Buying???

denick

I'm down to the serious part of "maybe" buying the CAT 314 we've been renting.

The economic outlook scares me from the people I talk to around our area.

Well I guess I needed one more thing to torment myself about.

It's been a long time since I bought new. Used equipment has done the job just fine.

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Nick

"Every day I remind myself that my inner and outer life are based on the labors of other men, living and dead, and that I must exert myself in order to give in the same measure as I have received and am still receiving" Albert Einstein

Tmrrptr

Denick,
if you NEED it, gotta have it, and it will make you money, buy it.
You might even try to negotiate with them for a great price.
But I can't see that a lot of construction equipment won't be real cheap, soon.
r

Cat385

Denick I am sure you all ready know what I will say. If you have the work I would say . Also what about the rent $$$. That should go towards the purchase.

tgeb

Do you have future work on the books yet?

Are your typical customers still signing new work?

As far as the economy I see it as we are closing in on the bottom of this downturn. Real estate values will continue to drop some as more places come on the market, the Fed has already lowered rates to help get things going again, but it may take time.

Next year is an election year and no major policy will be done on anything, so all will be pretty much the same as it has been for years. The only big damper on the economy is fuel prices which, if we have a warmer than average winter (which is predicted here), fuel will stabilize or come down.

The equipment manufacturers are trying to sell off inventory and are offering good deals and financing is low. (I am looking at adding a machine this year due to the good deal I can get now)

The thing is you will have a 4 or 5 year note and no one can forecast what will be the conditions in 20 or 30 months from now.

I know that in the more affluent areas work will continue to be found for those that can adapt to it if needed.

Where I am it is very recession proof because there is so much Government spending. But I have weathered a couple very lean times due to recession, so I know it can get bad.

Quite frankly, I know it is slow in a lot of places now but I don't see that the economy is tanking, and I think growth will pick back up soon.

There is a lot of "doomsday" stuff on the news....but that's how they get people to watch, no bad news = no viewers, who wants to here that all is well?

Bottom line is, can you get a real good deal on this and do you have/can you get the future work to keep it busy?


That's it in a nutshell.
My longest post so far I'm sure. I hope everyone enjoyed that.


Where's Pipeguy when you need him?

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Tom

www.gebcon.com

rino1494

Just think Nick, if things get tight, you can just sell it. We all know how those Cats hold their resale value.

__________________
Life is hard. It is harder when you are stupid

Uncle Sam wants YOU....to speak ENGLISH

jmic

Nick you should have rented a Kobelco, you'd be getting a much Sweeter deal now.

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___"Remember You Never Get A Second Chance To Make A First Impression"______________________
Joe

Vinny

Nick, all that cash burning a hole in your pocket?

I dont know on the new / used thing. When I buy new I always get a buyers remorse fit. Then, if I buy too used I get pissed I didnt go newer.

I have always liked buying light hour rental, demo, or turn ins like one year old. This way you get a fairly new piece of iron at a great price and the biggest hit to its devaluement is past. And the technoligy doesnt change that fast from 1 year to another.

But if your so flush with money you dont know what to do with it, I will send you a self addressed envelope.

Small bills please.

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Roccies Asphalt Paving
The Right Way Driveway Company
If you say you cant, your a loser. If you say you wont, your a quiter. Which one do you want to be?

jmic

If anyone has stock in Cat, they may want to sell it untill Nick gets done negotiating with them for this machine, he's just ruthless. Poor, poor Lee (Cat Salesman) another couple of weeks and he'll be a drinking man.

__________________
___"Remember You Never Get A Second Chance To Make A First Impression"______________________
Joe

Vinny

H.O. Penn can use a beating. Man, do I have a couple of stories.

__________________
Roccies Asphalt Paving
The Right Way Driveway Company
If you say you cant, your a loser. If you say you wont, your a quiter. Which one do you want to be?

fhdesign

[quote=Vinny;306628]I dont know on the new / used thing. When I buy new I always get a buyers remorse fit. Then, if I buy too used I get pissed I didnt go newer.

Vinny said that well!
Running a small business you're always gambling when making a major purchase, but I would lean toward buying it new.