Communications towers are significant, expensive capital assets. Similar to other assets like properties, plants, and equipment, managing tower assets is essential to ensuring long-term usability. Virtually all businesses intend to maintain possession of capital assets as long as they remain operational and/or advantageous. This means that sound capital asset management is key to keeping these assets—like telecom towers—profitable as long as possible.
Here’s how relying on capital asset management benefits your telecom tower operations.
Why asset management?
Because communication towers and associated equipment are often costly investments, managing their proper functionality, longevity, and all other performance-related concerns is central to your bottom line.
Your communication towers should remain a significant portion of your assets, recorded on your balance sheet, expensed over their lifetime, and inspected and/or updated regularly. Expensing your telecom towers throughout their use period helps ensure you are matching costs with the revenue generated during that same period.
But most importantly, asset management reduces your risk of losses while increasing benefits and service available to your clients. That’s why keeping up with your capital assets can mean the difference between a profitable tower and one that is just being used for your needs.
Maintaining towers’ performance
Keeping a watchful eye over your towers’ functionality and structural integrity requires time and dedication—investments that pay off in both the short and long term. The same is true when you’re literally building your towers from the ground up. Investing in quality tower design, construction management, and maintenance means preventing issues and protecting them from problems, like:
Give yourself insight into your capital assets
Like any other asset, your communication towers and associated equipment are expected to contribute to your revenue generation over a long period. But to ensure this, you must know exactly how well your towers are performing, as well as any other essential equipment.
Specifically, having easy access to this information helps you avoid unnecessary purchases, inspections, and updates, as well as diverting funds to items that you do not need. Moreover, it allows you to better understand your towers’ condition and performance throughout its lifetime.
Similarly, setting yourself up for easy access to your capital assets’ distribution gives you insight into which towers have space left to perform best and deliver optimal service to clients. Not only does this give you clarity, but it helps you better serve your clients to help ensure they stick around for the long haul because they are satisfied with the customer service.
However, any clients who rent space on your tower and are not satisfied with the service may be inclined to pursue other vertical real estate options. Keeping an eye on your capital assets helps you keep valuable clients satisfied and opens the potential for new customers.
Trust Tower Engineering Company with your capital assets management
Managing your capital assets requires dedication. For 47 years, we’ve helped clients design, build, maintain, and manage their telecom towers, and we’re here to do the same for you. Want to learn more about us? Let’s talk.