Business plans for Mulching

   / Business plans for Mulching
  • Thread Starter
#51  
Ok here's what I haved learned from the dealer ASC-100 (Cab&AC) $56,000, Loftness Carbine Cutter $21,800, Forestry Package $5000. Total $82,800 + tax .0675. Can Finance for 60 months at 5.65%

According to the dealer most area operators are charging about $150 per hr. some rates as high as $175 with a low of $135.

He also said I need to get to know my local forestry Reps which just happen to be right up the street.

Now I know what KM wrote and I understand where he is coming from, however I believe that is why I to this forum is going so I can learn about the pitfalls and hopefully make the right choices, if I do get past the obstacles that stand in front of me. Like a CDL license for one and the move up into a bigger truck which I am looking at a used one with out a doubt, possible as old as a 90 model flat bed but more to follow up on that later. I know I will go it debt with the equipment purchase, which will be major deal. But I will make sure I have a customer base setup first, as I have already talked with a local surveyor who did say drop off may info when I am setup and ready to go.

Now I posted a projected price and payment plan to include maintenace issues on an early post and then KM comes a says I would be basiclly crazy to even try what we have been talking about. I am trying to find ways to make this work and not fail. I have cleared my entire lot where my house sits now entirely by hand with a chain saw and weed eater metal blade, with 2 hornet stings to the back of the head needless to say I am not afraid of hard work, but I want a easier and faster way to avoid the BEES AND WASPS and anything in between.
 
   / Business plans for Mulching #52  
That is a very solid plan and solid numbers. Two major points to make.

Forestry guys I have found not really your best bet. They have bulldozers, must cut fire breaks into the dirt and they burn the land. Obviously not going for apperiance. Plus forestry hourly rates here 75.00 hr. Hard to cpmpete with that. Also burning is extremely fast. Hope you have better luck. I have been wooing my forestry reps to see where it may lead. Nowhere yet.

Second, builders are your best bet. Grading contractors and developers specificly. They have ALL the money and usually multiple projects going at once. You will have to catch a break or know one prior to capitalize. They are a little easier of a sale because they understand equipment better and can grasp the concept quicker. But most of them are in tight with someone already so again good luck.

Lastly, think big. Little jobs are great but the big ones will put money in the bank to float you through winter. Winter sucks. Plan on atleast 1-2 months no mulching work. No joke. Been there, got the shirt.

See what you make of all that. Robbie If your curious have a look at our web site. Trinity Mulching - Atlanta Georgia Mulching Company
 
   / Business plans for Mulching
  • Thread Starter
#53  
Robbie or anyone for that matter, what kind of maintance problems do you guys have with the ASV? I just talked with guy in the local area who states he wishes he never started it! He has two units both with Fecon heads and allways has one unit in the shop. Various issues like over heating above 75 degs which causes him to only run for 2 hours before he is losing water. Head problems with balance issues. Drum replacement for a cost of over $10,000. Could this just be a guy who pushes the equipment too hard and basiclly abusing the H#@ out of it, or these common problems. I may try and meet up with him in the next few days to see the equipment first hand but I also see if this is truely what I want to get in to.
 
   / Business plans for Mulching
  • Thread Starter
#54  
By the way I have a mechincal background with cars and aircraft engine so some maintance can and would be done by me. especially if I could get a hold of some manals.
 
   / Business plans for Mulching #55  
On my ASV you have a dozen or so grease fittings that have to be greased daily. Add fuel and run, As long as you have a carbide toothed head that is pretty much it. Have it serviced at the correct intervals and I don't see a problem. A few more thoughts.

One, I have only heard of a few balancing issues but they have all had the name fecon in them.

Second, it sounds like he is deffinently pushing his equipment too hard. It's easy to be coaxed into attacking material that is honestly too big. I'm having to learn a new word of NO. I have been pushing my head also and it's beginning to show. Set your personal criteria for material you can handle and stick to it. It will work out. And as you probably know you would run your equipment better and easier then a hired operator would.

Third, I have only heard of a few overheating problems, I think an extra hyd. cooler is an excellent idea. You can never have too much cooling, especially on the hyd which has no effect on engine performance.

Fourth, These machines are picky and run in harsh environments. They need to be blown out often, air filters replaced often, and throughly cleaned weekly. But as long as you are prepared for this then your okay.

I feel mulching machines could be categorized more toward heavy equipment therefore are very maintenance prone. There is honestly more upkeep than I anticipated but just set aside days for only maint. and you'll be fine.

One more thought. If the guy your talking too was truely that feed up with it he would have asked if you wanted to buy a couple of tractors. Sounds like he's pulling your chain a bit. Plus if you can address the issues he has than your already one step ahead. Right?

Alright enough for now. My two typeing fingers hurt. Robbie
 
   / Business plans for Mulching #56  
No maint. issues here to speak of...like robbie says keep after it on a daily basis and you will be rewarded with a faithful machine
 
   / Business plans for Mulching
  • Thread Starter
#57  
He did ask if I wanted to buy his unit, and he ask mentioned track issues, like I said I believe he does push his equipment very hard. I am going to plan out going out to his job site which is about 20 miles from here so I will see how his equipment and his maintance practices work out for him. I have so much to think about and understand before I make this leap.
 
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   / Business plans for Mulching #58  
Just a thought, he may or may not be willing, depends on his and your personalities, but could you just go work for / with him for a couple of days / weeks? There is no better way to learn in my opinion then to do it.

Be up front that you want to start your own business, some guys will be in the "there is plenty of work to go around camp" and there are some who will be in the "I can't help you, you are my Competition and will steal my business camp" If he is the first group, he will welcome the help. If he is the second group, you will get nowhere.

Anyway, a week of your time would be free to him (which he should appreciate) and will be the cheapest education you could buy (as all you should have to put out is your time.

I will bet that you will learn more in a week running with him then you even know what to ask at this point. You may learn that you don't want to do it, and you may learn that he is doing a lot of things you would not do, anyway, I would try and work with him a week or so.

Good luck with whatever you do.
 
   / Business plans for Mulching #59  
Alan, that has to be just about the best advice I've heard yet. For Divers sake I hope he would do that.

I've demoed a couple of heads and its hard to get a good feel for what it can do in a 1-2 hour demo. That would be the best education bar none.

Another route would be line up some work and rent a unit. It wouldn't make you much if any money but it would be a no obligation trial run. This is a very demanding business, we are pushing equipment to the max and when it breaks it usually breaks big. Last week a hit a piece of buried cement and destroyed 6 blades and 5 hours of repair work to my timberax. Broken welds and a blade mount. You have to fix it right and right then. It cost me 225.00 and 2 days to repair. It took about 2 seconds and the damage was done. I did run it for an hour before I realized I had a problem.
 
   / Business plans for Mulching
  • Thread Starter
#60  
That says like a very good idea, I don't about this guy I am talking with in my area, he says he is business man. But the way he talks about his equipment he may not be the best to present this idea too. I do I have some family in the Johnson city, Tn area. Anyone in between eastern Nc and there? I would really like to see some of this equipment in action.
 

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