Budgeting for Repairs
Budgeting for Repairs: A Guide for Light Industrial Operations
Equipment downtime can disrupt operations and hurt your bottom line. Planning for repairs is essential to keep things running smoothly. Here’s a streamlined guide to creating a repair budget for your light industrial business:
1. Understand Your Equipment
Document the lifespan of each piece of equipment.
Prioritize high-use tools that see daily wear and tear.
2. Review Past Repair Costs
Identify machines that frequently break down.
Highlight recurring repairs that could be prevented with maintenance.
Example: If a machine regularly needs belt replacements, budget for them instead of risking downtime.
3. Prioritize Preventive Maintenance
Routine upkeep can save money in the long run. Plan for:
Regular inspections to catch small issues early.
Lubrication to prevent unnecessary wear.
Replacing small parts (e.g., belts, bearings, seals) before they fail.
4. Budget for Minor Repairs and Consumables
Small, frequent repairs are common in light industrial settings. Allocate funds for:
Supplies like fasteners, welding rods, and lubricants.
Routine fixes like motor adjustments or wiring.
5. Prepare for Emergencies
Unexpected failures happen, even with maintenance. Set aside 10 - 15% of your budget for emergencies like motor or OEM part replacements.
6. Know When to Repair vs. Replace
Repair if costs are less than 30% of the replacement value.
Replace if breakdowns are frequent or repairs exceed 50% of the value.
7. Use Digital Tools
Track repair dates, costs, and maintenance schedules with spreadsheets or budget-friendly apps to stay organized.
8. Partner With Reliable Vendors
Building relationships with trusted suppliers ensures faster service, volume discounts, and access to quality parts.
Why It Matters:
A repair budget helps you prepare for the unexpected, minimize downtime, and extend equipment life - all while protecting profits.
Need advice or parts? Contact JCB Industrial to learn how we can support your business!