Justification for purchase of 4710

Steve02 · May 18, 2004

Just as the title says, I have been thinking for some time now about getting a 4710 CUT (I don't know why, but that is the one I want - will be the 4720 when it comes out). My problem is that I can't justify getting what I want while only living on 1 acre. And moving anytime in the foreseeable future (to more land) is probably not going to happen. So I put my thinking cap on and came here to ask all of the people who are more knowledgeable about these tractors than I am - what should I do?

I have thought about marketing to people (not sure who yet) around the area and making myself available 'for hire'. I figured among other things I could mow fields, lay drain tile, grade driveways (or parts of a yard), tree & stump removal, light demolition work, etc. (Please feel free to "remind me" if I have forgotten any services that could be done with a large CUT) If I ended going the 'for hire' route then I would probably get a medium size dump truck (<26,000 lbs GCWR) and a 5 ton tandem axle trailer.

Here's another catch; I still need to maintain my day job (Monday through Friday). Which means that I would only be available 'for hire' in the evenings and on weekends. How many people on here have done or know someone who has done what I am talking about? What sort of success/failures have people experienced (from first hand experience and as a third party)? Is what I am proposing sound even remotely plausible or am I just kidding myself into ~$55k of debt?

I thank you all in advance for your adivce and opinions on my questions,

Steve

DAP · May 19, 2004

This is clearly the 'tail wagging the dog'. If you want to exercise your justification skills, why bother with a tractor?

55k will get a lot of other things:

For example:

1. Strip club
2. Cessna 172
3. Hummer H2
4. 1936 Packard 120 Convertible Coupe
5. New Garage or Pole barn
6. Initiation fee at the Golf club on the other side of the tracks ...
7. An acre of land in my neigborhood

All of the above will fit on that acre of yours ...

In my rural - subrural area of residence, every other driveway has an F250 with a trailer full of landscaping machines and a logo on the front doors ... the landscaping business 'round me is cut-throat.

Better to have the business before you have the tools in my opinion.

/forums/images/graemlins/grin.gif

Golfgar4 · May 19, 2004

Steve,

First, welcome to TBN! /forums/images/graemlins/smile.gif

I hope that your plans are very successful, because what you want to do is exactly what I plan on doing. The only real difference is that I'm going to do this next year when I retire. So from that standpoint, I think it might be a little easier for me to deal with than what you want to do while you're still doing the day job thing.

I'm sure you already realize that there is a great deal more involved in this decision than just buying some equipment. You've certainly picked out a good tractor! /forums/images/graemlins/smile.gif

You mention that have 1 acre to maintain. I would agree that the 4710 is too large for that size property, but obviously you're looking at doing this other work. Do you have a barn/storage shed to house and work on your equipment? If you're going to be doing such a wide range of work, I think you're going to want to have a place to use for maintaining your equipment.

Have you investigated the insurance aspect of the work? You should absolutely not consider doing any kind of work for hire without insurance. I believe there are two basic types you need to look into. If you will only be doing surface work, such as mowing, box balding, FEL work, etc., then you would need to get what is called "landscapers" insurance. This covers you for all work that does not break the surface of the ground. But if you're going to be doing things like post hole drilling, back hoe work, or excavation of any kind, you'd need "contractor" insurance. The contractor insurance is usually much more expensive than the landscaper's insurance.

Have you checked in your area to see if the kinds of services you're thinking of offering are already available, and if so, how much are these services charging? You're going to need to figure out what your hourly rate, or per job charges will need to be so that you can make a profit.

How are you going to advertise these services? You'll ned to get the word out that you have these services available. If things get going well, word of mouth will begin to work in your favor, but you need to get it started. Who will you be targeting as potential clients? Do you have a business plan prepared? You'll need one if you're going to apply for financing through a bank.

I plan on starting slow so that I can control how much I'm doing until I get a feel for what I can do. I'm going to be looking at a 35 - 40 hp machine, with a 1 ton dump truck and trailer. I'll start with a rotary cutter, post hole digger and box blade. I'll probably get a 4 n 1 bucket on the FEL. I've already been contacting real estate companies and banks about handling the maintenance of the empty lots they have. I've also talked with developers about the same thing, plus doing bulding site clean up. I'm working with the local office of a railroad to see about contracting the mowing of the railroads rights-of-way. I've also spoken with a number of nurseries to offer the services on an as needed basis when they don't want to cut an employee loose from a crew to do a smaller job of delivery or moving around some mulch or dirt.

But again, I'll have a bit of an edge because I'm not going to have worry about my real job.

I think doing this kind of work ona part time basis is very workable. You may want to scale down your equipment costs to begin with. Maybe you can find some good, used equipment in your area to start with.

I wish you good luck on your venture. As I said earlier, I'll be very interested in hearing what you do. I'll be most happy to help in anyway, so feel free to PM if you'd like. /forums/images/graemlins/smile.gif

By the way, I'll be out in you neck of the woods this weekend. My daughter lives in Columbus, and we're coming out this weekend to visit her for her birthday. /forums/images/graemlins/cool.gif

rockyridgefarm · May 19, 2004

( box balding )

Nice Hat, Garry...!

Excellant answer, why is it one of our best resources doesn't even OWN a tractor...?

Golfgar4 · May 19, 2004

( Nice Hat, Garry...! )

Thanks Mike. I'm fond of it! /forums/images/graemlins/smirk.gif You ought to see it with the "official" shirt! /forums/images/graemlins/ooo.gif

( why is it one of our best resources doesn't even OWN a tractor...? )

/forums/images/graemlins/blush.gif /forums/images/graemlins/blush.gif

Gosh, I can steal ideas and information from all of you "experienced" guys as well as anybody else! /forums/images/graemlins/wink.gif /forums/images/graemlins/grin.gif

rockyridgefarm · May 19, 2004

( ( Nice Hat, Garry...! )

Thanks Mike. I'm fond of it! You ought to see it with the "official" shirt!
)

Yeah, but how do you go about box balding ?

Golfgar4 · May 19, 2004

( Yeah, but how do you go about box balding ? )

 Well, you take this box, see. And then you push it along the ground, see. And as it scrapes the ground, it makes the ground kind of....uh.....bald. See? 

Gawd, I don't believe that I missed that TWICE ! /forums/images/graemlins/blush.gif /forums/images/graemlins/crazy.gif

I didn't catch it when I was "proofing" the post, and then I didn't even notice in your first reply that you were making a comment on "balding". /forums/images/graemlins/frown.gif

Maybe I'm in self denial because I AM "balding"!! /forums/images/graemlins/crazy.gif /forums/images/graemlins/crazy.gif

rockyridgefarm · May 19, 2004

OK back to the real subject here, Garry's answer, apart from his balding aging retiri - er is definative

Propertymaint · May 19, 2004

Steve02,
I have been doing exactly what you are proposing to do for 10+ years now. I just upgraded from a JD 855 fel, mmm & backhoe to a 40hp NH with fel, backhoe and finish mower to take on bigger work. I do have a larger acreage than you do though and live in a rural area. My concerns in your instance would be are your neighbors going to be complaining when you start moving a larger truck with trailer and machine in and out of your neighborhood? Also, the insurance thing can be a killer. My experience has been most insurance companies will not insure the part timer anymore and/or if they do, the rates are so high it isn't worth doing the extra jobs. But it may 'still work for you. Be very choosy as to who you work for at the start and develop a small clientel that will give you repeat work. I find it is easier and somewhat safer in the long run to work for the same group of people - this way you know you will get paid and if you damage something on their property they will usually give you a chance to repair it before automatically taking you to court. The other thing I recommend is to up your homeowners insurance just in case. It is a risk, but if your careful it can put some extra money in your pocket and pay for your new toy. Just my opinion.
Good luck

Steve02 · May 19, 2004

Garry,

Thank you for the thoughtful and insightful response. Honestly I have not done a whole lot of research into this yet. If I continue down this path my next steps were to scout out the local competition and try to get a feel for their pricing structure. Then I was going to take a more serious look around at what sorts of equipment is available and the costs involved with license/registration/insurance of that equipment (i.e. tandem axel vs. tri-axel trailor).

The only stucture on our 1 acre is our house. The city that we live in (Dublin) isn't to fond of people errecting permenant buildings on their property. Within city limits there is a limit to how big your permenant building can be (10% of the main occupancy on that property), which means I could have a ~160 SqFt shop. /forums/images/graemlins/frown.gif

I am definatly jeolous of your situation, being able to devote yourself full-time to something like this. In the back of my head I can't quite come to terms with the doubt that comes with trying to do both things at the same time. Talk about over-extending myself (in almost every aspect).

I think before any serious amounts of money are invested into this that I will be doing some serious research.

Well, speaking of that day job -- it's calling so I gotta go. Again, thank you all for the advice and information.

Steve