A piece of used equipment may seem like a bargain, but it can turn into a bad investment if you don’t make smart purchases.

Donald Jones, refrigeration service manager for the Beltsville, Md.-branch of EMR, has extensive repair and maintenance experience with both hot and cold side equipment. He’s also seen many purchases of used equipment that, after repairs, ended up costing as much as a new unit. What’s worse, used equipment often has no manufacturer’s warranty and a shorter lifecycle. He offers the following tips on what to look for when considering used equipment.

Be careful of equipment that uses water

“When we hear the equipment uses water, such as a steamer, combi oven, ice machine or something like that, we kind of cringe,” Jones says. It is difficult to know whether these pieces were well maintained by their previous owners, he adds. As a result, the equipment could have significant scale and lime buildup. The equipment could also have been installed in an area with very hard water, increasing the chance that the unit’s best years are behind it.

Even if the unit has been well maintained, it may have other water-related issues. Seals, for instance, can dry out, causing cracks that lead to expensive repairs down the road.

 Know the signs of a well maintained unit

For refrigeration, examine the condenser coils. If you can shine a light through the coils, the unit has probably been cleaned regularly, says Jones.

With hot side equipment, a simple inspection of the cooking chamber can reveal how well the previous owner cared for it. And of course, keep an eye out for dents, rust or corrosion. Those are major red flags.

Simple is better

The more complicated a piece of equipment is, the more likely it is to have problems when bought used. They simply have more components that can break down. The inverse is true: The more basic a piece, the more likely it is to work well second-hand.

“Anything with a control board I would shy away from. That board could be corrupt but look all nice and pretty and you're looking at a huge repair bill, Jones says. “A standing pilot, electronic ignition is fine.” 

Cap your spending

Let’s state the obvious. If you’re buying used, you’re getting a shorter lifecycle than if you bought new. Factor that in with the risk of used equipment to help set a ceiling on what to spend, Jones says. “Do your homework before you go in, know what it goes for new and I would spend no more than 30%.” 

Stick with reputable brands

There’s plenty of low-cost commodity equipment on the market. While this may make sense when buying new, Jones warns that these units may not hold up if purchased used. Some of them are simply not well made enough, or are made with less durable materials, increasing the odds of a failure for the second owner. 

Get help…if you can

In some cases, like at an auction, you can’t have a piece evaluated before purchase. Other times, such as when purchasing a used item from a dealer, operators can hire a service agent to evaluate the piece. They may even be able to start it up to see how well it’s operating. This is a worthwhile investment, Jones argues.

“Would you rather spend $350 on a minimum service call up front or would you rather get hit with a really big repair bill down the line?” Hire the experts to check it out first before you make a big investment like that, he advises.