Going in Debt

Discussion in 'Heavy Equipment & Pavement' started by bkennett, Oct 15, 2017.

  1. bkennett

    bkennett LawnSite Member
    Male, from Rocky Mount, VA
    Messages: 27

    I have an amazing landscaping and lawn care business. We do landscape installs, new yard installs, Squirt and Fert treatments, mowing, and snow removal. Up until now my compact tractor and various attachments have served my needs. I am wanting to branch out in to forestry mulching with a CTL. No one around me within 100 miles has one. I would love to be the first one to our market with one and have a CTL to use for my landscape/snow removal needs. Anyone else made the jump of $140k plus in debt for a machine? What are some obstacles I'm going to face getting started?
     
  2. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 10,389

    How much work do you have for a fecon? It’s very specialized work
    Usually government contracts
     
    Mdirrigation likes this.
  3. dieselss

    dieselss LawnSite Silver Member
    Messages: 2,042

    Why 140k?
    You looking for new?
     
  4. ztman

    ztman LawnSite Bronze Member
    Messages: 1,094

    Look up the Krazy Kajun threads. He had a maintenance company, went back to law enforcement, then came back in the biz to do land clearing. He is down in Louisana.
    Haven't seen him on here in awhile, hope he is doing well
     
    hort101 likes this.
  5. marcusmac99

    marcusmac99 LawnSite Senior Member
    Messages: 358

    Forestry work is capital intensive. There may be a very good reason why no one within 100 miles of you has the equipment. But, kudos to you for looking for a unique niche in your area. You have done a good job doing the research.
    I would look at being able to make payments if that machine was 50% utilized. Then hopefully you can keep it 60 to 70% utilized.
     
    Mdirrigation likes this.
  6. brichter14

    brichter14 LawnSite Senior Member
    Messages: 640

    I would look at a used machine and a New attachment... baby steps...its just like any other part of business, work your way up to that pay grade.
     
    JLSLLC likes this.
  7. CMFarrellWNY

    CMFarrellWNY LawnSite Member
    Messages: 20

    I just bought T590 high flow machine to do something similar. While i'm not jumping head first into mulching i am going to do some land clearing, grading, excavation etc. I'm looking at a large brush hog to begin with for spring then move forward from there. They do offer mulcher set ups for my high flow machine although i know a 90-100hp is more desirable. I wanted a larger machine but the 590 was what was priced right and the right size for other jobs as well. I'm in the same boat...my landscape company does really really well. Guess i'm just looking to take it to the next level.
     
  8. Patriot Services

    Patriot Services LawnSite Fanatic
    Messages: 14,273

    He was on a few weeks ago.
     
  9. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 10,389

    Oh

    You don’t want a used fecon
    Ever watched the show axemen?
    See anything you would like to buy?

    Didn’t think so

    There’s no cherries in Forestry
     
    stringfellohawk and Mdirrigation like this.
  10. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 10,389

    When you’re looking at the typical land clearing proposals you can’t touch the production with “conventional methods”
    I know
    I’ve tried
    I gave up.

    Although the equipment investment is high, labor is low.
    Which in the long run is what really costs any of us the most $$$$
     
    stringfellohawk and Mdirrigation like this.

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