Carolina start up
Well-Known Member
im tempted to just send that number
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any advise or check my math
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Carolina start up
Well-Known Member
that's all great advise
skyking1
Senior Member
yeah. that is how I looked at it too. 3 days counting mobe day and cleanup.
Carolina start up
Well-Known Member
I might have to dig another one at my house and see how long It takes the one i did at the house was only like 50 ft
Dont do that there unsubstantiated numbers that's worse than bidding low that's gambling do the math and figure it out or dont give a number
Why don’t you just turn the job down? You are making it seem like your forced to put in a bid. Turn it down before you ruin your company and get sued.
When people ask me to give them a rough quote on french drains with out checking the site or doing any grade measurements I tell them "about $30 per foot".
I would agree you are seriously underbid. There is no way all that is happening in one day. You would be over time on your rentals for sure at your numbers, then you are not even working for free but your paying to complete the project. I would not let the job go however, pretty simple, I wouldn't have sent him 4 other companies that could do it, but that is just me. Take some of the advice you have gotten and go get the job. That is why your in the business.
Carolina start up
Well-Known Member
I sent my buddy over he does this work all the time he has a micro and a dingo already. i asked him what he bid it at he told me 8456.78
Carolina start up
Well-Known Member
sent my buddy he went and gave his bid
Carolina start up
Well-Known Member
i think ill end up passing this one i need to buy equipment at least a dingo so i can cut down on rentals i been renting all sorts of equipment since damn January and i need to buy something
CM1995
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My philosophy as well. If my monthly or sometimes yearly rental costs come close to a monthly payment then I'll buy it. Just bought a hammer for our 305E, just wasn't going to rent again and have several site demo jobs coming up where it will come in handy. The hammer was $9800 with pins and Cat is running 24 months 0% on attachments so the monthly payment is $400 and change. No brainer for us.
Same way with the 305E. It's roughly $1200 a week to rent one and we were renting one 1-2 weeks every other month. Bought one for $54K, 3.8% for 48 months is $1200 and change per month. No brainer - we've put 300 hours on it since we bought it last June.
So what type of equipment have you been regularly renting and how much do you spend on rental monthly and yearly?
Carolina start up
Well-Known Member
so since really November I've rented a dingo about 8 time my local rental yard cost me 300 dollars a day if I do it for a week its 1k so on a dingo I've spent about 7k on rental I've rented a cat 259 skid steer was worn out junk ended up breaking on the site had to have them come get it dint cost me anything since it broke down two hours after I got it. but I've been renting a Kubota svl75 about 6 times since November each week and it cost me 6k in rental had it for a week each time. rented a wide range of excavators had a u17 rented a u25 rented a kx121 rented then had a 305 rented and a 302 had a tb235 rented also. i know I need to buy an excavator but I've rented the small 17hp power ones then the 40hp then 20-24hp ones and I don't know which size would really be best to go with first. because well things are expensive and I don't wanna go deep into debt.
CM1995
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- Running what I brung and taking what I win
My suggestion would be to list the type and size machine and how much $$ you spent in rental over the last year.
Trying to figure out the right size machine to purchase is the toughest part even for us seasoned contractors.
Trying to figure out the right size machine to purchase is the toughest part even for us seasoned contractors.
skyking1
Senior Member
yes, and I disagree about buying in 2022. That is not enough history to base a decision on, just starting out. You can make rentals work for any job.
That way you don't take the hit on new iron depreciation or buy some bucket of used question marks, only to find you chose incorrectly.
That way you don't take the hit on new iron depreciation or buy some bucket of used question marks, only to find you chose incorrectly.
I wouldn't not bid jobs because you have to rent, just price it for what you need for it to be profitable, if you get it great if not it is what it is. I would be very careful buying right now, depreciation will be huge in the next bit. I am going the opposite way if I can get a crazy price i'm selling my CTL, 3.5 years owning i've put 550 hours on it, it's cheaper to rent, also that it spend 4-5 months in the winter at my acreage for snow removal and i'm selling it. If I get $40k for it, and spend $5k a year in rentals just having that cash to make a return on will cover a ton of the rental costs, and no repair costs. With a rental you also know what your costs will be, if it breaks down worse case is a bit of lost time but no repairs to factor in compared to owning. Now if you're really busy and renting the same thing a ton then it probably make sense to buy it.
skyking1
Senior Member
I picked up our new 35G in 8/2020, and just got the first 500 hour on it. It is working about 320 hours a year. I will ask what the payment is to look that over.
While I am not advocating taking everything that comes across the desk, but some business risk is part of the profession, at least in my view. Pushing yourself and your capability, in a REASONABLE way, results in growth. While you wont lose money on a job you never got, you wont MAKE money on jobs you didn't take. Both sayings have a place, its all about balance.