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advice on buying new equipment


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Old 01-08-2008, 09:24 PM
FourSeasons FourSeasons is offline
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Question: Mary and her husband are starting a small grass-cutting business. They've had early success and want to upgrade the equipment. How much should they spend?

Dave Ramsey's answer: I started my business on a card table 15 years ago and have been running it debt-free ever since. We have lots of fine equipment and good stuff, but it didn't start that way. We'd make a little money and buy a little equipment. That's how we started because we didn't borrow money. Any time I'm buying equipment, I either buy high-tech equipment as a percentage of our worth, or I buy used and get a great bargain. In your world, that would be October or so, at the end of the season. Make due for the summer with what you've got, but start talking to equipment dealers. You can buy their castaways for little to nothing in the fall.



go here :
http://www.daveramsey.com/tdrs....rtRow=5
and listen to the whole call (its the bottom one and click on listen to the call)

what do you think. my goal is to stay out of debt!



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Old 01-08-2008, 09:26 PM
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Hi Rob,

Good post..

Are you applying these same principles?

How much of what you see in the lawn care business is business owners buying more equipment than they can afford to just show off?
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Old 01-08-2008, 09:31 PM
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I try to apply alot of his principles to my life. I don't want to be in "bad" debt.

I think alot of it is a pride thing. We all see the guys with the nice truck and equipment and it hurts are pride when we dont have it. Oh well I am going to try to work my way up. Listening to Dave Ramsey and John Commuta changed my whole thinking on getting into debt. Which is the lifestyle for most people today.
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Old 01-08-2008, 09:33 PM
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I am glad to see you are going for that direction.

Let the others have monthly payments while you laugh all the way to the bank!

What equipment do you see yourself needing this coming year and how do you feel you will go about getting it?
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Old 01-08-2008, 09:37 PM
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what if you applied these principles to buying equipment:
http://www.daveramsey.com/etc/lms/drive_free/player.cfm
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Old 01-08-2008, 09:41 PM
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I thank you should take it step by step if you have to get a loan be sure to pay it off befor geting something new! I try to stay away from loans , it may take longer to get what you need but it's worth it in the end.
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Old 01-08-2008, 09:42 PM
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Quote:
Originally Posted by [b
Quote[/b] (Team Gopher @ Jan. 08 2008,10:33)]Let the others have monthly payments while you laugh all the way to the bank!
Hey Rob do you rememver our phone call and a statment iI made about my equipment and truck? Read Steves quote it is very close to what we talked about.

Steve it is funny how great minds think alike.
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Old 01-08-2008, 09:45 PM
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Quote:
Originally Posted by [b
Quote[/b] (FourSeasons @ Jan. 08 2008,10:24)]We'd make a little money and buy a little equipment. That's how we started because we didn't borrow money. Any time I'm buying equipment, I either buy high-tech equipment as a percentage of our worth, or I buy used and get a great bargain. In your world, that would be October or so, at the end of the season. Make due for the summer with what you've got, but start talking to equipment dealers. You can buy their castaways for little to nothing in the fall.
Here is another thing we talked about. Funny how thing come together huh.
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Old 01-08-2008, 09:45 PM
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Tim-
Yeah, I found this later in the day after we talked.
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Old 01-08-2008, 10:29 PM
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Hey Rob
I'm glad you brought this topic up because there are alot of good points to all of it that everyone starting business should understand.
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