Financing Equipment

P&C Lawn Care

LawnSite Senior Member
Location
Yukon Oklahoma
How did everyone finance their equipment when you started or needed to replace aging equipment? I was lucky when I started because everything I had was paid for and anything that I have had to replace was paid for with cash, insurance paid for many items destroyed by a tornado several years. Other items like trimmers, edgers, blowers and sprayers were paid for with cash on hand. I have to update my ZTR (which will be the back-up once I get a new one) and will also need another new Honda Hydrostat 21" (HRC216 costs about 1k). I have a full time job and only do this part-time. I recently bought a new house and a new vehicle for my wife but prior to this never used credit, so I have to build up a good credit rating. I think lenders are not as strict on home and car loans they can use against the loans, but I assume mowers depreciate much faster than an automobiles do. How did you finance? Through the dealer or at a local bank?
 

Scraper

LawnSite Bronze Member
Location
SE Pennsylvania
Originally posted by TYLAWN
Toro has good plans for financing. 6 months same as cash. I have bought 3 Z masters this way.
Is it Toro or actually a financing company such as Sheffield? Big difference. I know most dealers in my area no matter what brand mower they are selling offer financing programs, but it is thru financing companies, not the manufacturer.
 

alwaysgreener

LawnSite Member
Location
Belvidere, IL
If you are just starting out don't get caught up in credit card debt.Start with what you have, ask family and friends for donations (equipment or money) and make money NOW don't want your overhead more than your income. Once you establish your business name and have a tax id # then start using some credit cards in the business name and keep your business credit in great standing. To many guys need the best of everything and want it now, then they close the doors and credit is messed up. Keep it simple for now and you will be less stressed and enjoying the lawn care industry. Trust me this is what I did and i'm doing great.
 

cush

LawnSite Senior Member
Location
boise idaho
Simple just say honey you know that new SUV I let you buy in November, well I was thinkin........................cha-ching!!!!!
 

E.L.I.T.E.LawnCare

LawnSite Member
Location
Saginaw, MI.
I was really blessed, my little brother is in his 3rd season in the NBA. So he got me started with my company. I'm going to pay him back even though he is not looking for anything in return.
 

J Hisch

LawnSite Bronze Member
Location
Evansville IN
alwaysgreener is exactly right debt is the worst enemy to a new business. Debt is the worst enemy to any business for that fact. it is to easy to get and can sink even the best of companies. use what you have until you have enough cash to buy what you need.
 
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