Holding Cost Estimator

Purchase price is the first number in a line purchase and rarely the largest one. This applies our own published ratios to whatever equipment figure you put in, so a five-year number can sit next to the quotation while you are still comparing suppliers.

The ratios this uses

  • 145-165% of the initial equipment investment — five-year total cost of ownership.
  • 3-6% of equipment cost — annual maintenance.
  • 2-4% of equipment cost — annual spares.
These are our own published figures for fruit and vegetable processing lines, not an industry average. The five-year total already contains maintenance and spares along with the other running costs of the line, so the two rows below it are shown separately to say where the money goes rather than to be added on top. Energy, water, labour and consumables move with your crop, your shift pattern and your local tariffs, which is why no single payback period is published.
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Enter an equipment investment figure to see the five-year picture.
Over 5 years Low High
Equipment investment $200,000 $200,000
Maintenance, 3-6% a year $30,000 $60,000
Spares, 2-4% a year $20,000 $40,000
Total cost of ownership $290,000 $330,000

Between 31% and 39% of what you spend over 5 years lands after the invoice, not on it.