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Old 05-14-2014, 10:22 PM
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KrayzKajun KrayzKajun is online now
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Transitioning into more machine work??

We seem to be making a positive name for ourselves in our new service area. It's crazy how holding all our state licenses and being insured can set you apart.

I've got a stack of estimates to complete and all are for non Lawncare related work. We are really getting a great response for bushhogging and some nice clearing work. I've got three drainage jobs to look at this weekend. Have a good chance to become the main contractor for site work, drainage & landscape for a nice sized general contractor.

I don't really have a question to ask or maybe I do.
Should I keep Persuing this type of work and really take my company to a new level. I've got enough work lined up to justify purchasing a tracked CTL and maybe add a mini x to the fleet by end of summer.
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Old 05-14-2014, 10:34 PM
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easy-lift guy easy-lift guy is online now
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Diversification IMHO can work for nearly anyone, especially if you have done your market research and determined how strong the economy will be for now and in the future. Nothing crazy about holding your
qualifications out for the consumer to know your a contender. Just good business sense.
If you choose to continue to expand and grow you will need key people set up for the future divisions you will establish as time moves forward. This may be harder than finding work and keeping up.
All part of the game. My only advise is grow slow and set reasonable goals based on your abilities and your
staff. Remember if your staff does not believe in what your doing and where your going you can live with their
decisions or find staff that will contribute to your future growth and success. No easy task, no pun intended.
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Old 05-14-2014, 10:51 PM
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YellowDogSVC YellowDogSVC is online now
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I like the last response.. Grow slow but keep pursuing it. IF IT FEELS RIGHT, YOU ARE ON TO SOMETHING! A lot of us "guys" get excited about machinery. I should have focused more on what I needed versus what I wanted. That's not to say I shouldn't have diversified, but I should have slowed down on the machine turnover/purchases.. I've now lived and learned a lot and I'm more frugal now though I still like to buy stuff. I'd say, if you have the work lined up and you can afford it, go for it. Owning beats the hell out of renting and you will become an expert in your machine long before you will renting a similar type.

Keep your certifications up as best you can but in the end, if the type of work you are pursuing doesn't need certs, and there is only so much time in a day, you will have to make some tough choices if you are going to be in the seat as well as wear the salesman hat. I imagine your competition doesn't have any certs and yet you see the same guys day in and day out bidding on the same work. At least that's the way it is here.
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Old 05-15-2014, 04:23 PM
dycproperties dycproperties is offline
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I think deversifaction is very important in that the more services you offer / equipment you have the better the odds that you will be busey and busey doing profitable work. I have quite a pile of different equipment and we offer almost any service that falls under landscape construction/ maintenance and site work in house. The key is not to have to large of a percent of the equipment financed so that you can afford for things to sit when things are not as busey. I like to be in a position to park equipment If I can't get my rate. It doesn't take to many rentals to justify ownership in the long run. Once the equipment is paid for it doesn't cost much to have on hand and can be priceless when the right jobs come along.
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Old 05-15-2014, 07:21 PM
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AEL AEL is online now
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If you feel like you are going to have the work for it , go for it. Some times once you have a piece of equipment it opens up a lot of new markets as well. Risk is a good thing sometimes too, i can guarantee that a lot of guys on here wouldn't be where they are if they hadn't taken a (few)gambles or risks along the way. If you have to finance it , try to pay it off asap! Best of luck!
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Old 05-15-2014, 07:59 PM
AWJ Services AWJ Services is online now
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Work is only good if it is profitable.

Pursue what has the highest profit margin.
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Old 05-15-2014, 08:01 PM
AWJ Services AWJ Services is online now
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Quote:
Originally Posted by AEL View Post
If you feel like you are going to have the work for it , go for it. Some times once you have a piece of equipment it opens up a lot of new markets as well. Risk is a good thing sometimes too, i can guarantee that a lot of guys on here wouldn't be where they are if they hadn't taken a (few)gambles or risks along the way. If you have to finance it , try to pay it off asap! Best of luck!
Well said. Risk is part of the buisness just be realistic about it.
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Old 05-15-2014, 08:06 PM
Hollowellreid Hollowellreid is offline
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We are on the landscape side of things, and it sounds like you will be too.

I run a bit of an odd model- I like having all of the needed equipment and tools to do the majority of what comes our way, but the problem with that diversity is that stuff spends A LOT of time sitting. Most of our loaders & excavators only do 1-200 hours per year. I couldn't justify buying new and making payments.

With the used equipment that is paid for in cash as time allows, if it sits it doesn't hurt. I too get the bug to get new iron and toys, but the cash flow usually holds it back.

The fact that you have made it this far in business says something, in my opinion being profitable in this line of work can be really, really difficult. I am incredibly lucky in lots of ways but it's still a challenge every day to keep it going.


That being said I would imagine you need to make some sort of decision. All the energy you have spent over the last 2+ years pondering what machine to buy could have been directed into some forward motion. I would imagine that you will soon find that the pickup truck is a major limitation to the operation as well. We have 1...a ford ranger.

best luck.
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Old 05-16-2014, 08:50 AM
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KrayzKajun KrayzKajun is online now
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Quote:
Originally Posted by Hollowellreid View Post
. I would imagine that you will soon find that the pickup truck is a major limitation to the operation as well. We have 1...a ford ranger.

best luck.
Yep already finding this out. In the works on picking up a 99' GMC C6500 reg cab/ chassis. Plan to put a 12' flatbed on it. Would be nice to get a larger trailer also to pull the tractor & CTL at same time.
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Old 05-16-2014, 06:12 PM
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AEL AEL is online now
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Quote:
Originally Posted by KrayzKajun View Post
Yep already finding this out. In the works on picking up a 99' GMC C6500 reg cab/ chassis. Plan to put a 12' flatbed on it. Would be nice to get a larger trailer also to pull the tractor & CTL at same time.
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Roll off or hook lift Jacob. Gotta think about being versatile! What are you going to do when you need to move a load of soil or pick up a load of sand? Get a flat deck to go with it as well. It sucks buying a truck only to realize 2 months down the road you should of bitten the bullet and gotten something else.Plus yoiu can move your ctl in the box when you go to a job instead of bringing a trailer or second trip to move a machine.
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