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• 1 Curly // Jul 3, 2008 at 7:03 pm

  Many people have. I have.

  The rule of thumb for business is that it pays for itself entirely in one year. If in normal use (things you do now) it will be profitable enough to have repaid its purchase price in one year of use (including consumables which is where the real profit is) then its not necessarily a bad idea.

  Look at the hours you spend cutting metal per year, and the mean operation life of consumables to operate for that many hours and compute how much consumables you will need to use. Add that value to the purchase price. Use interest rates to compute the net present worth of the payments to pay off cutter, and consumables within one year. Thats the cost.

  Now compute the value returned by using it. Is the amount you make (adjusted to present dollar value) better than what you could make by putting that money into the bank (or whatever) for a year?