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Old 02-18-2009, 11:11 PM
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qualitylandscaping qualitylandscaping is offline
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Join Date: Jan 2003
Location: Honeoye, New York
Posts: 1,595
Quote:
Originally Posted by letsplay View Post
That also drives me crazy that so many people on this site tell contractors to buy buy buy instead of rent equipment. If a guy asks should I buy or rent a skidsteer for a one month install at say 2000 dollars and several folks say stop wasting your money and buy........ But he only uses it for two small jobs a year. Goes back to your slowly going under and not knowing it. That rental looks a lot better a year down the road when you can't pay the rent.

My rule for landscape equipment purchases:

We will not buy a piece of equipment until we have "purchased" it in rental fees over the expected life of the machine.

Say we're talking about a cut off saw.

Cost to buy $900
Cost to rent $50/day
Avg saw life 4 years

If we didn't rent that saw for 18 days over a 4 year period, we won't buy it.

Now if I get into a lot of work, and don't see an end to the demand, I may go purchase that machine before I meet my own criteria. Say we're working on a big hardscape install that will take 10 days to complete and I have a job lined up right after that for 3-4 days worth of saw work. I may go out and buy it before I start the first job, only knowing that it will be paid for right away.

People that go out and buy a backhoe because they want/ think they need one are only asking for trouble. I see ad's online all the time for guys advertising "I just bought a new backhoe and need to keep it busy". Thats a straight line to failure. You need to have the work, and a justifiable amount of it before you buy something.
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Steve M. Krieger
President/ CEO
Quality Lawn & Landscape, Inc.
www.qualitylawncare.biz
Serving Western New York since 1998.


"Everyone has bad breaks but everyone also has opportunities. I think luck is the sense to recognize an opportunity and the ability to take advantage of it..." -Samuel Goldwyn
 
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