing or warranties. Some dealers may offer what is called "minimal remanufacture," meaning the equipment has simply been cleaned and repaired. This may not include a warranty.

Safety considerations
Whether you buy new, used or refurbished, it's crucial that your equipment or technology meet safety standards, and that you conduct due diligence. In manufacturing, for example, you would look at welding tools, production lines, furnaces, machine tools, power presses and lifting equipment to ensure that they meet the safety requirements of your industry. In building and construction, you would check that power tools, ladders, hammers, drills and knives comply with noise, electrical and other safety regulations. Even in an office environment, your computer and office equipment should be designed ergonomically to prevent personal injury to those using it.

Source: https://www.bdc.ca/en/articles-tools/money-finance/get-financing/pages/buying-equipment-know-options.aspx