Major Decision

Steve, the minimum I'd say you want to stay is at least 1.5x the length of the rig in mats. That way you can shuffle them if you need to move further then the length of the truck. That's been my experience with bucket/chip trucks
 
I don't have a cool crane but I like to care 20 when matts are needed. My crane contractor has 20 on each of his rigs, with a pile of extra at the shop in case an oh $h!t moment occurs or for rent. With that big of a truck 20 would be my minimum!
 
Hard pass on shuffling mats. We keep 30 mats on the crane. When on the deck, the mats do add to the safety factor regarding stability. I plan on making a rack to hold the mats and have lift points.

I need to add dunnage for setting up when I run out of travel on the outriggers as well as softer conditions. I could see some customer's not wanting an indention from the pad being pressed into the yard, although 4-6 mats thick would do well to spread the load.

Here's a picture of the 20 trees I took out today that shows the mats.
2017-04-19 19.16.14.webp


And a prime place to have dunnage from a job last Thursday... ran out of travel on the front outrigger.
2017-04-13 17.42.41 HDR.webp
2017-04-13 17.43.08 HDR.webp
2017-04-13 18.52.57 HDR.webp
 
Man I keep hitting road blocks. Equipment financing is a total hassle. Even with a perfect credit score and offering 1/3 of the equipment cost, nobody wants to fund a large purchase to a start up company. I even provided tax returns from when I had my own biz. I keep being told if I had been in biz for at least 2 years I'd get the loan no problem. I haven't given up but this is extremely disappointing.
 
That 2 year timer starts ticking once you form a business. Maybe a very, very, very low overhead business, not trees, until your ready to pay that insurance.
 
Steve, have you tried Northern Atlantic Financial, LLC? JoAnn Cucciarre is the one to talk to there. Her email is joann.cucciarre@comcast.net. If you haven't already, she may be able to help you as a new business start up. I was trying to finance a $75k chipper with 40k down. She was going to try and do something for me but the chipper went off the market before I could get back to her. Good luck!
 
@Steve Connally Have you tried Joanne Curcciarre with Northern Atlantic Finacial. I used them for my chipper and it was extremely easy. Less than 24 hours and I had the check headed to the dealer and a chipper in my yard next day. VERY EASY TO WORK WITH
 
flyingsquirrel25 said:
@Steve Connally Have you tried Joanne Curcciarre with Northern Atlantic Finacial. I used them for my chipper and it was extremely easy. Less than 24 hours and I had the check headed to the dealer and a chipper in my yard next day. VERY EASY TO WORK WITH
Click to expand...

Do these places have a higher interest rate than a traditional bank? Just curious.
 
Steve Connally said:
The issue is not currently being in biz. If I was they'd approve it but thanks
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It will be very hard for you to get the financing on a large piece of equipment like this. Even if you are an established business it can be difficult. I have had no success with banks and getting financing. What make getting my crane possible was it was used, and I put a large down payment.
But, don't let that get you down....its just part of the process.
 
ROYCE said:
Do these places have a higher interest rate than a traditional bank? Just curious.
Click to expand...

I don't think the rate is all that much different. They wind up going through a bank, they just locate the right bank for your credit, history and what you are looking at. My chipper is right around 5% (went through NAF) and my chip truck is around 4.5% through my local bank. The difference was 5 weeks to get 20K for the chip truck and less than 24 hrs for just under 50K on the chipper. Joanne and here team knows our industry and the players within it which I think makes them more efficient at getting the loan commitments. My bank took a week and a half to figure out what a chip truck was and what it was worth. lol.
 
Have you talked to who's doing the upfit? Most of the time they have their own sources...our bank has always seemed to have issues with used rather than new equipment...maybe buy the truck you were talking about and finance the kb/upfit through the dealer? Ive heard it's rough to secure funds with an un-established business.
 
I have talked to the dealer. They tend to stay out of the finance side but are networking my case as much as they can. I'm not feeling like this will work out. It puzzles me because how many of their clients can put down 100k cash
 
Steve Connally said:
I have talked to the dealer. They tend to stay out of the finance side but are networking my case as much as they can. I'm not feeling like this will work out. It puzzles me because how many of their clients can put down 100k cash
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The problem lies in depreciation. Once you take that equipment off the lot...its will depreciate a good amount. The bank then will be left with a depreciated piece of equipment they will have to try and sell. Even with you 100K down, the bank has to weigh in on...if this guys defaults on his loan...are we going to end up with this.
You should try Volvo Financial...they typically deal with a lot of crane financing and are much more supporting when you put a large deposit down.
 
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