Lease Vs. Purchase Analysis

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Lease vs Purchase
Lease vs purchase analysis

1. A Strategic Comparison for Modern Fleet Management

Executive Summary: When acquiring refuse and recycling trucks with specialized bodies, fleets face a critical decision between leasing and ownership. Overcome budget constraints with predictable, fixed annual costs.

Key Challenge: The complexity of modern refuse vehicles—with sophisticated hydraulics, electrical systems, emission controls, and computer-managed components—makes this decision particularly significant.
This presentation examines both options to help you make an informed decision for your fleet.

2. The Complexity of Modern Refuse Vehicles
Today’s refuse and recycling trucks represent some of the most technologically advanced commercial vehicles on the road.

Chassis Systems:
• Advanced emission controls
• Computer-managed engines
• Sophisticated diagnostics
• Complex electrical systems

Body Systems:
• Hydraulic controls
• Integrated electronics
• Computerized monitoring
• Specialized sensors

Result: Vehicles requiring computer-trained technicians and specialized diagnostic equipment.

3. Ownership Challenges

The Two-Warranty Problem: Traditional ownership involves navigating a fragmented warranty structure that creates significant operational challenges.

Chassis Warranty: OEM Dealer First year only

Body Warranty: Body Manufacturer Separate dealer

The Problem: Chassis dealers blame body issues. Body dealers point to chassis problems. You’re caught in the middle with accusations of improper maintenance becoming the convenient explanation when neither party wants responsibility.

4. Technical Expertise & Maintenance Burden
Technical Expertise Requirement, Fleet operations must either:

Develop Internal Expertise:
• Hire specialized technicians
• Invest in diagnostic equipment
• Continuous training costs

Rely on External Providers:
• Multiple service relationships
• Limited accountability
• Coordination challenges

Maintenance Burden: Owners bear full responsibility for understanding and executing complex maintenance protocols. Even minor deviations from manufacturer specifications can void warranties and expose the fleet to major repair costs.

5. Three-Year Ownership Timeline
YEAR 1 – The Honeymoon Period, Manufacturer warranties provide some protection

However:
• Navigating the two-warranty system creates friction
• Chassis and body dealers point fingers at each other
• Your trucks sit idle during warranty disputes
• Downtime impacts service delivery and revenue

Even in the best year of ownership, warranty fragmentation creates operational challenges and unexpected downtime.

YEAR 2- Reality Sets In, Warranty coverage expires or becomes severely limited

The fleet now bears increasing costs:
• Expensive emission system components begin to fail
• Sensors and computer modules require replacement
• Each failure requires specialized diagnostic expertise
• Repair bills hit your budget unexpectedly

Unpredictable repair expenses begin to impact financial planning.

YEAR 3, Maintenance and repair costs accelerate significantly

Critical Decisions Required: Invest in major repairs on vehicles approaching replacement age, or accept reduced reliability?

Residual Value Concerns: Technology becomes outdated, wear accumulates, resale value drops

The Difficult Choice: Continue pouring money into aging equipment OR navigate the challenges of disposing used refuse vehicles with uncertain maintenance history

Maximum cost uncertainty at the worst possible time.

6. Beyond Year Three – The Ongoing Ownership Dilemma

After the three-year mark, fleet managers face increasingly difficult decisions:

Option A: Keep Running
• Escalating maintenance costs
• Increasing reliability concerns
• Growing downtime issues
• Technology obsolescence
• Regulatory compliance risks

Option B: Dispose
• Finding buyers for used equipment
• Uncertain maintenance history impact
• Obsolete technology reduces value
• Time and effort to sell
• Need immediate replacement capital

Neither option is attractive. Both create financial strain and operational headaches.

7. The RDK Lease Solution – A Better Approach

RDK Three-Year Lease Program

A comprehensive solution that addresses every ownership pain point:
• Single Accountability – One party responsible for complete vehicle
• Training and Technical Support – Specialized training for your personnel and on-going technical support
• Fleet Partnership – Support beyond just leased units
• Financial Predictability – Fixed payments and predictable maintenance costs

7-a. Single Accountability

One Responsible Party for Everything – Whether the issue originates in the chassis, body, hydraulics, electrical system, or emissions controls—RDK handles it.
• No warranty blame game, No finger-pointing between chassis and body dealer
• Rapid problem resolution, Focus on getting trucks back in service, not determining fault
• Complete vehicle expertise, One team understands the entire integrated system

This eliminates the warranty blame game entirely.

7-b. Training and Technical Support

Building Your Fleet’s Competence – RDK provides specialized training and technical resources that transform your team’s capabilities.

Training Programs:
• Specialized operator training for complex systems
• Basic maintenance procedures
• Preventive maintenance best practices
• Operator-induced issue prevention

Technical Resources:
• Sophisticated computer components supplied
• Advanced diagnostic sensors provided
• Expert technical support access
• Ongoing knowledge transfer

Knowledge transfer that builds internal capability while preventing costly mistakes.

7-c. Fleet-Wide Partnership

Support Beyond Just Leased Units – RDK’s partnership extends across your entire refuse fleet, not just the vehicles under lease.

Maintenance Support for All Fleet Vehicles – Upon request, RDK provides maintenance guidance and support for your entire fleet, creating consistency in practices and standards across all vehicles.

Preferred Fleet Pricing – Partnership-level pricing at preferred fleet rates applies throughout your relationship—not just on the initial lease but on all future needs.

Flexible Fleet Expansion – Discounted pricing and preference on additional units for short-term needs, seasonal demands, or fleet growth.

A true partnership that grows with your business needs.

7-d. Financial Predictability
Fixed Costs, No Surprises – Lease payments remain fixed throughout the term, making budgeting straightforward and reliable.

Ownership Cost Reality:
• Year 1: Predictable (warranty coverage)
• Year 2: Rising & unpredictable costs
• Year 3: Accelerating expenses
• Beyond Year 3: Maximum uncertainty
• PLUS: Depreciation concerns
• PLUS: Disposal challenges

RDK Lease Cost Reality:
• Year 1: Fixed monthly payment
• Year 2: Fixed monthly payment
• Year 3: Fixed monthly payment
• End of Term: Simple transition to new equipment
• NO surprise repair bills
• NO disposal headaches

8. Technology & Regulatory Advantages

Stay Current, Stay Compliant – The refuse industry faces rapidly evolving technology and tightening regulations. Your fleet strategy must account for both.

Technology Obsolescence Refuse vehicle technology evolves rapidly, particularly in:
• Emission control systems
• Fuel efficiency improvements
• Safety features and monitoring
• Diagnostic capabilities
• Operational efficiency systems

3-year lease cycles ensure you operate current technology

Regulatory Compliance Requirements continue tightening:
• Emission standards evolving
• Safety regulations expanding
• Environmental compliance
• Municipal contract requirements
• State and federal mandates

Leasing provides flexibility to adapt without being trapped in non-compliant assets Ownership locks capital into depreciating, potentially obsolete assets.

9. Side-by-Side Comparison

Factor

Ownership Reality

RDK Lease Reality

  • Warranty Structure
  • Year 1 Costs
  • Year 2-3 Costs
  • Technical Support
  • Fleet Support
  • Technology
  • End of Term
  • Capital Required
  • Pricing on Additional Units
  • Split between chassis & body dealers finger pointing
  • Warranty provides some coverage, but coordination issues
  • Escalating, unpredictable repair expenses
  • Must develop internally or manage multiple vendors
  • Limited to owned vehicles only
  • Locked into aging technology
  • Disposal challenges, uncertain residual value
  • Significant upfront investment
  • Standard retail pricing
  • Warranty Structure: Single point of accountability
  • Fixed payment, full coverage
  • Same fixed payment, all repairs covered
  • Training provided, components supplied
  • Available for entire fleet
  • New equipment every 3 years
  • Simple transition to new fleet
  • Capital preserved for operations
  • Preferred fleet pricing throughout partnership

10. The Real Question

It’s Not Simply Lease vs. Purchase
The question is whether to shoulder the full complexity and risk of owning sophisticated refuse vehicles…
OR
…partner with an organization that assumes that responsibility while providing expertise, support, and pricing advantages that extend across your entire fleet.

Why RDK? – The Complete Solution

We Eliminate Pain Points:
• Warranty fragmentation
• Technical complexity
• Maintenance burden
• Financial unpredictability
• Technology obsolescence
• Disposal challenges

We Provide Value:
• Single-source accountability
• Complete warranty coverage
• Technical training & support
• Fleet-wide partnership
• Preferred pricing structure
• Operational focus

The RDK Difference: We don’t just lease trucks. We transform vehicle acquisition from a capital-intensive ownership challenge into a managed operational expense with predictable costs and superior support.

12. Next Steps
Ready to Discuss Your Fleet Needs? Let’s explore how RDK’s lease program can work for your operation.
Contact RDK Today – Let’s build a fleet solution that works for you.

What happened to Mack garbage trucks?

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Posted in Garbage Trucks

You remember when MACK was the Premiere name in the garbage truck industry? No one I mean no one could compete with MACK. They were the cream of the crop! What happened?? Nowadays they aren’t as reliable.. Is it their fault? Have they lost their touch?

NO! Here’s Why

MACK Garbage Trucks are changing as technology and emission standards change. CNG has caused several manufacturers to change the way they build their trucks. This has affected everyone in the industry and not one company is being singled out. We at RDK bring news to everyone who wishes to read about the good, the bad, and the ugly. The MACK garbage trucks have experienced a set back from their original reliability but they are in no way losing their MOJO. They have quality built trucks but because of the new sensors, temperature issues, and storing of CNG, many of the mack garbage trucks have gone a little haywire. We have seen them improve gradually over the years and believe they are perfecting the mack garbage trucks to work perfect but that day has not yet come.

WHEN AND WHAT IS THAT

VOLVO has seen the problems MACK garbage trucks have faced and decided to build a garbage truck that runs on DME (dimethyl ether). It is a compound the burns cleaner and allow garbage trucks to run longer. They are also safer for the driver and the environment. The new energy source is not yet ramped up in the United States yet but we will keep you informed when the switch is making some serious headway. The Mack garbage trucks are still some of our favorites. In fact I have the famous Mack dog sitting here in my office as I type. The technology will catch up and one day MACK garbage trucks will be just as reliable as they were Pre-Emission.

RDK

We pride ourselves on keeping our business partners, ahead of the curve! This gives everyone an opportunity to make more money and get into a garbage truck that is perfect for them. Speak to one of our professionals by calling today or inquire further on our website. We are glad to help and thanks for reading!

Why are Used refuse trucks best buy?

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Posted in Garbage Trucks

The Problem with buying NEW is you are going to pay a ton for a truck that will be in the shop within the next three months. The newer trucks are experiencing problems ever since the switch to CNG. The technology and fuel source are not to the level they need to be at in order to pay such a substantial amount for. USED Trucks are less costly and you get more BANG for your BUCK.

Pre-Emission

Before the emissions changed in 2008, Pre-Emission did not even exist. The used refuse trucks were just that, used. No one was interested in purchasing them unless they did not have the money for a new one. There was no inclination for someone to buy one because there was no emission problems. Pre-Emission now stands for the time before the CNG takeover. Going green has been all the craze in the past decade and we fully support it. If going green doesn’t put a hole through our wallets that is. We are all in this business to make money and saving the environment is important. That is why we here at RDK are researching diligently to find out how to do both.

Post-Emission

The Post-Emission era gave way to CNG. We experienced the problems, people are still fighting for it, and some of us have moved on to greener pastures. Volvo being one of them moving on. Volvo has gone ahead of the curve and built refuse trucks that run on DME. This will eventually reach us in the UNITED STATES. Currently, they have used refuse trucks running on DME in Europe. We have seen Dimethyl Ether in China as well. This new fuel source burns at a temperature that allows the trucks to safely run longer and harder while capturing more profits. This new fuel source we believe is the future and eventually we will have new and used refuse trucks running off a cleaner energy source that will cost less money. We are not at liberty to say when but if you Subscribe below and join the RDK family we will gladly update you with any news we get.

RDK

If you are interested in purchasing used refuse trucks and adding them to your business, please call today or inquire further! We pride ourselves with delivering news and PREMIUM quality used refuse trucks all over the world. Thanks for reading.

Should you buy or rent a roll-off truck?

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Posted in Garbage Trucks

Rolloff truck rental is a big business and for many reasons. A lot of times you need a truck yesterday and buying one just doesn’t make money sense. Maybe it is a temporary account and you are looking for a rolloff truck rental that will give you a few months of solid work and then go bye bye! This article should help you get on the right track.

BUY IT

To Buy a rolloff truck, you are going to want to make sure you have a few accounts lined up for pick up! The last thing you want is a depreciating truck that is sitting on your lot not making you money! These accounts need to have contracts set up where they are in it for the long haul. Short contracts will be better for a rolloff truck rental. The buying portion takes places in a few easier steps. Call the deal, line up the money, and boom you now own a rolloff truck. This truck is not yours to take care of. That means MAINETANCE. Make sure you keeping records and taking good care your baby. She will treat you as well you treat her!

RENT IT

If for some reason your truck is broken down, which happens a lot in this industry, you will want to RENT. If business takes an unexpected hike, you will want to RENT. If new emission standards turn for the worse and you do not want to pay for the outrageously expensive trucks, you will want to RENT. If you have speculating contracts that may or may not be here in six months, you will definitely want to RENT. Renting has its advantageous and disadvantageous just like owning one does. If you have more questions regarding whether to buy or go rolloff truck rental, call RDK today!

We at RDK have over 80+ years of combined experience and can answer all of your questions regarding rolloff truck rental. We hope to hear from you soon, thanks for reading!

What is the best refuse truck for sale?

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Posted in Garbage Trucks

There is not a specific refuse truck for sale that is perfect for you.. or is there?? YES, there really is. In our industry we have certain “specs” that fit you and your needs. These specs are what is required from you and delivered to us to ensure that you get EXACTLY what you need.

SPECS

Now most salesman will sell you what they have. They will put on that smile and say whatever it is you want to hear just so they can make the sale and collect their commission. NOT US. We want to make sure you and your business is properly equipped with the right specs for your location and job. For example, having more engine power is key in windy roads that move up and down hills or mountains. Rather than sacrificing money for power, we encourage you to buy bigger if you are in these terrain conditions. Having the right transmission for your drivers and how many people are going to be working on your truck are both questions that need answered. These are the basics and to find out what specs are right for you and your business, Call us today and speak to one of our professionals.

TECHNOLOGY

At RDK, we are passionate about talking trash! This includes technology. Now you wonder how does trash and technology mix with buying the best refuse truck for sale? Well it has everything to do with it! The technology coming out may cause your truck to break down. Did you know an older refuse truck for sale is actually more reliable than the new ones? Yes, yes they are because technology and new fuel sources are causing break downs that are very expensive. What does this mean for you, our business partner? This means that along with getting the rights specs for your business, you are going to want the right technology on your side.

Call us today or inquire on our website to find out more! We will get you into the best refuse truck for sale for YOU.

Why buy a used roll off truck?

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Posted in Garbage Trucks

Are you looking to make some money in the Roll Off Truck industry?? Maybe you are looking to expand your fleet? Should you buy new or used? These questions are very important and we are here to help!

THE USED AND ABUSED

Finding a used roll off truck in PREMIUM condition is becoming difficult these days. The housing market has exploded in the last few years and roll off owners are looking to expand their fleet. Their older used roll off trucks are becoming worn and abused. People are hot loading the cans on and we are seeing a substantial amount of damage from northern used roll off trucks due to the weather conditions and salty roads. These trucks are ready to retire and now owners are looking for new trucks. Well not new but newer than the ones they have had. The new trucks are experiencing too many issues to drop TOP dollar on them. Instead they want to buy a used roll off truck that has been worked on and turned into a PREMIUM product. A product that will work hard for the next few years until technology catches up with the changes being made on the garbage truck industry.

WHY USED IS BETTER THAN NEW

The issues from the new trucks are causing too many customers to experience downtime and loss of profit. This is leading them into getting rid of them quickly and buying a reliable used roll off truck that has given them plenty of hard work in the past. The PREMIUM used roll off truck is by far the best on the market. It stands alone with the way the good old trucks used to run and the way your mechanics know how to work best. These trucks will give you and your business security. With an abundance of parts for these trucks, you wont pay much or wait long to find them. The Used roll off truck market reigns supreme until they can fix the bugs on the newer trucks.

Call and talk to a professional at RDK today and start building your companies future on a the back of a safe and reliable used roll off truck!

Peterbilt Garbage Truck what they need!

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Posted in Garbage Trucks

WORK!

PETERBILT

Peterbilt is no stranger to the garbage truck industry. They have proven that their methods are top tier. They have some of the best quality trucks emerging out in the market today! Their engineers have built a machine that is so elegant and hardworking that people stop when one drives by. Well maybe not most people but we do!

SHE’S WELL BUILT

Crafted in a way that your peterbilt garbage truck will experience smooth sustainability throughout the life of her career. It gives off a nice feeling when you can rely on her day in and day out to keep up with the hard labor you bestow upon her. She wont quit until you do and if any problems arise, Peterbilt is right there with you. They offer great customer service and will take care of your peterbilt garbage truck needs. The only think you will need to look for once you a buy a peterbilt garbage truck, is WORK!

THE BOTTOM LINE

Keeping track of your inventory and their problems are never fun. It is without a doubt you will experience technical issues in this industry and we all know that downtime, is a heartbreaker. Don’t let your heart get broken, buy a peterbilt garbage truck to ensure your companies safely on its way to making more money.

Get what you pay for rolloff trucks for sale

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Posted in Garbage Trucks

Rolloff trucks for sale! Rolloff trucks for sale! The tell tale line from dealers across the U.S. We here it but be weary, the rolloff trucks for sale may burn a hole in your pocket if you don’t GET WHAT YOU PAY FOR!

QUALITY

You do not want to get a rolloff truck that you buy and put immediately in the shop! Think of buying a a car and as soon as you drive that car home to your house, it breaks down! This can happen to your rolloff truck if you decide to pay a deceivingly low price. It is without a doubt that if you pay enough for a good product you will receive a product that will give back. The rolloff truck is prone to issues. It has several moving parts that load and unload heavy cans every day. They go through more work then they care to and keep on working hard. IF you BUY a poor quality truck to save money, YOU will pay for it.

PRICE

Buying the right rolloff trucks for sale are key to your businesses success. The more money you have to spend on your truck can guarantee you receive a PREMIUM truck. What if you don’t have a lot to spend? Well then you have to be more picky and ask more questions to make sure your rolloff truck is going to make your wallet not break your wallet. Talk to mechanics if you do not have substantial knowledge regarding the rolloff industry. Price fluctuates with many different factors like what make, model, condition, how many miles, how many hours, is it single or double framed, and many more. These questions drive the price up or down. It is best to speak to a professional regarding the Quality to Price question.

RDK

At RDK we have over 80+ years of experience and pride ourselves in our PREMIUM TRUCK category. We have top quality rolloff trucks for sale and can guide you along the way to finding your next rolloff truck! Please inquire further or give us a call today!

What is a PREMIUM waste truck for sale

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Posted in Garbage Trucks

WHAT IS PREMIUM

It means three things:

  1. Low Miles
  2. Low Hours
  3. Exceptional Condition

WHY

In the waste truck industry we see trucks that have been burnt, broken down, parts have been stolen off of them, arms are bent, cab is wrecked, tires are shredded, and so on! This industry is tough, dirty, and we love it! We say go PREMIUM because it gives you, the business partner, the assurance that your waste truck for sale has been gone through thoroughly and is at its PEAK condition. We do not want to see anyone in a waste truck for sale that may break down while on the road and cause a public hazard or substantial downtime for our business partner. Instead we make sure your waste truck for sale has everything she needs to keep you and your accounts, HAPPY!

WHERE DO YOU FIND THEM

You can find a waste truck for sale in pretty much every state. To find a waste truck for sale in PREMIUM condition, you may want to look to the south. We have the best weather down south, specifically the sunshine state! We see very little snow so there is very little salt on our roads, which means very little rust. If you want to buy a waste truck for sale that is in exceptional condition with low miles and low hours for the year it was made you have come to the right site!

RDK specializes in building a PREMIUM quality used waste truck for sale. It is our pride and joy. Check out our inventory online and call a professional today to see one of these beauties up close!

Call Today!

Why are Used Garbage Trucks best buy?

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Struggling with the decision to buy new or used?? We are here to help! This article tells you exactly what we have found out in the past ten years and why our customers would rather buy used garbage trucks over new.

TECHNOLOGY ISSUES

We have seen the switch from gas to CNG! Many companies in the industry know that this switch was not done smoothly to say the least. The problems arising from CNG have caused many of our customers to lose money from downtime and feel what we call “buyers remorse.” The buyer’s remorse comes from getting a new truck in which you spend top dollar for and a month down the line it goes into the shop. The new sensors and controls have been experiencing issues over the last couple of years. Engineers are working out the kinks to build a more reliable truck that has less issues occur but we are not ready to fully support the new garbage trucks just yet.

NEW ENERGY

Along with the technology changes being made, CNG becoming a dominating factor for garbage trucks, and the repair shops being full of trucks, a new energy source has shown up on the horizon. DME or dimethyl ether is becoming a widely accepted new fuel source in China and Europe. These trucks are able to go longer and further on less fuel. Sounds too good to be true, right?! Well it has been proven to be a more efficient garbage truck by Volvo. The Manufacturer has been garbage trucks that run completely off this new energy source and because of it they have are seeing less downtime and more money. The future is here, it just has not hit our customers yet.

BUY NEW OR USED

The United States will see the new energy source soon! Right now we recommend buying a used garbage truck until the new DME trucks hit our market. Buying a new CNG truck will cost your company a fortune and if you not tied to city contracts requiring you to purchase 2015 models, get a used garbage truck. They have proven to be efficient money making machines and if you are lucky you may find one in PREMIUM CONDITION.