chris pochari
Active Member
I said TONS of family money, 50k is nothing! Fred Smith of Fedex inherited 20 million. Now that's a lotSunbelt is a tough outfit to compete with. They just arrived in springfield, mo, about a year ago, and have been driving down rates to get market share. I don't see a independent having much luck competing with them, on larger equipment. You drive by their yard and there's 5 million in inventory. No banker is going to loan out to compete with that.
As far as the paperwork on damage, dirty, fuel etc. Sure it sounds great to stick it to the customer for any little thing. Read that again: if you stick it to the customer for every little thing, they aren't your customer any more. There's a reason they rent equipment. They send it back dirty and you try to charge them for washing off mud and they're done with you. Every rental house deals with that, and they all eat the cost of repairs. They aren't going to fix a machine you destroy without charging you, but they don't charge for a bent forklift tooth or a bent handrail on a manlift. If you're a big enough customer, they fix it and go on with life.
What Delmar has to say about the equipment game being more about financing than anything else, is spot on.
Sorry- I just thought those two quotes a couple posts apart were amusing. Carry on!
I guess what I was saying is starting up a heavy equip rental biz is much more capital intensive than doing excavating or demolition, so if you have family money it has to be BIG. I don't consider $50,000 to be very much, the average tuition for college is $30,000/year.
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