Monthly Archives: September 2014

What is a good renting deal?

According to a report, 7 out of every 10-bank loans is rejected generally by the banks due to a number of reasons. Though there are many other options, but it is always best to get your constructional heavy equipment from the renting companies. It is because they don’t need you to have any financial statement. But, before closing your renting contract, how can you tell if you have picked out the right renting company?

Everyone wants to have a good equipment renting deal, and perhaps you are not an exception to this. The most important factors which determine your quality of the deal is listed below:

  • High Left-over value:- It is considered to be a very important factor. High left-over value can be easily translated into mean smaller monthly payments. And once you got a clear concept of how this works, you can easily explain the difference between renting two more or less same equipment. Actually, leftover value is the anticipated value of the construction equipment at the end of the renting period. So, if you have found that the equipment has a higher leftover value, then just relax- you have a good renting deal.
  • Competitive rate of interest:– It is also a very important factor to decide whether the renting deal is good enough or not. You must be conversant with the equipment leasing terms which the sales people use. It is due to the fact that generally these terms are quite different from the actual market terms. For example, most of the renting companies prefer to use the word “money factors” in place of interest rates. And, if you don’t get the terms right, you may be among those unlucky guys miss out a crucial segment of a sound deal. If you are hesitating to negotiate due to the incorrigible terms used by the renting company, then you can go to your financial advisor to find out if better rates of interest are available in the market.He can also tell you that the renting deal which you have chosen is appreciable enough.
  • Lower expense:- You can tell the owner of the company to lower your expense mainly your monthly payments. You can ask the company directly the reason of imposing such a huge fee on your renting deal. Try to go for a negotiation. If you are lucky enough, then you can get back security deposits and other fees which were the obstacles in making your deal a good one.
  • Customer service:- A good company should know how to render a satisfactory service to its customers. They should keep contact with you even after the end of your rent contract.

 

If you want to transfer your leasing contract with another company, then also you can do that. But, if your contract terms do not agree with shifting the contract to any other renting company before the end of the term, then you have no choice. Most of the renting companies now provide more flexibility, especially if you are renting a heavy equipment, so that you can have some room for negotiation.

You should not idle your heavy equipment because it burns diesel with the new engines of today

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Heavy equipments that run with diesel like generators, oil rigs, mining equipment, farming equipment and hydraulic system burn diesel by standing idle often. Exhaust that rise from diesel engines emit Nitrogen dioxide and Particulate matter in higher proportion as compared to gasoline counterparts. A survey report on environmental pollution shows that most of the air pollutants come from diesel engine. The US Environmental and Protection Agency has put forward new quality and emission standards to solve this problem, emission that took from existing heavy equipment will continue to pollute the air.

You should not idle your machines because due to the continuous burning of diesel lead to lowering the resale value, increases the wear of your engine, lessens the warranty coverage and amplifies non-productive hours. Excess idling of the machines can also results in forming the soot faster which in turn require more frequent service and change over.

What are the facts related with heavy equipment idling?

    • Equipment which is allowed to stand idle can cause more damages than the machine which is running.
    • Manufacturers that deal with diesel engine equipments generally recommend three minutes of idling before starting it.
    • “Gelling” of fuels is also a big problem that mostly takes place in cold days.
    • One hour of idling of full loaded 20kw generator 1.9 gallons of diesel fuel per hour.
    • It is advisable to let the engine run, as the process is not more cost effective. Unlikely, if the engine is made to start and stop frequently, then it consumes more electricity.
  • An engine cause more damage when it stand still or idle.

 

 What are the reasons to stop idling heavy equipment?

  • To lessen air pollution: – If you keep your engine shut down for atleast one hour, you will prevent approximately ten pounds of carbon dioxide from being released into the air.
  • To cut off the emission of the particulate:- The particulate materials from the diesel engines are hazardous to health causing cancer, lungs diseases, asthma and other respiratory problems. You can stop this emission of the particulate matter by letting the engine run.
  • To save money and fuel:- You can save upto 1/5 to 6/10 gallon of fuel per hour by not allowing the engine to remain idle.

 

  • Letting the heavy equipment engine idle definitely will draw a lot of power from your battery.

New engines of today don’t require any more idling time to suit itself according to the operating temperature. Once the engine is kicked on, it can retain the heat for about 25 minutes after the engine is switched off anyway. A study by Transport of London has proved that idling overall increases the wear of the machine to 100 times even in case of new engines because it points to the fact that the engine is working for a longer time than required causing incomplete combustion and emanating noxious fumes.

 

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The First Few Years Are The Most Crucial Years In The Construction Industry

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If we ponder on the fact how difficult were the first few years in our school or in our first job, we are likely to realize that those days were the most beautiful days though it was full of struggle yet, they were the days which we will always remember for ages. So why do we want to remember those days that had so much of sufferings for us and still we consider them to be the most beautiful times of our lives. Well, it is because that was the time when we learned things. As the years passed, we kept on working on things that we learnt and also simultaneously learnt new things and upgraded our knowledge but the first few years of our school were the foundation period that eventually made us what we are now.

The same theory becomes applicable in setting up a business. The first few years can become intolerable as you have to put in a lot in your business. You don’t get proper sleep, no time for your loves one, no time for family, no vacations, no celebrations and in this process you also tend to lose out people from your lives. But that pays off with time. The sort of dedication you have shown in your business makes your present and simultaneously builds your future. Especially when you make up your mind to start a business in the construction sector, it pays you off real good. Ever wondered what kind of training one goes through that keeps him/her alienated from the rest of the world.

Research and analysis:-  Construction industry is huge and not a being can learn it all in his lifetime. Having said this, one has to understand the most of it and the way things work here. He needs to understand the market in their country, needs to know the kind of equipment needed to complete the project, team handling etc. It takes years for a person to learn the basic of everything and then he has to capitalize on the subject he finds interesting. Once he identifies the subject he wants to work on, he gets on with it and works towards it. He may work with someone else or may set up his own company then, either way he will have to give a lot of time to his work. However, once the initial phase is over and he is recognized in the industry, things will turn brighter for him.

Identifying your competitors:-  It is only during the first few years that you start identifying your competitors and how good they are in their business. Since you have to compete with them, you need to upgrade your standard. You can also find a role model in them and if you want can start thinking like him. However, it is advisable that you become a man you want to and let your role model be a role model.

Give scope to innovative thinking:-  You can experiment with your work in the first few years because you are allowed to make mistakes then (not severe ones though). As it will be a start up business, you should use your innovative skills to bring changes in the way you work. That will definitely work for you.

Top Ten Demanding Skid Steer Loaders

In any job construction site, you have probably seen a multi terrain loader and the skid steer loader affixing a wide range of labour-saving tools. The small size and manoeuvrable qualities of this skid steer loader assist the machinist to operate it in a confined space. Most of the time, it can be seen that the construction business owners though desire to procure the top rated multi terrain loader but due to the lack of information related to this heavy equipment, they fails to buy the suitable one for their business.

Here in the following article, the construction businessmen will get to know about the top ten models of skid steer loader widely used by the well-renowned construction companies.

Skid Steer loader or skid steer is an engine powered heavy equipment that is obtainable with lift arms. This sort of loader has typically four wheels that are automatically locked in harmonization on each side. Varied versions of skid steers are available in the market with assorted attachments like auger, trencher, and snow blower and so on.

Latest Top Ten Skid Steer Loader Models

95XT is the skid steer loader model name which is recently launched by Case Corp., Racine and Wis. This paraphernalia draws electricity from the turbo charged engine, Case 4T-390. This apparatus has the capacity to operate on the weight of 9050lb.

Cat 216 is the latest skid steer loader manufactured by Caterpillar Inc, the famous heavy equipment manufacturing organisation. Its capacity is 1350lb and is powered by 4-cylinder diesel motor. This bulky equipment gains popularity in a very short period of time because of its 52 gross hp.

1760XL is a large-frame skid loader which is contrived by three chief heavy equipment manufacturing companies – Daewoo Industries America Corp., Ga., and Suwanee. Some of the attributes of this bulky apparatus are 62.4hp diesel engine, 4 cylinders and 1700 lb functioning load.

Ill, Elk Grove Village and Hyundai Construction Equipment are the joint manufacturers of HSL610 skid steer loader. The tip capacity of this equipment is 2650lb. It is powered by the Yanmar made liquid cool engines.

Bobcat 863 Skid steer proffers serviceability, flexibility, dependability to its procurers. The power of this heavy equipment counts on the 4 cylinders turbo-charged diesel motor and it has the capacity to operate on 75hp.

Recently, Mustang Manufacturing Company Inc, Minn., and Owatonna jointly launch 2070 Hi-flow skid steer loader. This loader comes with several features that include 37gpm hi-flow auxiliary hydraulics, 75hp turbo charged diesel engine and operating load rate of 2100lb.

Another top rated skid loader is Lx985 which provides the facilities of elevated groundspeed, longer wheelbase, minor centre of gravity, dump altitude etc. The operating load capability of this construction equipment is 2800lb.

TL26 is a rubber track loader which is mutually feigned by Ga., Buford and Takeuchi Manufacturing Ltd. Its undercarriage rubber track proffers a steady podium for loading and quarrying.

T-245 HDS is another top rated skid steer loader which is available with the option of 73.5hp hydraulic high-flow. This loader gets its power from 83-net hp turbo charged motor. Its loading capacity is 2400lb.

644H four-helm drive wheel loader is jointly manufactured by Iowa, Davenport and John Deree Construction Equipment Co. This weighty loader gets its power from 8.1 L motor. Its operating weight is 38,300 lb and is available with 4.25 cu yd bucket.

So, if you want to procure any of the aforementioned models of skid steer loader for your construction business, without wasting any more time on thinking, select the reliable heavy equipment manufacturing company and order your desired product now.

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Want To Get Your Machine Repaired – Get Help Of An Expert

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Construction industry is heavily dependent on heavy equipment and one need to take utter care of his equipment; because if the equipment go wrong, he has no work to do for the entire day. More to this, the work pending for the day gets carried forward to the next day, which means that he has to complete 2 days work in a single day. This could be quite problematic for a company which deals with huge projects. A delay of work for a day can even lead to huge loses and can also tarnish the reputation of the company. Therefore, it is very important for them to ensure that they have all their machines in working order and if they feel that any of the stuff needs some repair, they should make the arrangements in advance and see to it that things are taken care of much before it goes out of hand.

Knowing the fact that heavy equipment are an integral part of the construction industry, many construction companies keep a team of experts whose work is to check the condition of the machines on a daily basis and if they find anything objectionable then they have to report it to the manager or to the person up in the rank. Once that gets reported, it becomes the responsibility of the managers to take a call on this and give direct instructions to the mechanics who will ultimately get the issue fixed.

Where do you find these experts:-  Finding the right person to do the job is in itself a huge task. We normally find many people who claim that they can do the job but eventually they all turn up to carry very limited knowledge about their domain and only possess the skill to resolve the issue temporarily and can’t provide a permanent way out  to it. In such a situation, it becomes very important to find people who can do end-to-end work for you. There are many educational institutions that train students on heavy equipment. The training ranges from a couple of years to 5 years of rigorous training where they learn everything in detail about heavy equipment. No doubt, that they lack practical application, however that vacuum is soon filled once they start getting some experience in their line of work. This is one place from where you can pick guys and make them as potential experts. The candidates should be thoroughly screened and all sorts of technical questions should be thrown at them. If only they are able to give satisfactory answers, they should be allowed a place in your organization.

Contact your peers if they can help you out:-  If you have your friends who are also into the construction business, you might as well take help from them. Check with them if they know an expert who can fix problems in machines. If your friend is pretty old in this industry, he will certainly know someone who fixes his machine. So you might get some help from them.

Putting it on internet:-  You might also want to take help of internet by posting an ad there putting your requirements. You will be then contacted by an expert who will get the problem resolved.

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How to sell heavy construction equipment

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Selling and buying heavy construction equipment and also renting them out, is a very good business option. As there has been a constant need for these heavy equipment in the agricultural, constructional and other fields, if you have heavy construction equipment that is not being use, then selling it is the best option. Construction equipment doesn’t come for a very affordable or cheap price. So when you sell off your equipment, it is very likely that you will earn a lot of money. In most cases, the buyer, as well as the seller, has to go the broker for doing the job. It obviously involves a loss of the possibility of maximum income. So knowing the steps of selling the heavy construction equipment is very important so that the seller do not need to go to the broker anymore.

  1. Firstly a seller will need to determine the exact value of the equipment that he or she is selling. This must take into consideration all the factors like the age of the equipment, its physical condition, whether it has had any damage in the past or faced any accident in the past. The demand and supply of the equipment in the market at that point of time should also be considered as a determining factor for the cost of the equipment.
  2. Choose an auction to display the product and increase the sales price, so that you can earn maximum profit from the equipment. Nowadays, online auctions are very much popular and the easiest way to put your equipments for an auction.
  3. Once you get the maximum bid for the equipment, you can sell it. The payment must be cleared and it is the responsibility of the seller to deliver the product to the buyer with all the necessary papers and documents.

When you are selling heavy construction equipment, it is very important that you manage to provide all the necessary details of the product to the buyer. If they have any queries and questions in their minds, then you must offer the proper answers to them. For this, you can have an expert in your staff. This little service will increase the sales of your product. Learning the market trends and which products have the best probability for sales for the time being is very helpful in case of heavy construction equipment. The more the demand for the heavy construction equipment is, the better will be the probability of the product being sold soon.

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Why Renting Heavy Equipment Is Better Than Selling It Off

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There is a saying in China that every morning the skyline of China changes. The same is the scenario with the rest of the world. With so many constructions taking place every day, the heavy construction equipment is always in need. Whenever there is a construction taking place, there will be a need for construction equipment.  THESE ARE EXAMPLES OF A CONSTRUCTION DEVELOPMENT OR EXCAVATING CONTRACTOR THAT CAN DO.

Whether it is the making of a new building or a landing scrip or a highway, when there is a construction, the construction company will need either an excavator or a bulldozer or any other construction equipment of the same genre. If you are an owner of a construction company, this is the golden time to make a huge lot of money.

  • Buying construction equipment has become such an expensive job that it is quite difficult for any construction company or an individual owner to buy such equipment. Therefore, there is a constant need for equipment that can be availed at an affordable and reasonable cost. If you have such construction equipment, then you can give it for a rent.
  • Buying new heavy construction equipment is always quite expensive for the owners. Many times the requirement is for a short time. In such a case, they are always in need for the equipment that can be rented for some time. If you have heavy construction equipment that you do not require, then you can give it for a rent to these people, and earn a lot of money.
  • Many people do not prefer to buy heavy construction equipment due to its maintenance problems. Keeping construction equipment needs a very careful attention. Cleaning it and repairing it whenever there is damage, makes it quite problematic after a hectic and strenuous day of work. To avoid such difficulties, the construction companies and other individuals who require the equipment for some time, prefer to rent it. If you are an owner of such products, and do not require them, then rather than selling them, if you put it for rent instead, you can utilize it without any extra attention.
  • Sometimes, there is a shortage of heavy construction equipment in the market. In such a situation, if you give your construction equipment for rent, then you will definitely be a gainer. Never think of selling your equipment in such a situation to get a bulk amount at a time, think of the constant income that you can easily get when you have the equipment to give for rent.

Most of the people do the mistake of selling their heavy construction equipment when their job is done. They think that it is of no use to keep it occupying a large area in the workshop. But if you consider these above factors then you will know the advantages of giving your equipment for a rent rather than selling it. You can try this trick by investing on the equipment for once and make it a business as well.

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How to start Heavy Equipment Leasing Business

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With increase in construction and mining projects worldwide the demand for leasing heavy equipment has increased tremendously. Starting a heavy equipment construction business can turn out to be a lucrative enterprise considering the fact that you know the tricks. According to the USA based Equipment Leasing Association almost 80 % of the businesses in America requires the heavy equipments. So it is evident that heavy equipment rental contributes largely to a company’s success. Hiring heavy equipment is an attractive proposition for companies as they get their desired equipments without spending huge money. Here are a few steps which would be beneficial for you to start the business of leasing heavy equipment. Read it carefully:

Create a Proper Business plan

Firstly decide whether you want to lease heavy construction equipment like Bulldozers, Tractors, Excavators, Wheel Loaders etc or smaller equipment. Add information on monetary projections and revenue statement including balance sheet and cash flow report. Also do not forget to mention what are your plans to surpass your competitors.

Find a suitable location:

Choose a warehouse or a spacious office to conduct your business. The location should be appropriate for your business and cater to your needs.

Look in to your budget:

Look into your funds and spend it accordingly. It is essential that you purchase the right heavy equipment so that it maximizes your profits and productivity. Do extensive research about the various heavy equipment available in the market as well as online. It will help you to acquire information about the latest equipment with upgraded machine technologies. It will also provide you education about which equipment will cater to your needs and which will be suitable for your business.

Buy the heavy equipment to be used for leasing

It is important to invest wisely in the buying procedure of the heavy equipment that will be leased. Quality should come first as the equipment should be able to endure daily wear and tear. You can avail loans from commercial banks if you do not have adequate money. The equipments should be robust and long lasting so that it can be leased and rented to numerous customers or heavy equipment users.

Make good publicity of your business:

In this era of globalisation and dynamic business scenario competition has become part and parcel of every business. To make sure that your rental business reaches to wider customers it is important that you get good publicity. Advertising on Radio, Newspaper and TV are effective and powerful promotional mass media and will help your business to reach larger customers worldwide. These days internet or online marketing can give you good exposure and that much needed publicity. It will help to create a brand image about your business.

Over the years leasing of heavy equipment have been preferred over buying. Considering it is a capital-intensive business it is a safe option to lease them. The article will give you all the information that you need to commence heavy equipment leasing business.

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The main advantages of using compactors

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We all know that necessity gives rise to inventions. The necessity to work swiftly and smoothly in the construction site have given birth too many types of heavy equipment like tractors, articulated haulers, bulldozers, backhoe loaders and compactors. All these pieces of equipment serve their own purpose.

Every occupation should try to increase the productivity and earn maximum money without harming the environment. The compactors are the machines which are becoming more popular in the construction industry leaving their footprints in the utility rooms, areas of kitchen and other user-friendly locations. One should not waste his precious time in handling the trash and hopping to the trash can, the compactors compact the trashes to streamline the routines of the trash. People may not be interested in managing the debris, but everybody would definitely like to save their cash. Here, the compactors play their roles. To know the other areas where one can use the compactor, the reader has to read the following article very carefully.

Other merits of using a compactor

  • Requirements of extra dragging of the loose rubble as compared to dense rubble indicate the use of a compactor to eliminate huge emissions. One can also save tax by taking major steps towards the consumption of lower energy. Those who are realizing the need to save their money by opting to the use of lower energy levels are also doing a big thing to save the environment from pollution. The more the people catch on to the ‘green’ option types, the speeder the world could step towards the reduction of global warming.
  • The compactors not only minimizes the money and time which one will spend in looking after the waste, but also is important to fill the lands. As the use of compactors manages the waste with great ease, it indirectly leads to better utilization of the landfills and elongates the lie-span. In other words, when the compactor is compacting the waste, everyone who is lying along the chain of waste management is benefitted through it.
  • As the quantity of the reduction ratio of the equipment ranges from 5-1 making it maximum to 15-1, it points to the fact that the pulls or tips for trashes are greatly scaled down. It will definitely result into a big maintenance of the parking lot causing very minimum wear and tear. Apart from this, heavy dumpsters can be diminished. It will also help to minimize the number and size of the dumpsters which clutters around the parking lot.The above-mentioned three advantages of using a compactor clearly define why it is so important in construction businesses. This kind of equipment is of great importance to any kind of business where there are many novices who do not even know its proper usage to carry out the main operations of the business. All the people who want to use a compactor will undoubtedly save his money from 15-50% on the annual cost of waste hauling along with the productivity and labour benefits.

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Save Fuel and Earn More- Opt For Anti-Idling Policy for Your Heavy Equipment

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Running a construction organisation is not simple. And adding to the entire complexity of the situation is the need to earn more than you actually put into the business. It is quite obvious that as a businessperson you will want to push your profit margin higher by a considerable extent and Heavy equipment can prove to be quite a damper in the entire affair.

Idle Construction Equipment- What Does It Mean?

Maintaining heavy equipment is quite a costly affair. Repairing faulty parts and replacing them may prove to be quite taxing for any construction company. And an idling heavy construction equipment does nothing more than add insult to injury. The fuel consumed by heavy equipment per day accounts for a major part of the expenses borne by a construction company. Research shows that particular heavy equipment has a regular idle time of 40% on an average. Not only is this time an impotent one but also contributes a great deal to lower resale value, shortening of the warranty inclusion and the like. Add to this the fact that idle heavy equipment acts as a catalyst for engine wear and equals to wasted fuel and you can very well gauge the negative impact that idle heavy construction equipment has on the economy of the construction organisation.

Anti-Idling Policy and Its Effect on the Construction Arena

So, is there are a way to overcome this unwanted expenditure? Well, of course there is. Many construction companies on the block have resorted to anti-idling policies for their heavy construction equipment in order to cut down on their expenses.

There are a number of anti-idling technologies aiming for reducing emissions available on the block that are put to use by the construction companies. Operators need to be well trained to handle such technologies including that of the “mobile idle-reduction” technology which includes the automatic shut down and powering of the system. Though the entire technology might sound to be an impressive one, there are certain pros and cons of the entire deal that construction company owners need to evaluate before anything else.

Perhaps the one greatest benefit that construction site owners are going to have out of the entire business is significant reduction in the fuel expenses of heavy equipment. Construction companies can witness significant reduction in the entire thing when they compare this rate to the amount of capital investments.

Attaining the highest level of profit is possible only when construction companies are able to work within and meet deadline. The expenditure meted out by such constructions companies also contributes significantly to the profit margin of the company. It can, therefore be easily concluded that reduction in the fuel expenses of the company does contribute a great deal to the profit earned by a construction company.

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