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Delivery Charge

Delivery Charge is defined as the cost associated with transporting rental assets to a customer's specified location or jobsite. In rental management software, this fee covers the logistics of moving equipment and is often combined with setup costs to provide a complete fulfillment price.

Key Details:

A rental contract serves as the primary record for governing the duration, pricing, and specific conditions of the rental transaction. 

  • System Category: This charge is factored into the Opportunity – General (Summary) section under Estimated Revenue. 
  • Calculation Base: Costs are typically influenced by the Distance (Miles) between the depot and the drop-off point. 
  • Freight Terms Integration: The application of these charges depends on the selected Freight Terms, such as FOB (Free on Board), where the seller covers costs until the asset reaches the site. 
  • Transport Mode: The rate may vary depending on whether the asset is categorized as Drive (self-propelled) or Haul (requiring a secondary transport vehicle). 

Use Case Example

A customer plans to rent construction machinery for 3 months at a rate of $5,000 per month. To ensure the equipment reaches the site, an additional $1,500 is added as a Delivery Charge (including setup). The system then calculates the Estimated Revenue for this opportunity as $16,500 ($15,000 for rent + $1,500 for delivery).

 

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