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Old 12-23-2013, 10:09 AM
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RedSox4Life RedSox4Life is online now
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Justifying a mini skid?

Hey all,

So I've decided a mini skid would fit my operation very well. I have a whole slew of reasons I could go into but it comes down to getting jobs done quicker, and making our lives easier. The problem I'm having is whether or not it makes sense financially. I'm going to share my math, I would appreciate all your thoughts and opinion.

Right now I'm charging $50 per man hour for a guy and a wheelbarrow.
$75 per hour seems to me like the most I could get away with charging for a man and one of these little machines.
So that nets me $25 per hour from this machine.
At about $20k purchase price, that would mean 800 hours before I hit the break even point, and that's not including maintenance and repairs.

I expect to put a max of 200 hours on this thing per year......so I'm looking at 4 years (at least) before I start making money off it.

So I guess my question would be......,is there other value in having this machine other than as a money maker?
Less physical labor, easier transportation, speed up jobs therefore I can do more work in a day? Etc etc

Would love to hear what you guys think about this

Thanks
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Old 12-23-2013, 10:59 AM
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Cant you buy a nice used one for half the price?
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Old 12-23-2013, 11:10 AM
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That may end up being an option. I have a dealer I do a lot of business with close by that sellsthe Thomas brand, so I would prefer a new, warrantied machine from a dealer I have a good relationship with. But then it's back to whether that's more important than the financial decision or not.
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Old 12-23-2013, 11:37 AM
larryinalabama larryinalabama is online now
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Not to be disrespectful in anyway whatsoever, but from what you posted it wouoldnt make any sense, heres why.

At 50$ per hour for a wheel barrow would be 200$ for a 4 hour job, that job with equiptment would take 2 hours and at 75$ would be 150$ and you left 50$ on the table.

I would look for a good deal on a decient used one, or even rent one on occasion when needed. They are great little machines if you need to get to tight spaces.
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Old 12-23-2013, 11:38 AM
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I bought our Bobcat Mt-52 new from the dealer. They are pricey but totally worth it. It was $17k with just a bucket, paid $3k for the trencher and $3k for the tiller. They really speed up production and allows you to cut man hours and squeeze more jobs in. I dont regret the purchase at all.
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Old 12-23-2013, 11:43 AM
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You could get a used Bobcat Toolcat in good condition for a little more than 20k and be able to run all types of Bobcat attachments and not tear up lawns and it carries two people and has a dumping bed. I just bought my second Toolcat and they are very versatile and easy to tow.
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Old 12-23-2013, 11:47 AM
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Quote:
Originally Posted by YellowDogSVC View Post
You could get a used Toolcat in good condition for a little more than 20k and be able to run all types of Bobcat attachments and not tear up lawns and it carries two people and has a dumping bed. I just bought my second Toolcat and they are very versatile and easy to tow.
Ive seen them and think they are nice machines, never operated one. Do you think you could be as efficient with the attachments as an MT?
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Old 12-23-2013, 12:27 PM
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Quote:
Originally Posted by larryinalabama View Post
Not to be disrespectful in anyway whatsoever, but from what you posted it wouoldnt make any sense, heres why.

At 50$ per hour for a wheel barrow would be 200$ for a 4 hour job, that job with equiptment would take 2 hours and at 75$ would be 150$ and you left 50$ on the table.

I would look for a good deal on a decient used one, or even rent one on occasion when needed. They are great little machines if you need to get to tight spaces.
No disrespect taken, this is why I asked the question.

Couple things about what you said.....
A) I'm not sure this machine could double a persons production. I understand in some circumstances it could, but for what I would be using it for I doubt it. You would know better than I, does it double your production?

B) My customers understand when they hire me they are paying for my insurance, taxes etc.....and that's why I have to charge the $50 per hour for just a guy and a wheelbarrel. Adding this machine would not double all my costs, therefore I can't really justify doubling what I charge. Also, I feel if I did try to get $100 an hour with this machine, I'd price myself out of a lot of jobs. I know guys around here doing dirt work with a full sized skid steer for $85 an hour.

Renting one is not really an option for me.....as the main reason I'm looking to buy one is for the convenience factor. Rental is not convenient for me.
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Old 12-23-2013, 12:28 PM
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Regarding the tool cat.....it just wouldn't fit the need I have like mini skid would.
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Old 12-23-2013, 01:00 PM
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alldayrj alldayrj is offline
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Whats your back worth? I know i wouldn't do the work i do unless i had a skid. Unless i had an army of 10 guys.

What work do you plan on doing with the machine? At 200hrs per year go used. No doubt.
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