Skip to main content

Understanding Cylinder Rental Fees

As a long-term helium customer, you likely pay rent on the cylinder(s) you keep on hand. While it's standard practice within the industry, many people who are new to renting helium are unaware of why this rent is collected. In short, there is a distinction between the contents of the cylinder and the cylinder itself.

Manufacturers produce substances, but have to purchase cylinders to contain these substances. When full helium cylinders are purchased, one must pay the cost of the helium as well as the cost of the cylinder. This enables the manufacturer to recuperate the cost of the steel (or perhaps aluminum) cylinder.

For manufacturer distributors, the up-front cost of the cylinder is waived in lieu of a cylinder rental fee. In other words, the manufacturer still owns the cylinder, but is renting the cylinder to the distributor and only actually selling the helium to the distributor. This is why, in cases of long-term helium rentals, rent is also charged to the distributor's customers. Your provider is paying rent and simply passing this on.

Some may come to the conclusion that cylinder rent, over a certain period of time, may pay the cost of the cylinder. While this may be true, the rental fee must still be collected as it compensates the cylinder's rightful owner for the maintenance costs, as well as cylinder's replacement cost. There are many requirements and inspections required by the US Department of Transportation and OSHA for these cylinders. While the end-customer pays cylinder rent, it is only a small portion of the total cost involved in maintaining a fleet of cylinders.

To avoid paying cylinder rent, people often opt to purchase their own cylinder. This way, they only pay the cost of the contents (helium, CO2, etc.). This may prove to be a cost-efficient option for some, but please do the research before deciding to purchase a cylinder. We're happy to help and answer any questions.

For more information about purchasing cylinders, please see our recent article regarding cylinder ownership and refills.



Written by: Miriam E. Medellin


Comments

Popular posts from this blog

Helium Cylinder Refills

At Helium Xpress, we can and do refill helium cylinders. However, there are certain criteria that must be met for us to legally and safely do so.

Please note if you purchased a Balloon Time kit from a store such as Party City or Walmart, these tanks are disposable and cannot be refilled. If you have an industrial cylinder, please continue to determine your refill eligibility.

Who Owns the Cylinder? This may sound like a trick question, but it's not. The answer to this question provides us with valid and important information regarding whether or not we can refill your cylinder. You might believe you are the owner of the cylinder because it's been on your property for as a long as you can remember, it has a self-made tag with your business name on it or because you personally paid for the cylinder. However, in some cases, it's still not your cylinder. This is why it's very important to purchase helium cylinders from a trusted source. Let us explain.

Business owners typi…

The HX Loyalty Program

Are you someone who throws parties often? Do you often have get-togethers and gatherings at your home on weekends? Do you love decorating and find yourself being asked by others to help decorate their events as well? If so, then you'll love this!

Chances are you have a lot of fun, but you might also be spending more than you need to on balloon decorations. Disposable Balloon Time kits are popular at several retail outlets due to their portability. We think they're great for small, infrequent events and you can learn more about them here. However, if you find yourself hosting or decorating for several events throughout the year, it may be beneficial to purchase your own small cylinder.

The HX Loyalty ProgramHow does it work? Well, in a nut shell, you buy a small cylinder from us and we'll continue to refill it at a reduced cost. If you were to bring us an outside-sourced small helium cylinder, we could fill it for $57. However, if you purchase one of our small cylinders, we…

Cylinder Sizes

We often get asked for height and weight measurements of helium cylinders. Whether you're renting or purchasing, it's good to know exactly what you're getting. It needs to meet your needs with regards to output, but in many cases, it also needs to be easily transported.

If you plan to be mobile while using your cylinder, make sure it's something you're comfortable transporting. Will you be able load it into a vehicle unassisted? If not, will someone be available to help you? Do you plan on transporting it a lot or just occasionally? These are just a few questions to ask yourself when deciding on a cylinder size. Consider the following information to assist in your decision-making.

Small Cylinder55 cu. ft.Inflates approximately 65 12" latex balloonsStands 27" tall and is approximately 8.5" in diameterWeighs in at 26 lbs.* (aluminum cylinder) Medium Cylinder125 cu. ft.Inflates approximately 200 12" latex balloonsStands 48" tall and is approx…