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How to charge for rental equipment?

Discussion in 'Bidding & Estimating' started by mengle, Feb 24, 2015.

  1. mengle

    mengle Junior Member
    Messages: 23

    Next winter 2015-2016 i intend on getting a decent sized parking lot approx 10 acres. I would have to rent a skid steer with a pusher for the season or keep a designated truck their from november 1-march 1.In the contract do I make the Company pay me monthly for keeping this machine on their property? How do i go about this any help is great. or do i charge to keep the truck their on property and how much do i charge?
     
  2. Antlerart06

    Antlerart06 PlowSite Veteran
    Messages: 3,437

    Think most figure the cost of the skid for the season right into the first payment of a seasonal contract.
    I own my skid but if I was going rent one that be the way I would do it.
     
  3. Italiano67

    Italiano67 Senior Member
    Messages: 640

    Around here you will not get a retainer fee to have equipment onsite. Bid enough per hour or seasonally to make what you feel you need to make it worthwhile.
     
  4. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Well if you do need to rent one and you go seasonal then your 1st payment needs to be heavy to cover the entire cost. This way if they drop you it paid for. Yes I would go for a retainer fee. You want something you will pay for it up front.
     
  5. Aura Lawns

    Aura Lawns Member
    from VA
    Messages: 68

    So when I get a skid for $1500 per month and the contract is from November 1st to March 1st I should charge a downpayment of $7500??!!
     
  6. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Needs to be spelled out in the contract. If you can rent something month to month then you can adjust for it.But if your on the hook for the total rental,then yes,Heavy on the 1st payment then lower on the rest. Seeing he is in NJ people tend to be fickle and might not want to pay for late in the season.
     
  7. BMWSTUD25

    BMWSTUD25 Senior Member
    Messages: 630

    If you trully need to rent a piece of equipment for $1500/month dedicated to just that lot, then I would assume they are paying substainially more than that per month anyway. By the time you figure fuel, operator, insurance, salt, and heaven forbid a profit for a lot I wouldn't be a bit surprised to see their monthly bill 8k+ already anyway.

    Could also be easier to just break the season long total into two payments so you get a large chunk up front, and only have to wait until say January 1st to bill the second half. Food for thought.
     
  8. mengle

    mengle Junior Member
    Messages: 23

    Thankyou everyone for the quick responses.well if I keep a plow truck their all season a ram 2500 with an 8ft pro how much should I charge to keep that equipment their?
     
  9. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Why do you need to keep it there? You going to have a driver sit in the truck all winter too?
     
  10. Aura Lawns

    Aura Lawns Member
    from VA
    Messages: 68

    Lol, I'm curious too:laughing:
     
  11. mengle

    mengle Junior Member
    Messages: 23

    No but the current contractor has equipment sitting their. As well it is a business that operates 24 hours with heavy vehicle traffic from cars to semis.
     
  12. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    My back up truck sits in my yard all winter,I'll rent it to you,not sure what you'll do with it,See what I mean?
     
  13. mengle

    mengle Junior Member
    Messages: 23

    Im sorry maybe I'm phrasing this wrong but this truck will only be at this site and will not be going to any of my other accounts. The truck will have an operator in it from the first snow flake till the lots is clear.
     
  14. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Bill per push or by the hour.
     
  15. ShaneysLawnCare

    ShaneysLawnCare Senior Member
    Messages: 144

    Why would you leave it there? Unless you dont have any other accounts I would say dont waste the money and lock one truck up unless that skid and truck can pull in say 15k a month my skids need to be around 8-10k alone weather they are stacking or just pushing, and the trucks to make any profit need to be around a 4-6k depending on truck and set up of the truck if its got a big salter its got to be upper 5-7 and truck and small salter can be around 4k but those are what I need to bring in for a skid and truck for them to leave the shop
     
  16. Defcon 5

    Defcon 5 PlowSite.com Addict
    Messages: 1,674


    Is it that Furd in the picture???







    We have trucks that sit on sites all winter....The driver reports to the site when its time to plow....Saves the company money in the long run...

    These sites are all very large...We are not talking aboot sites the size of Tim Hortons......But still pretty large.....:whistling:
     
  17. ShaneysLawnCare

    ShaneysLawnCare Senior Member
    Messages: 144

    We have trucks that sit on sites all winter....The driver reports to the site when its time to plow....Saves the company money in the long run...

    These sites are all very large...We are not talking aboot sites the size of Tim Hortons......But still pretty large.....:whistling:[/QUOTE]

    How large are those accounts?! I must be crazy only thing I leave are Skid steers and Frontend loaders :eek:
     
  18. grandview

    grandview PlowSite Fanatic
    Messages: 14,609


    There are some pretty big Timmy's around here. On your saving money thing, are these guys actual employees of yours?
     
  19. Defcon 5

    Defcon 5 PlowSite.com Addict
    Messages: 1,674




    Yes .....They are employees.......:nod:
     
  20. ShaneysLawnCare

    ShaneysLawnCare Senior Member
    Messages: 144


    OOPs I failed at quoting I was only wondering about the lots :eek:
    All my guys show up to the shop. Hope in trucks and go to the equipment.