I have a project that I need to rent a grader, water truck and ride on compacter smooth drum. I am charging the following ; Backhoe with operator $160/hour , motor grader $180, Water truck $110/hour, ride on compactor $ 110/hour, jumping jack $40/ hour. This pricing includes deliveries and fuel based on 160 meter hours of use. My cost is as follows; backhoe I own ( at $160/hour in a 8 hour shift I make $1280. 1280- fuel@$80 =$1200 - $500 for maintenance = $700 - $200 for insurance = $ 500 company profit - $ 400 what I pay myself for the day = $100 company profit ) Motor grader my cost per month is $12000 rental fee only, compactor smooth drum ride on $5400/ month rental fee only, water truck $ 8000/month rental fee only jumping jack $ 800/month rental fee only. Is this going to brake me or make me a profit? Thank you for all your help.
I see no mention of labor costs. You can't fill every seat yourself and be efficient. $400 for you per day for 20 days = 8000 How many days of backhoe in that month @100? $12000 for a motorgrader / 80 hours = $150 per hour for the bare machine. $5400 for the roller / 40 hours = $135 per hour for the bare machine. See where I am going here? you will indeed lose your ass if you try to fill the seats at those rates and have those machines for a month.
I think it's really hard to make much profit when you have to rent multiple machines. Maybe if you were charging for a complete month of steady work for all the machines you could. Contractors might rent a specific machine for a project but generally own their machines. If they could make decent profit renting all the machines they need nobody would own their machines. They'd just rent them and leave repairs and/or maintenance to the rental outfit. It's hard to rent all the machines and be competitive on price if you want to make a similar profit. I don't think you can.
Thank you all for your input.