Economic Downturns Impact Demand: Demand for Alta's equipment and services is highly cyclical and sensitive to the overall health of the construction, material handling, and industrial sectors, which can be negatively impacted by economic recessions or slowdowns, leading to reduced sales and rental revenue.

High Interest Rate Environment: Rising interest rates can increase the cost of financing for Alta's customers, deterring equipment purchases and rentals, and also increase Alta's own borrowing costs for inventory and operations, impacting profitability and growth.

Intense Competition Pressure: Alta operates in a highly competitive market with other authorized dealers, independent equipment rental companies, and manufacturers selling direct, which could lead to pricing pressure, reduced market share, and lower margins.