Honest question, from someone that moves dirt for a living. If you plan on getting 15k hours out of a machine, I cannot understand why you would low-ball yourself like this. An extra $100k over 6 years and 15k hours is basically $6 per operating hour.
At the moment this is what's available to me locally enough. Let me know what you think of the position im in right now.
I already ironed out the deal for a brand new SANY SY500 with delivery to site for 400k flat. Same dealer has two SY500 models (1200hrs) that we can begin negotiation at 230k. Other options within a days travel are a Link Belt 490x4 with 500hrs listed at 450k and a Volvo EC550 with 100hrs listed at 575k.
Brand new CAT 352 locally isn't available for a month or more and dealer isnt willing to go below 550k not including tax or transportation. Used CAT machines with same ballpark hours as used SANY are a flight away and listed between 200k-250k more than the SANY.
Im also in a position where I have two backup machines in the event the SANY gamble doesnt work out and im stuck with prolonged downtime. The backup machines will be working on their own tasks but are not counted into the 6 year production plan so anything they do is extra and if they have to be pulled to fill a role im still on schedule without much worry.
As far as money saved, its looking to be 200k overall and 200k not tied up in a cheaper machine thats producing the same income as the more expensive machine can grow as an investment. 200k in my account will become roughly 320k in 6 years instead of possibly just getting 200k back and breaking even from the sale of the CAT when im done.
Please let me know what you think, would you make this move with your business?
