Basically if you cant afford to loose it don't loan it
Back when the contracting was prosperous around here we often loaned larger or expensive to buy items between a select group of us. Usually just big thing like stageing parts or wet saw, demo hammer, concrete forms long ladders etc.
We know one guy that constantly wants to borrow whatever he may need for a job never buying...most of us won loan him nothing anymore.
And I coul easily see some maybe borrowing among each others in shop setting that's not too bad...
But when its goes out of site and out mind or you have to go chase it down to get it back that's usually it for me.
I could share few stories ahh neither the lender or borrower be right?
Decades back I had a young neighbor kid bought his first clunker car asked me if I had rivet gun tool which I did and give him the lecture about not borrowing cuz if he broke he have to replace it and if he really needed one be best if he bought his own.
Well he was confident nothing like that could possibly happen a couple of days later he comes back tail between his legs with brand new rivet gun and tells me how now he really understands what I meant because he did have to spend is own money for a brand new tool and now had to give it away!
I very seldom get involved in helping to borrow stuff anymore because it also seems whatever you do some people just don't respect it either. But I used to a lot..when we younger I was the middleman when my brother needed an air compressor he wanted paint his truck something to do with the cops looking for certain color Chevy lol!
And I used my influence to get a compressor and of course this thing was pristine from an old man that only used it to air up tires and blow grass off his mower. Ya ya I got that back and it was all covered with overspray and I got stuck cleaning it best I cold before I returned it.
Another lesson learned the hard way