Hello all, I wanted to first thank everyone who reads this and takes the time to answer and guide a fellow eathmover. Secondly I am the son of a developer in new england who also owns a (non union)construction management firm that for the most part was enacted to perform in house cm work. Since i have been in the business (2 years) i have created a general contracting division and i currently have added 6 trucks (pickups and small dumps etc) and a cat 287b Multi Terrain skid steer + a new 305cr excavator with thumb, aux hyd, and small cat hammer. Now the frustration...my father a semi retired businessman would like me to further the business (which i have been even from the excavator cab) by growing the CM side and squashing the GC part. I in part feel the need for convenience and quality standpoint am enjoying the management and operation of my small sitework/masonry division but now am pushing for around a 7 digit price equipment support fleet. My argument is simple as a developer and even CM sitwork is a NECESSARY component in any project and even thought now it seems like a large hit to swallow a million + financing for heavy equipment that eventually in due time this cash will turn into equity and convenience/successful quality control for our namesake. So far he has let me take it to the level i have mentioned and i am truly greatful but he also knows that so far in two years ive brought in 5 million of business and never once have we lost on the personell that are in staff. This counts for something with him and even though the personell i currently have is capable with minimal training of operating the equip i am proposing to hire a manager/truck driver/mover/operator/layout foreman to manage the whole division under myself. Any help / advice info would be great. I also feel as thought the following equipment would serve as the necessary Phase I of my division... What are my strengths? Weaknesses? and points to push to my company and the powers that be? (1) Cat 330CL Loaded Aux Hyd and Cat 120 Hammer (1) Cat 930G Loader with attachments (1) Cat D5 (or D3) (1) Cat CS-563 (used or new 562??) (1) Kenworth 900 or Peterbilt 389 387??? Tractor (1) Peterbilt 335 6 or 10 wheel dump (1) 55 Ton Low Boy Gooseneck for Tractor (1) 30-50-100 YD Dump Trailer for Tractor (1) 15 - 20 Ton Trailer for 6-10 wheel Peterbilt 335 Currently Own (1) Cat 305CR with thumb and Hammer (1) Cat 287b Multi Terr Loader I truly thank you in advance for everything! -TES
I am kinda confused on exactly what you are asking. Are you saying that you want to expand your site development division and the machines listed above is what you want to purchase ??? Well, we also do site development and i'll give some input. You are going to need more than 1 excavator, especially one that is more versatile. A 330 is a nice machine if you are doing deep sewers or hoging out lots of dirt. But kind of a pain if you have to put in culvert pipes or dig trenches for underground power/comunnications. If you are going to only purchase one excavator, I would pick up a 320 with a quick coupler. We have a Kobelco 200 which is the same size and we do all of our site development with it. I've put in sanitary sewers 19' deep with it, dug retention basins, build roads, etc... Couple things that you are also going to need is a artic haul truck, and a trench roller or plate compactor. The D5 is a nice size dozer. It is able to push a decent amount of material, yet it isn't too big to grade.
I would add that you would need some kind of single drum roller 66" or bigger for compaction. Every site work job needs compaction and not just trenches. After we strip top soil and do rough grade we even compact sub soil that won't be some kind of flat work just to keep it from getting to wet. The smooth drum would be better if you are only going to buy one but a pad foot and smooth would be nice if you can do two
Definatly get the D5 and make it the N model...btw are you planning on getting all this right away? The Petes and the lowboy could prolly be put off if you don't need to move much...that way you can get some more money into the making machines
If those Peterbilts are the brand new models stay away. My uncle drives a new 387 or 389 that has been nothing but trouble. A proven model like a Kenworth 900 or Peterbilt 379 would be the best bet.
TES, Can you explain the thinking behind the equipment? How did you measure the cost of owning the equipment? What is the market your in now? ( 5, 20, 50 lot subdivisions?, roads? commercial or industrial sites?) What new market will you go into? Will you do sewer, water, utility work? Are you licensed for this work? What are the sizes of the actual sites you will work? What volume of earth will you move? Is volume of earth or versatility your main work? What percentage of your work will be trenching? 5', 10' 15' or more in depth? What percent of your work is rock? Will all your work be for your own develpment or will you be bidding work? Do you own material to sell? What is the projected daily cost of owning all the equipment starting the day after purchase? This list could go on a long way. To answer your questions there needs to be a picture of what you will do with it. Nick
He has that on the list...... Cat CS-563
My bad! Sometimes I am as dumb as I looks.
Cat420 - What kind of troubles is he having?
I can't remember the specific problems, but I know it has broken down while out on the road a number of times. He trailers horses so it doesn't have the same specs as a heavy hauler, but it's the same basic setup. I'll ask him what the problems were the next time I see him.
I don't know what size of projects you plan on taking on but for residential construction all you really want would be 1 or 2 tandem axle dump trucks say T-800 Kenworths something that will pull a pup trailer or transfer trailer. As for excavators I prolly wouldn't go anybigger than a 200 size machine something like a Hitachi 200LC a 160LC will do 99% of the work you need. You want to avoid machines that you need to lowbed you want something that you can carry on a triaxle tag trailer pulled behind a tandem axle dump truck. A lowbed sits most of the time your better off hiring a contractor or buying a real cheap lowbed tractor and trailer. You really don't need a wheel loader a rubber tired backhoe would do most of the material moving. I guess you guys use bulldozers around here they are not used much but again want a machine that you can carry on a tag trailer. I know excavation contractors that have been in the business for up to 40 years they all have the same thing to say is stay small and managable. Have 2-3 employees plus yourself and thats it. You start sinking yourself into debt buying equipment that is going to sit you will go broke. We have a contractor here putting in a 200 acre subdivison now has 3 guys doing the project. They do have bigger machines Hitachi 300s and a couple Volvo articulated trucks. What ever machines you don't use on a regular basis rent them like viberatory rollers its cheaper to rent a new machine for a month than it is buying a used machine that wants to die in the middle of a project. Good Luck with the company
^ I can't see ever owning a tandem dump. You use just as much fuel with a tandem and the tags are just a little bit more for a tri-axle. I can't see owning anything but a tri-axle.
We don't use lift axles on dump trucks we do use tridrive dump trucks they have 3 drive axles the trucks are good for 20-25 ton. Lift axles here would be ripped out the first driveway we go down. All you want to haul is 15 ton a load which a tandem axle dump is legal to haul start hauling more than that your wearing tires and wearing out the truck. The tridrive trucks we have here run a 21' box they are good for hauling longer distances. It is about 3-4 grand a year for insurance on a tandem axle dump with a gross weight of 57,540lbs.
And it does happen too!!A friend who logs almost lost his drop axle about a month ag ne side where it mounts too the frame broke,but luckily the other side held until he was able to get it stopped.Scary stuff!! Forgetting them down while turning is really hard on em'.
The driveways we have here have such a break over angle when the front wheels go over the first hump and down the fuel tanks usually just clear the rear driveaxle bottoms out. The biggest thing we have to deal with is braking power 15 ton is okay start pushing the 17 ton mark which isn't legal you definatly notice it when decending a 10% grade.