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  #11   IP: 86.165.6.25
Old 19-12-2011, 09:54 PM
DNgroundworks DNgroundworks is offline
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Default Re: Plant Finance

Not really a question of not affording it, if things went bad for you Local would you not sell a machine?

Im just thinking what if.

I have either a 2.8t or 1.5t machine on hire nearly all the time - 3 weeks outta 4 - lets say for arguments sake that costs me £1000.00 p/m in hire charges, surely i can make the re-payments, make a few quid, maintain and utilise the convenience of the machine for less money? As well as owning the machine rather than paying somone else's repayments, it was just a thought.

Bare in mind im a relative new comer to working life in general, been in business 5 years and im 22, so any advice is gratefully received
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  #12   IP: 82.132.138.153
Old 19-12-2011, 10:23 PM
cveedub cveedub is offline
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Default Re: Plant Finance

Don't forget the other costs too; insurance, servicing, transport, parts wear and tear etc. Also consider cash flow, I.e if your vat registered, can the vat be afforded upfront or are u better off leasing. Sounds like owning your own machine is way to go if u can afford the extra time looking after one.
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  #13   IP: 86.165.6.25
Old 19-12-2011, 10:39 PM
DNgroundworks DNgroundworks is offline
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Default Re: Plant Finance

Transport wouldnt be a problem, i already have a trailer, i could just add the machine to my current insurance policy, servicing and maintenance wouldnt be an issue, i have an awesome mechanic/fitter in the family.

Never considered the leasing option, any more info, and ive just registered for VAT.
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  #14   IP: 109.157.8.4
Old 19-12-2011, 11:11 PM
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Local Diggers Local Diggers is offline
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Default Re: Plant Finance

Leasing is like renting, throwing money away, you got to buy.

I did have to sell a 1.5 takeuchi last year to save my house. Was a tough choice but i had saved up to buy it as im a firm believer in not having things i cant afford other than a mortgage. Good thing is that if my kit isnt working its costing me nothing to sit out back. You have to do what works for you. But 6-7k will buy you a secondhand 1.5t in good nick that you can work and earn with. Buy that out right and saving 1k a month on hire costs itll pay in 7 months. After a further 8 months you might sell original machine for 5k easy and have 8k in your pot plus your original 7k back. In theory thats a new machine in a year and half. Thats assuming you dont have any upsets along the way. And you got your original 7k back in your pocket.

There is a hundred ways you can do things, thats the way i try to do it.
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  #15   IP: 86.157.120.226
Old 20-12-2011, 06:40 PM
DNgroundworks DNgroundworks is offline
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Default Re: Plant Finance

I like your thinking Local, ill give it all some more serious thought before i make a decision, and most importantly see how work pans out in the new year, im remaining optimistic.

What would you expect to pay per month on a 3 year deal, 30% deposit on a new/newish U20-3 machine? just outs of interest
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  #16   IP: 86.173.169.73
Old 20-12-2011, 07:33 PM
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Default Re: Plant Finance

Lets say you spend 18k on a machine.

You put down 6k
12k out standing
Lets say theres 10% intrest
Over 3 years.



Your monthly payment would be: £384.78
Your total amount repayable: £13,852.08

Assume you have to maintain the machine on top, myself i would allow 150 a month in to a kitty.
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  #17   IP: 86.26.201.210
Old 20-12-2011, 08:45 PM
strott strott is offline
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Default Re: Plant Finance

You are looking at the right place - there is no U22-3 (my mistake ) As you say the 20-3 is the first zero tail swing with a cab, otherwise if you want to go a bit smaller a standard 1.5 ton machine with a cab is an option and possibly cheaper to buy.

Other thing to consider is if you may want to add any attachments to the machine - do you need a minimum oil flow e.t.c?
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  #18   IP: 86.157.120.226
Old 21-12-2011, 12:35 AM
DNgroundworks DNgroundworks is offline
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Default Re: Plant Finance

Cheers local, i thought around that figure.

Strott, with regards to minimum oil flow, i really dont know, i just need a machine 70% for domestic work, driveways, patios, footings for builders and the occasional breaker.

Ive used both the zero and standard and to for me i prefer zero tailswing, especially in the domestic trade.

I was driving for around a month the zero tail 5.5t kubota from brand new, literally delivered to site, i think i could utilise that on quite a few of my jobs, but one of them is pushing it a bit lol
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  #19   IP: 188.220.21.197
Old 21-12-2011, 09:55 AM
cveedub cveedub is offline
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Default Re: Plant Finance

Quote:
Originally Posted by strott View Post
You are looking at the right place - there is no U22-3 (my mistake ) As you say the 20-3 is the first zero tail swing with a cab, otherwise if you want to go a bit smaller a standard 1.5 ton machine with a cab is an option and possibly cheaper to buy.
Ive started taking a serious look at the Takechui TB219, has the standard footprint of a 1.5 ton but seems to have some good looking specs.


a kubota 5 ton will be a fair amount more to finance than a 1.5 ton
I know what u mean though, Iíve spent most of my operating time in 5 tonners and seriously still considering one, only downside being the haulage costs. There are some very good deals to be had on used machines at the moment, plenty of choice too.
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  #20   IP: 90.193.135.205
Old 21-12-2011, 07:41 PM
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AtlasRob AtlasRob is offline
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Default Re: Plant Finance

Quote:
Originally Posted by cveedub View Post
......... only downside being the haulage costs.
I think many of you boys are placing too much weight ( sorry) on the transport side of this equation.

Reading other posts, the laws are tightening and dragging a small machine about behind a 4x4 or pick up is looking to become a very expensive hobby.

Punt around your local haulage, plant and recovery outfits and see what they can do for you. Many plant companies move other folks kit in order to make their own trucks a profitable option.

Once you open yourself to other methods of transport you then widen your options on size of machine.
Why struggle to move a 1.5t with all the legal requirements to be legit when you could be operating a 3, 4 or 5t legally with someone else shifting it for you.
I know it can seem a major cost for a oneday job but a slightly bigger machine could lead to a several day job. Sometimes you will be able to move the machine straight to the next job so saving on haulage costs which should be costed into your price anyway.

It seems to me its going to be a micro machine OR a >2.5t depending on your client base.
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