Soundguy
Old Timer
- Joined
- Mar 11, 2002
- Messages
- 51,575
- Location
- Central florida
- Tractor
- RK 55HC,ym1700, NH7610S, Ford 8N, 2N, NAA, 660, 850 x2, 541, 950, 941D, 951, 2000, 3000, 4000, 4600, 5000, 740, IH 'C' 'H', CUB, John Deere 'B', allis 'G', case VAC
Exactly my point. The General contractor I work for sometimes employs that very same scheme.
We buy disposable equipment.. depreciate it immediatly.. use it for the job, and then liquidate it. If it brakes after the first job.. it was cheaper than the upkeep for a more expensive model costed out over time.
As you point out the low cost. For instance.. I bought an old ford 8N to play with.. same price 3k... I fell pretty confident that if I had that 3k$ chineese tractor sitting side by side and worked both of them.. the 8n would fail first.. eventually.. and I would get more lifetime work out of the disposable tractor than the used 8n.. for the same investment. On the other hand.. I doubt that chineese one will be around in 52 years, and still doing usable work...like my 8N is /forums/images/graemlins/shocked.gif
I feel the same way about mowers.. and the company I work for does too.... buy cheap.. often. Have a new one every year.. cheaper than having an expensive one that is years old before you repalce it.. etc.
Soundguy
</font><font color="blue" class="small">( That perspective occurs to me, too. Kinda' like looking at a tracor as almost "disposable" if they are that cheap. Up in the Great White North or Alaska, some developers literally drop a piece of equipment into a remote area with no intention of ever bringing it back out. I guess if I wanted to clear some land up there that might be an option. Worst case scenario is that you need to spend another $3 grand and drop another tractor in. Heck, for $3 grand each you could go through a few of those over 10-15 years and still be ahead of the game. As long as the same thing didn't break on each one, you could cannibalize for parts.
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We buy disposable equipment.. depreciate it immediatly.. use it for the job, and then liquidate it. If it brakes after the first job.. it was cheaper than the upkeep for a more expensive model costed out over time.
As you point out the low cost. For instance.. I bought an old ford 8N to play with.. same price 3k... I fell pretty confident that if I had that 3k$ chineese tractor sitting side by side and worked both of them.. the 8n would fail first.. eventually.. and I would get more lifetime work out of the disposable tractor than the used 8n.. for the same investment. On the other hand.. I doubt that chineese one will be around in 52 years, and still doing usable work...like my 8N is /forums/images/graemlins/shocked.gif
I feel the same way about mowers.. and the company I work for does too.... buy cheap.. often. Have a new one every year.. cheaper than having an expensive one that is years old before you repalce it.. etc.
Soundguy
</font><font color="blue" class="small">( That perspective occurs to me, too. Kinda' like looking at a tracor as almost "disposable" if they are that cheap. Up in the Great White North or Alaska, some developers literally drop a piece of equipment into a remote area with no intention of ever bringing it back out. I guess if I wanted to clear some land up there that might be an option. Worst case scenario is that you need to spend another $3 grand and drop another tractor in. Heck, for $3 grand each you could go through a few of those over 10-15 years and still be ahead of the game. As long as the same thing didn't break on each one, you could cannibalize for parts.
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