Originally Posted by SVA_Concrete
Why on earth do you folks spend so much on equipment.
spinning off another thread:
In my humble opinion you paid too much for your truck and skidsteer, and trailer.
Why guys like me sell jobs for less, with good profit:
trailer 2k -equipment
trailer 4k (16 foot dump, hauls ex)
5 ton ex 24k
dump truck -per load as needed 75-90 a load
matls deliv - supplier provided save labor vs fetching matls
Ive got more equip, for less money. and its not out of date,
2005 truck (cummins 5.9)
2007 CTL (600 hrs)
2005 5 ton ex (2500 hrs)
2005 ish trailers.
79K vs your 200k, my overhead is probally 1500 a month lower than yours, and I have an excavator in this list.
now I don't have cabbed units, power windows, etc. But I can still get to the job, look professional and move the earth just as well.
I should have probably explained better and I misquotted a little too.
We are not a brand new company. We have been in business for over 20 years and are a multimillion dollar per year company. The equipment I listed above is our average crew, we run 6.
We have 2 commercial construction, 1 residential construction, 2 maintenace, 1 commercial construction service/maintenance crew, and two full time truck drivers.
Our three construction crews run with f550s with enclosed tools trailers, our commercial maintenance has an f350 dump with 28' enclosed, and our other maintenance crew runs with a f250 and 14' enclosed. Then our commercial service crew used an f250 with small enclosed trailer. We also have our hydroseeding rig, plus a few misselaneous f250s and about 35 guys to run with
Then our two truck drivers have a Peterbuilt and a Freightliner. They move all of our soft (have our own 100 acre nursery) and hard goods, plus our 4 skids, dozer, and backhoe.
All of our trucks run from 1998-2005's and are bare bones. All of them are paid off and have an average of about 115k on them, so there is still plenty of life on them. Both the backhoe and the dozer are around 25 years old and have about 2500 hours on them each and our skids are anywhere from 1-5 years old.
I agree it is stupid to be brand new and have all of the newest flashiest equipment out there, but after you have been in business for 15+ years you have a good idea of whats going on. We always weigh the options of new vs used, and 95% of the time we go new (pay it off in 3 years) and then have a solid piece of equipment on the road for another 10 years.