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Would you trade your plow in every year??

Discussion in 'Commercial Snow Removal' started by LwnmwrMan22, Mar 9, 2007.

  1. LwnmwrMan22

    LwnmwrMan22 PlowSite Fanatic
    Messages: 27,861

    The dealer I go through, he's fairly small, sells about 50 +/- new plows / year.

    However, he's huge in used plows.

    Basically sells an 8.2 Boss V for about $4000, if it's in decent shape.

    I was talking with him yesterday, and he asked me if I'd be interested in selling my plow.

    It's 2 years old, about 22 snow events on it. 8.2 Boss V, snowflap, smartlock cylinders.

    He said he'll put a new plow, not undercarriage or wiring, just the plow itself, snowflap, smartlock cylinders, on my truck for $300, if he sells my plow first.

    He doesn't want the plow on trade, just basically a consignment type deal.

    He says he's got 5-6 guys that are set up like this right now, because he can't get enough 1-2 year old plows. They're about $1000 cheaper than brand new, so if a guy is looking to save a bit of cash he can, plus the other guys are always running new plows.
  2. Yaz

    Yaz PlowSite.com Addict
    from NH
    Messages: 1,061

    I would for that little cash.
  3. Vinnie

    Vinnie Senior Member
    Messages: 156

    Ask him if he can do the same for my fisher , because for that price I cant replace my cutting edge , repaint and decal my blade.
  4. 54powerwagon

    54powerwagon Senior Member
    Messages: 104

    you would be a fool not to take that deal.
  5. grassmanvt

    grassmanvt Senior Member
    from Vermont
    Messages: 153

    I'd even trade yearly for a grand a year, even at 20 plowings thats 50 bucks a storm, couldn't afford not to do it, a no brainer, I just don't see how the guy could do it.
  6. crazymike

    crazymike Senior Member
    from Toronto
    Messages: 639

    do you mean 3 grand? you can't replace the wings and cylinders for $300
  7. procut

    procut Senior Member
    Messages: 902

    I just don't see how the guy does it, it seems like too good of a deal for you. But, if he is willing, you might as well jump on it.

    REAPER 2000 Club Member
    from 60050
    Messages: 2,228

    Depending on his mark up of buying a complete plow I can see him making out.

    He is still selling the controls and receiver plate new. Plus installation.

    It seems kind of low but again it depends on his mark-up and market.

    I use to own a Mac Tools distributorship. Yes the yellow truck tool guy.

    I could sell a new tool box for 1/4th of the retail price if the guy had a decent trade in for me.

    I could play with the numbers to make it look like I was giving the guy say $2,000 on trade for his old box.

    There was such a market for selling used boxes because of the list price of new that I could not keep them in stock. Most of the time I would sell them for cash because the guy would think it was such a deal he dint want anyone buying it out from under him.

    If I sold the new box for at least cost then whatever I sold the used box for was profit. Almost always it sold within 24 hours without putting any money on the books or financing.

    For me it looked great for my numbers to Mac Tools for the amount of tool boxes I was selling and also provided me with much needed cash flow.
  9. LwnmwrMan22

    LwnmwrMan22 PlowSite Fanatic
    Messages: 27,861

    Here's the deal.

    His actual cost for an 8.2 V with the flap and smartlocks is about $3,000. He locates used under carriages / wiring from ebay, other suppliers, etc.

    He then charges me $300 to put the plow together, hence the $300 charge. He charges the other person $500 to install the wiring / under carriage on their truck, or they can walk with it for $4,000, and my plow is already put together.

    So, if they want to have the plow installed, he ends up getting $4500 from the new customer, $300 from me, and he's got about $3000 in the new plow, plus whatever he gets the wiring / undercarriage for, so, even at $500 for those, he's still got $1300 coming in.

    I know that NEW it's about $500 for those, so I'm sure he's finding the under carriages cheaper than that, along with the wiring. I had to switch brands a couple of years ago, and that's what I was charged to install the wiring / undercarriage, about $500.