Saturday, April 28, 2012

Equipment Upgrade

A couple of weeks ago I met a 23 year old that is excessively motivated to succeed.  I don't know if its just Alberta, or that generation of kids, we call "the generation of entitlement" because they, generally speaking, have no motivation and think they are entitled to success.

This young man, Justin, contacted me looking for some joint ventures in business.  He runs a part time earth works company, wile he is a full time heavy duty mechanic.  His earth works company runs into a lot of electrical over lap with trenching and new construction work.

At 23 Justin owns $60,000 in equipment, with no dept, and he keeps it busy.  But his equipment, and how he gets it is what really sparked my interest.  He runs the mini skid steer primarily, a $25,000 machine brand new. I call these mini skid steers the future of urban development, because they are only 36" wide they get into back yard gates, and through home doors.

I searched Canada for a used machine.  I was able to spend the $12000 people were asking, but they sold quicker than I could get to them.  Or in one case, the owner actually decided not to sell it, as if the earth just thawed, and he was reminded how useful it is.  So like Justin, I turned to searching the states.  Used equipment in the states seems to be virtually worthless.

South Dakota I found an SK500, a middle weight mini skid steer, for $3900.  That is less than I paid for my handle bar walk behind trencher in Canada.  Granted I still need to buy a trencher bar for the skid steer at $5000, but it will make my trenching and back filling life so much easier.  My handlebar machine really tries to kill you with big trenches, and then you have to back fill them after the machine beet the crap out of you

This is a picture of my machine, I should get late next week.
Attachments are expensive, but I can actually cut down the buckets for my full size bobcat, and save some coin there.  I can also make pallet forks, make buckets, my trailer able back hoe could end up going on this for back hoe work as an attachment.   For this machine I can buy post hole driller, trencher, anything the bigger skid steers use, but what really excites me is the Roto Witch.

Directional drills weigh in at 10,000lb +, and cost $100,000+.  I'm just not interested in spending that and hauling it around.  Ditch witch has made a roto witch, which is just a 30' drill bit that can connect your two trenches on either side of your driveway.  No more jack hammering drive ways and side walks, and doing scabby concrete repairs.

I'm sure I will make a video of the SK500 unloading. next week.  The next challenge will be transporting it.  The 500 only weighs 2200lb so hauling it without a one ton is very achievable.
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