Business ideas

[JoeinTX]

"Like alot of other folks I became a statistic this week as entire B2B sales level was eliminated when my employer decided to "downsize/rightsize". Anyway I no longer have a job but I do have a Kubota BX24 with loader and backhoe. I'd rather sit in a tractor seat than behind a desk anyway so does anyone have any suggestions on how I might turn this little orange machine into a profit center. Have a little time to build up business due to severance and unemployment but I don't want to sit still, need to get something going as soon as possible. Any suggestions on what implements might be best investment to generate additional business? Trailer size and style? Your suggestions would be appreciated. Thanks....."


Sorry to hear. I became one of those "statistics" earlier this year and, like you, I thank goodness for a nice severance and unemployment after that.

I had a similar notion to yours........I'll take my 8n, shredder, box blade, disc, etc. and make a little extra scratch while the next job offer comes around and keep myself busy. Heck, if things got to really going maybe I could I make it my biz as I would really like to do for a while anyway. Even went so far as to reactivate my business liability insurance that I had allowed to lapse a few years ago after my regular job got in the way of my first thoughts at a side tractor gig. I placed a reasonably recurring ad on Craig's List, posted an addy on the billboard down at the local fillin' station/watering hole, printed my own business cards at home and dropped them in the little fish bowls at the restaurants and such where they allow card swapping for people looking to network. I let a good friend of mine in the real estate business know that I was again looking for tractor work and gave him a bunch of my cards to hand out to customers and agents as a referral.


Grand total of all of that...........................nada. I received no calls or inquiries from anyone regarding the ad, my cards, or any referrals relating from real estate contacts. Rough out there. Another problem I have is that while I live in one of the largest metro areas in the country, I don't know a lot of people here. I moved to the area from elsewhere so very few people know me from Adam. I don't have a "connections" with any real number of people here so getting "word-of-mouth" is tough to do. You, being in sales, understand exactly what I am saying as we both know the biggest driver of sales is reputation and referral from satisfied buyers rather than advertising.


My reply is not meant to be negative even though it may sound pessimistic. No. It's meant to be sobering. You don't just decide you're gonna go into the tractor biz and wait for the customers to fight amongst themselves to get your time. It's not likely to happen especially in this economic environment. As someone else said above, people are cutting back and aren't so fast with paying out money for services.


So, this far in I'm still looking for that next best job offer and the tractor biz hasn't gone very far. Ironically (laugh), the best money making offer I've had over the last few months was a gent who stopped by one day to ask me what I'd take for the tractor and implements if I wanted to sell them. Hah! The irony is biting.



Nonetheless, you, as I have, should look toward John Wayne and Admiral Farragut for inspiration. The Duke would charge ahead and take his chances and Farragut is famous for proclaiming "**** the torpedoes, full speed ahead!" as the Union Navy attacked Mobile in a not-so-sure attack.


Sorry, dissertation over.......

 

[The Dougster]

My first bit of advice is to tell you to forget the naysayers... No, it ain't easy.. if it was easy, everyone would be doing it.... Forget advertising.. it is expensive and not all that effective... Get some professional business cards printed and start networking... Don't forget that word... networking! Don't call but visit real estate offices and other contractors... face to face encounters will bring you more business than anything.
Don't stutter... always be prepared to say. "of course I can do it!" Worry about how you're going to do it on your way home.
I have tons of advice but don't have time to go into details.. one lst bit of advice pertains to taxes... Set aside 50% of everything to cover income taxes and social security.. believe me, you'll be doing yourself a favor. Good luck!

 

[Lloyd_E]

It is interesting to hear that advertising doesn't work. If it doesn't I wonder why so many successful businesses - whether large or small still advertise. In the bigger picture of advertising it is as much about brand identity and communication as anything else - word of mouth, networking etc.

Believe it or not when you network or pass out business cards you are actually micro-advertising from a marketing point of view. And as advertising and marketing 101 tells ya
one single print ad is not going to do it... There are ways of advertising and marketing that will guarantee results... but you got to work at it too and you have to track and measure the results.

I know if you(we) all spent as much time on advertising and marketing for our business as we do on maintenance and using our equipment you would see a different picture over a longer schedule of time.

lloyd

 

[JoeinTX]

I hope no one is taking my post above as nay-saying or negativity. That was certainly not my point.

I was just pointing out a bit of self-critical analysis showing that, for example, 6 months is not enough time to get a little side business up and running. Also, as noted elsewhere, personal word-of-mouth in a community is the best advertising you can get. Advertising on the bigger scale is not worthless but it's not the life blood of a new guy making his first stab that makes all the difference between making it or not.


No, I personally am still hacking away at it but I've branched off into a number of other pursuits in addition to the tractor thing to spread a little good word......fencing.....building backyard decks, etc.


My point above was that it may take a lot longer than you first thought and you may not make very much starting out. It could be disheartening and give you a lot of second thoughts. But, keep it up. Keep slogging away and keep swinging away but keep your options open and never rule out anything as a way to get a little work and mention.

 

[The Dougster]

Now Lloyd, obviously you took my words much too literally... of course advertising is effective, but as I understand it, the OP was out of a job, and I made the assumption, perhaps rashly, that he was limited in financial resources.... Seemingly you are well versed in advertising and consequently should be aware of the tremendous costs involved.

Of course, business cards is a form of advertising to suggest otherwise would be ridiculous.

My suggestions were to support the OP and encourage him to do whatever it takes to "get the job done"...

 

[foggy1111]

Sure Biz cards are a nessesity....but I still say.....PRINT A FLYER of what you do.

The flyer will only cost you about 2 cents a peice. List EVERTHING you are willing to do for hire.

I would add a few humous ones to show you are willling to do many jobs....such as:


Excavating
Stump Removal
Stump Grinding
Wars Started
Revolutions Quelled
New Driveways
Grading
Bent Nail Straigtening
Deck Building
Lawn Mowing
Fountains
Retaining Walls
.......and you name it. Call ME!!! Fair Prices - honest work - Satisfaction Guarenteed!!

Name / addy / phone / email


I would also have some black and white graphics or pics on the flyer. Just keep it CHEAP and get some handed out every day. Knock on doors....place under wipers.
These would be more effective and lower cost than print advertizing....IMO.

If you get a job and need some equipment to get er done.....rent the equipment to get the work done....or borrow from a friend, etc. Hire extra help if you need to. Just get the jobs....and figure it out later.

Good luck!!!! Marketing is usually the hard part....get a plan....work the plan.

 

[Builder]

Like alot of other folks I became a statistic this week as entire B2B sales level was eliminated when my employer decided to "downsize/rightsize". Anyway I no longer have a job but I do have a Kubota BX24 with loader and backhoe. I'd rather sit in a tractor seat than behind a desk anyway so does anyone have any suggestions on how I might turn this little orange machine into a profit center. Have a little time to build up business due to severance and unemployment but I don't want to sit still, need to get something going as soon as possible. Any suggestions on what implements might be best investment to generate additional business? Trailer size and style? Your suggestions would be appreciated. Thanks

My suggestion would be to stay in your field of expertise, get another job that is related to your field if you eventually are going back at some later date. If you're embarking on a new career, then good luck-it ain't as easy as buying a tractor and a bunch of business cards.

I do get somewhat annoyed that people lose their jobs and immediately want to take work away from me in construction, or from my full time excavator, landscaper, painter, whatever trade they decide to become an "expert" in.

There's very little work for us either, and it seems like everytime the banks, retail stores or other white collar occupations lay people off, they immediately want to get into the trades. Doubling the problem, of course, they will work for peanuts because they have no concept of what it costs to keep a business like that for the long run.

Then we all of us that do this for a career have to drop our prices to get down close to their prices they pull out of a hat somewhere so we can continue to work.

Finally, they get re-hired back into their computer, marketing or sales jobs, they leave us with the low hourly rates and we have to spend years picking up the pieces to get them built back up to prices where we can once again start making money.

Not picking on the OP, but I'm sick of white collar or non-tradesmen guys deciding to to take up my way of making a living until the boss calls them back to work.

Sorry for the rant, but that's my honest opinion. Not trying to hurt anyone's feelings, OP included.

 

[Farmwithjunk]

My suggestion would be to stay in your field of expertise, get another job that is related to your field.

I do get somewhat annoyed that people lose their jobs and immediately want to take work away from me in construction, or from my full time excavator, landscaper, painter, whatever trade they decide to become an expert in.

There's very little work for us either, and it seems like everytime the banks, retail stores or other white collar occupations lay people off, they immediately want to get into the trades. Doubling the problem, of course, they will work for peanuts because they have no concept of what it costs to keep a business like that for the long run.

Then we all of us that do this for a career have to drop our prices to get down close to their prices they pull out of a hat somewhere so we can continue to work.

Finally, they get re-hired back into their computer, marketing or sales jobs, they leave us with the low hourly rates and we have to spend years picking up the pieces to get them built back up to prices where we can once again start making money.

Not picking on the OP, but I'm sick of white collar or non-tradesmen guys deciding to to take up my way of making a living until the boss calls them back to work.

Sorry for the rant, but that's my honest opinion. Not trying to hurt anyone's feelings, OP included.

That is the rationale for my earlier post explaining the need for "legal" licensing, insuring, permits, legal tow vehicle, paying taxes, ect. Once an upstart gets a load of "the high cost of doing business", MOST (the intelligent ones anyway) will base rates on reality rather than a fleeting dream.

I'm in the commercial mowing business. Believe me, I get my share of "low baller" competition from time to time. Every guy with a new tractor and a bush hog thinks he's got what it takes to jump in to the fire. Every summer, it's a new crop of upstarts. Every fall I see some of them with equipment listed on Craigslist. Establishing a cash flow over a couple months is NOT operating a successful business. Operating a legitimate business for a full year with books "in the black" after tax time is a totally different story.

Fighting low ball competition is part of the game. Not a FUN part, but one we all have to face.

 

[kthompson]

I live about 7 miles from town with farming all around me. Not many farmers would hire you but many of the home owners out here might. Digging for shrubs, water lines or such and in my area foundations are not 3 feet deep so the area you are in.

I understand the comments about trying to take away decent peoples business and that can come back to hurt you if you are not fair in what you do. You will find there are others in your business who may send jobs too small for them to you if they find your are professional and are not a cheap cutthroat but will also send jobs too large for you to them. At times a career change is not an option but a must. Been there and done that.

A few years back when stump grinders became popular here they would drive around looking for stumps in yards, stop to give you price and hope to grind them right then. Many did good with that.

Take the time to drive around and look at jobs you see already sitting there that needs to be done that you can. Then talk to the people and ask them about doing those jobs. You can learn a lot by being honest with a few people like this as to why they would or would not hire you and have they tried to hire someone else and can find no one or prices too high or 23 other people have already stopped to talk with them.

 

[JiminGa]

really look at the start up costs for your business, there's alot more to it than loading your tractor and heading off to work. Just licensing, insurance, etc. for my landscaping business run well over $2000 a year. With the way the economy is, there's alot of folks looking for the cheapest guy to do the work, that guy usually is not running a legitimate business. I've done at least twice as many bids this year and over all sales are down about 30%. If you do go for it, research, research, and more research applicable licensing and certifications. the last thing you need is a fine, easily in the thousand sof dollars in some instances.

 

[JohnDeere4300]

Like alot of other folks I became a statistic this week as entire B2B sales level was eliminated when my employer decided to "downsize/rightsize". Anyway I no longer have a job but I do have a Kubota BX24 with loader and backhoe. I'd rather sit in a tractor seat than behind a desk anyway so does anyone have any suggestions on how I might turn this little orange machine into a profit center. Have a little time to build up business due to severance and unemployment but I don't want to sit still, need to get something going as soon as possible. Any suggestions on what implements might be best investment to generate additional business? Trailer size and style? Your suggestions would be appreciated. Thanks

What state do you live in ?

Do they sell "double-wide/mobile homes" in your area ?

If so, Go to all the places that sells "double-wides" and see if they will let you dig "pads" for them... Most places that sells them don't have tractors, and they make the employees dig them by hand.

Around here you can make $600 to $800 in a couple hours digging pads.

You can also ask the person buying the "double-wide" if they need a ditch dug for the water line.... Advertising is easy.... You can buy business cards and print off what you want to do.. You can also print off "flyers" and put them in hardware stores, grocery stores etc..etc.. You can also put an ad in you local newspaper.

Once you do work & do good work, then other people will spread your name around.

 

[Dallas_Lilly]

I run my little tractor during the summer months mowing, spring time doing driveways that got rutted during winter, and going to try to do snow clearing on sidewalks this winter.

Insurance can be expensive but it is necessary to protect yourself. You will be amazed at how fast you can put hours on a tractor once you start hiring it out and the maintenance costs can be high. And then you have to plan for the flat tire and misc small stuff, its small but it still costs money. Then you have to plan for the big costs like replacing the tractor eventually and in my case replacing my cutter or other implements.

Finding a niche is the key. Around my parts there are hundreds of 2.5 acre rural lots. Allot of people do themselves with riding mowers from depot but there are plenty of people that dont want the hassle. It is me and one other guy doing it and I dont know about him but I am doing well. If I keep going as well as I have the tractor will have paid for itself in another 3 to 4 years and still have quite a bit of life left in it. I think I might do good with the sidewalks this year. In the city people and buisnesess are required to have the snow cleared from their sidewalks, there are plenty of trucks with plows running around but they are too wide to do a sidewalk. There are a few bobcats around town but they are much more expensive per hour than me. Their machine costs two and three times as much as mine.

It is my second job that I do after work or during the weekends. I sit behind a desk all day. Not something I ever thought I would do but that is where the road took me to support my family. This is a great escape from the desk and makes me a little extra spending cash.

I have never run an ad in the paper, and craigslist turned up more junk than actual customers. I post buisness cards at local gas station boards. The rest is word of mouth. Doing a good job and not trying to get rich with the prices has worked really well for me.

I say go for it, do it right and have fun doing it.

 

[LoneCowboy]

My suggestion would be to stay in your field of expertise, get another job that is related to your field if you eventually are going back at some later date. If you're embarking on a new career, then good luck-it ain't as easy as buying a tractor and a bunch of business cards.

I do get somewhat annoyed that people lose their jobs and immediately want to take work away from me in construction, or from my full time excavator, landscaper, painter, whatever trade they decide to become an "expert" in.

There's very little work for us either, and it seems like everytime the banks, retail stores or other white collar occupations lay people off, they immediately want to get into the trades. Doubling the problem, of course, they will work for peanuts because they have no concept of what it costs to keep a business like that for the long run.

Then we all of us that do this for a career have to drop our prices to get down close to their prices they pull out of a hat somewhere so we can continue to work.

Finally, they get re-hired back into their computer, marketing or sales jobs, they leave us with the low hourly rates and we have to spend years picking up the pieces to get them built back up to prices where we can once again start making money.

Not picking on the OP, but I'm sick of white collar or non-tradesmen guys deciding to to take up my way of making a living until the boss calls them back to work.

Sorry for the rant, but that's my honest opinion. Not trying to hurt anyone's feelings, OP included.

this!!!!!!!!!!!!!!!!!!!!!!

 

[Charlesaf3]

lots of good advice above.

I'd add - don't sell tractor service, that means nothing to most - didn't mean anything to me before I bought one, when I'd see the ads.

Sell trenches, mowing, landscaping etc. The client doesn't really care what you use to get the job done, only that you get the job done and well. Sell something your in-laws (or pick whoever) will understand and want done.

 

[taborekle]

You are going to want a good, easy to read and understand business contract that you want you're customers to sign before you get started. It should have in it a 'hold harmless' clause. There was a thread on this BB just a few weeks back about a new operator in the business that did some bushhogging and was sued by the home owner that had a septic problem and needed to set some sucker up to pay for it. Fortuneatly the operator had a plumber that could testify that the home owner had problems long before the mowing.

Just goes to show you that there are lots of un-scrupulous people out there.

Best of luck...

Larry

 

[Builder]

this!!!!!!!!!!!!!!!!!!!!!!

What does "this" mean?

 

[boxygen]

Builder has some very good points. I also am in the construction business and see this thing all the time. We live in a "DIY Channel" home depot "you can do it, we can help" type society now. Because they read how to install tile in a book while standing in line at Home Depot, they are now an expert, why not make it a career? They saw someone build a deck on TV last night, why not build a couple decks in my spare time.

The media and other marketing has empowered the general public into thinking they are something they are not. They make it seem so easy to do it yourself that there is nothing to it as long as I follow the cookie cutter steps. The problem arises when something happens thats not "shown in the pictures." This is one small area where a professional contractor or tradesmen earns his money and the new to the market "contractor" falls on his face. The problem is the general homeowner can't distinguish between the two except the professional contractor was more money on his quote. They will figure it out 2 years from now when the work they did fails and cheaper contractor is nowhere to be found or doesnt even know how to fix the problem he/she created. They have no assets, insurance or professional reputation that can be leveraged.

Now I'm not saying that everyone starting out new is a hack, and that you cant make a sucessful business from your idea. I dont know anything about you personally, professionally or your competancies. Also, you have to do what you gotta do to survive. What I'm saying is, its just not that easy. Whether you are in it for the short term or long term, there are many costs that you need to cover to limit your exposure. You can create a little cash flow for a short time, it will catch up with you eventually. Insurance is so important now a days. Maintenance and equipment is just as bad. At least taxes are cheap, though.
Some are giving the advice of finding a niche. A niche is nice in a thriving economy, not what we are living in. You need to be diverse to stay alive in todays trades. I really dont want to be negative toward you and your situation, thats not my point. You are in an uphill battle that takes a lot of time and money to do correctly with the potential for disaster if you work for the wrong client. Also to me it is a issue of professionalism. It used to be that you had to have X years experience and training under someone else to go into your own buisiness. Now, anyone has no problem doing anything at any time and call it a business. This ventures into what I would call unprofessional. How are you going to answer your first customer when he asks" how many jobs have you done like this?" Are you going to look him in they eye and say "none"? What are you going to do when you hit that burried gas line that the homeowner forgot to tell you about. Looks like you forgot to call DIGSAFE and you are on the hook for evacuating the entire neighborhood for a gas leak. And doesnt look like that insurance policy you thought you could get away without isnt going to help. Dont worry though, they will sell your house and your tractor to pay for it when the court takes them away. Looks like you wont make your 30 bucks an hour today because they arent going to pay. Thats ok, you can file a lien, if you knew how.
Just trying to provide some food for thought. If you are going to do this, structure your business correctly from the start or be prepared to accept lots of risk to you and your family. And remember it takes years and many hard lessons till you will be a "professional" at this. No offense taken to anyone on this site and goodluck.

 

[JayCat]

Builder has some very good points. I also am in the construction business and see this thing all the time. We live in a "DIY Channel" home depot "you can do it, we can help" type society now. Because they read how to install tile in a book while standing in line at Home Depot, they are now an expert, why not make it a career? They saw someone build a deck on TV last night, why not build a couple decks in my spare time.

The media and other marketing has empowered the general public into thinking they are something they are not. They make it seem so easy to do it yourself that there is nothing to it as long as I follow the cookie cutter steps. The problem arises when something happens thats not "shown in the pictures." This is one small area where a professional contractor or tradesmen earns his money and the new to the market "contractor" falls on his face. The problem is the general homeowner can't distinguish between the two except the professional contractor was more money on his quote. They will figure it out 2 years from now when the work they did fails and cheaper contractor is nowhere to be found or doesnt even know how to fix the problem he/she created. They have no assets, insurance or professional reputation that can be leveraged.

Now I'm not saying that everyone starting out new is a hack, and that you cant make a sucessful business from your idea. I dont know anything about you personally, professionally or your competancies. Also, you have to do what you gotta do to survive. What I'm saying is, its just not that easy. Whether you are in it for the short term or long term, there are many costs that you need to cover to limit your exposure. You can create a little cash flow for a short time, it will catch up with you eventually. Insurance is so important now a days. Maintenance and equipment is just as bad. At least taxes are cheap, though.
Some are giving the advice of finding a niche. A niche is nice in a thriving economy, not what we are living in. You need to be diverse to stay alive in todays trades. I really dont want to be negative toward you and your situation, thats not my point. You are in an uphill battle that takes a lot of time and money to do correctly with the potential for disaster if you work for the wrong client. Also to me it is a issue of professionalism. It used to be that you had to have X years experience and training under someone else to go into your own buisiness. Now, anyone has no problem doing anything at any time and call it a business. This ventures into what I would call unprofessional. How are you going to answer your first customer when he asks" how many jobs have you done like this?" Are you going to look him in they eye and say "none"? What are you going to do when you hit that burried gas line that the homeowner forgot to tell you about. Looks like you forgot to call DIGSAFE and you are on the hook for evacuating the entire neighborhood for a gas leak. And doesnt look like that insurance policy you thought you could get away without isnt going to help. Dont worry though, they will sell your house and your tractor to pay for it when the court takes them away. Looks like you wont make your 30 bucks an hour today because they arent going to pay. Thats ok, you can file a lien, if you knew how.
Just trying to provide some food for thought. If you are going to do this, structure your business correctly from the start or be prepared to accept lots of risk to you and your family. And remember it takes years and many hard lessons till you will be a "professional" at this. No offense taken to anyone on this site and goodluck.

Well said. The voice of experience is profound. We don't always hear or want to listen to the voice though.

 

[Builder]

It just seems like construction trades are the first to get a flood of unemployed white collar workers with their diesel pickups and Kubota CUTs when they lose their jobs.

One thing they might not realize is that the equipment they are going to throw into the game is going to get beat-up fast to get the job done.

This ain't like cutting your grass or doing some mulching at your own house where we can pamper our equipment. Once you sign up to do a job, it gets done or you don't get paid. Equipment gets scratched & dented and loses value with all the extra hours and wear & tear.

Just sayin it might not be the gravy train you think it is. In fact, you'll probably end up losing money versus just getting a temporary job or something related to your current field of expertise.

 

[MESSMAKER]

I just started my own business. I did quite well with a mowing business a few years ago but I found that everyone with a ZTR mower got into the act. I recently bought a cut with loader,box blade, forks and a Bush Hog. I suspected I would go deep in the hole the first year but I have done better than expected. The sweet spot I found was mowing overgrown building lots. 1/4 to 1 acre and can be done in less than an hour. Getting your name out there is the largest job. I can see work, but finding the guy who will pay you to to it can be difficult. If I can get a bit more connected, I could do very well. I realize I will give it some time. I have gotten work from flyers,Craigslist,word of mouth and just parking my rig. with the sign on it, in busy places. I am going to make money but probably not as much as if I worked for someone else. I get to set my hours, be with my kids when they need me and do something I enjoy.