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[son69]

Hello everyone, i have been lurking around TBN for awhile now and have tractor fever. I am dieing to get my hands on a new L39. I have some major projects to do around the homested and also some for friends and family. My problem is that when all that is done will i still find uses for this machine to justify keeping it. I would love to make some money back with it and i hope i could find work to do with it.

So, how hard is it to find things to do after the current projects are done, and has anyone made some side money with there machine.

Thnaks for your help.....Son69

 

[WALT]

Welcome to TBN

I am also more of a reader than poster to the forum.
I bought my L-39 in May 2005, to do the heavy sitework at my property that my BX 2200 could not do. This allowed me to get 200+ hrs practice on my property before unleashing my "talents" on the unsuspecting general public.

If you complete your profile, the TBN members can better tailor their responses to your question. As I live in CT. I can speak of what is required to legally perform work for others in this state, which I assume is what you are looking to do.

A. CT. Home Improvement Contractors License (HIC) Annual fee of $160.00
B. CT. Sales tax registration, which you must charge for residential work
C. Business Liability Insurance, Especially for Excavation work.
D. Call Before You Dig Registration. Allows you to register your worksites online.
E. Inland Marine Policy for Insurance coverage when transporting your tractor off your property.
F. Federal & state income tax registration.
G. Local property taxes
H. CT. LLC annual fee ($10.00) & annual Business Entity Tax (B.E.T.) $250.00
I. Legal expenses to start your business.

This list is not all inclusive but covers expenses that you may not have considered.
As I am a career firefighter, I do work on a part-time basis as time allows. I enjoy this part-time work as a release from the stress that builds from my occupation, which has its own non-monetary rewards.

As you own & operate your tractor, you may rent or buy numerous attachments that increase the services you can provide.

You should always weigh the option of making side money to the cost & liabilities of being a contractor prior to performing for-profit work for others. Your ultimate financial exposure may be more than you are comfortable with.

Good Luck:
WALT

 

[son69]

Thanks for the response walt. I have 3 acres almost 2 of that is woods. I plan to clear 1 acre for a pole barn, and more yard. I have a natural gas line to run about 400 ft and some general landscaping, ie retaining wall, garden etc. I also plan to dig a foundation for a adition off my house.
The projects for famly is simmiler. A retaining wall and some general clearing, grading and stump removal. Other people i've talked to said that i will "find friends i never knew i had" when they find out i have a tractor and it will pay for it's self in a short time. I have priced some of these projects and am somewhere in the low $20's for just my stuff. I am not looking to start a buisness but am willing to do a few things on the side for extra money. I just don't want to end up with a piece of equipment i can't find anything to do with once my stuff is done. I guess i am just tring to justify spending $35000.00 for a really cool tool. Any suggestions? Thanks in advance Son69

 

[crazyal]

You may want to think about something smaller. The L39 is a lot of tractor for your needs. I'm not trying to talk you out of the L39 but if the price is a big factor then maybe the B26 might be a better choice or maybe a L3400/ GL3540 and get the backhoe for it. I'm not really up on all the prices though.

The backhoe is very handy and opens up all sorts of business opertunities but any time you dig into the earth you can turn a profit into a loss very quickly if something goes wrong. Up here in VT it's much easier than CT to operate your own excavation company but insurance still costs. If you don't have an easy way to move your tractor it all but rules out doing work for others (unless you can get them to pay the trucking). I think the L39's weight might mean a 3/4 ton truck or larger to pull it.

Now for the good. Boy's love dirt, lol. There's nothing like playing in the dirt and getting paid for doing it. I have an ear to ear smile everytime I dig up a large rock then use the FEL to drop it into the woods out of the way (Insert Tim the toolman Taylor grunt here).

I don't want to talk you out of making extra cash. I just hate to see you make a few hundered on your first few jobs only to loose a few thousand on one. Plus Insurances companies, business licenses, taxes, etc. don't care if you only do the work part time. The inherant costs mean you need to need to do several jobs to just break even.

However don't think you need to make a profit. If you are doing this as a second job but have a first job that pays all the bills you can loose money and still come out OK. You will need an accountant to go over all the details but you can reduce your income taxes by depreciating your expenses (fuel, parts, milage put on your personal vehicle, office suplies, part of your house (if used as an office), and of course the tractor).