Getting Started

Cherryhill_cons

How did you all get your businesses started? I am 20 years old and am trying to start my Excavation/site prep and grading business. I own a bobcat s185 which is 2 months from being paid for , a 2004 dodgeram 1500 4x4, and a 16 foot float. There is lots of work being done in my area but i just cant seem to get my foot in the door. I have been talking with a few local contractors, leave my cards every where. I would like to buy my friends 97 kobelco sk120 with 1700 hours and his Dump truck and float but want to get some jobs so i dont have the larger equipment sitting around. I have a bigger job ( clearing 3 acres of forest) putting in 1.5kms of drive way in a wet swampy area, and digging a pond and drainage for the whole 20 acre property) but the property owner (my father) doesnt need that started till september I have a job building a home and doing the grading and backfiling , and all the constructing aspects of the house to until i get more jobs. Would it be wise to buy the equipment so i have it ? ( i make enough to cover payments) Then another problem is getting a loan for the equipment.

Thanks
Sean

send_it_all

I would suggest avoiding overhead at all cost. Only buy equipment you absolutely need.

4theroc

cherry, im in the same situtation as you. Im 23 and have been trying to get with a builder to do the site work on new residential construction. I send my letter heads out to builders, fax them over etc. still havent gotten anything from any builders. Im stuck doing residential work. I just dont know what it will take to get in with a builder. Sometimes its discouraging but when the residential stuff gets rolling, 1 advantage is that i get paid right away vs. waiting 30 days to get paid. but the residential stuff definetely is not consistent. Only over head cost i have is the yellow pages ad. general liabililty and thats it. All of my pickup trucks, dumptrucks, tractor and trailer are paid for. So most of my expenses are stuff i pretty much can just get rid off. But dont give up something will come along. And buy the way, if you want to buy a truck all of my dumptrucks are for sale. ranging from $6200-$11500

bobbyg

i started my biz last year...im a one man operation...i have an S185 and after 6 months added a dump truck

at first i was focused on getting in w/ contractors in my area...i started by sending out over 1000 letters to local companies, but the response was not good (maybe 2-3 jobs)

where i have found my niche is in the residential market...the first 3-4 months were slow very slow, and then the winter came but with spring the phone started ringing and ringing and im very busy right now...when you think about it just about everyone can use a Bobcat in their yards for one thing or another...

my focus is small jobs, 2 days max...

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rino1494

Honestly, you can't own a site prep/grading business without at least a dozer and a excavator. You are prolly gonna have to put some ads in the paper to get some work. Make some friends, that is how most work comes about. The more friends you have the better.

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ruskent

Rino said it. You need to make friends. On my projects are some trades i could do in house, yet i sub them out. I sub them out since it helps expand my network.

ruskent

Rino said it. You need to make friends. On my projects are some trades i could do in house, yet i sub them out. I sub them out since it helps expand my network.

denick

C_Hill,

You ask how others got their businesses started. And how can you get started in site work.

Why don't you try selling those of us who have been in this business for a few years to hire you?
Why would we hire you to dig a basement?

Why would we hire you to stump a lot?

Why are you the company to do work we have?

What have you said to these contractors already?

4 the and bobby go a head and give it a try. Start your own "why you should hire me" threads.

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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

Kgmz

I don't see how you will make it with just one machine, a skid steer.

Do you have any attachments for it?

Where is there a need in your area?

I started many years ago with a backhoe and 5 yard dump truck doing side sewer and water line hookups. I ended up getting a JD350 dozer right away because I had a lot of homeowners in these developments that wanted someone to finish their backyards, grade and spread topsoil, etc. The dozer then generated more work from the home builders digging out for foundations and then grading around the house afterwards. The dump truck generated income hauling in topsoil, bark, etc. for these homeowners. This was all back when homes came with big lots that you could drive a backhoe or dozer around.

Around here I know a few guys that are doing very well with the small equipment, because of the small lots these homes are now being built on in the developments. A skid steer and a mini excavator and you are set up to do about anything on a small lot. And some of them are getting a very high rate per hour, up to $150. It was hard for me to believe but I think they are getting it because they are so specialized.


But like Rino said you will need something to dig trenches, and something that can grade better than a skid steer.

We eventually had big equipment and went back to medium sized stuff as we quit doing sewer main work.

What we own now:
Cat D3C dozer
Cat D3G dozer
JD 310D backhoe and Allied compactor and breaker
JD 490D excavator
Cat 928G loader
Cat CS-563 vibratory roller
JD 4310 tractor loader with brush mower and post hole auger
Grove AMZ66 man lift
Peterbilt 378 4 axle dump truck
TrailMax TRD50 trailer 3 axle
Eager Beaver B9DOW backhoe trailer (our first new trailer bought in 1988)
Bulldog 6ton tilt bed used for the tractor behind a pickup.


Edit:
Forgot I actually started with a Chevy C-60 flatbed that I pulled the backhoe trailer with. Was nice to haul pipe on but a dump truck was really neccesary so that came very soon afterwards.

POOLMANinCT

that could be a good exercise, i tried something similiar in the "pool basement." try to sell me, i am a swimming pool contractor (& i am the guy w/ shovel & trowel), swamped, i personally cant dig, & have a million other things on my mind... i'm a good lead... dont ask me what i need, tell me what you can do to solve my "problems."
after you throw your "rap" at me ill tell you what id be looking for.

remember the key to marketing is "benefitting the prospect & demonstrating an awareness of specialized needs" come w/ those prepared & you will catch somebodys ear.

ray

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Cherryhill_cons

I was thinking that mabee a machine such as a bobcat t300 or cat 287b would be a better machine beacause with the tracks and bucket it can do the work of a small dozer and with the amount of attachments available for the bobcat it would be worth its weight in gold.

rino1494

They are good units, but can't beat a 6-way blade.

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Uncle Sam wants YOU....to speak ENGLISH