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Order the combo platter
1 Jun, 2009 By: Curt Harler Landscape ManagementThe combination plate at a Chinese restaurant or fish house is usually the best deal. You get a meal that offers several tasty treats. Combination equipment works much in the same way: For one price you get a product offering at least a couple of functions.
 Combination machines like the Rapid M with the Gravely Car Pusher can pay off if you have the market for the services. |
"For the typical landscape professional, a machine built to handle a variety of attachments is going to deliver a better return on investment than a single-purpose machine," says Roger Gifford, Cub Cadet Yanmar's compact product manager, adding it gives a landscaper the ability to adapt to the challenges of each job.
"It also provides flexibility in terms of the types of jobs a landscaper can take on, which is important for capitalizing on a continually changing market," Gifford says.
"By investing in multi-purpose equipment, you save money by lowering your initial investment, buying one piece of equipment versus multiple machines," says Tim Mercer, value stream director of turf products and Auburn operations for Ariens in Auburn, NE.
Dan Paschke, product manager for John Deere's compact utility tractor line, agrees, saying it comes down to capital and what you have available to do the job.
Will it pay to go big?
Paschke says the smaller company with a couple of guys on the road is likely to benefit from a combination machine. Those few workers will get to a jobsite and have to do everything. One machine with several functions will let them accomplish that goal.
 A combination machine is ideal for the occasional call for stump removal. When the job is done, reattach the bucket. |
"A compact utility tractor with a loader on front and backhoe on back will do the same jobs as a miniexcavator and skid steer," Paschke says. "It's not as efficient, but it will do the job for less money."
If your business is in the fortunate position of taking on new, larger contracts, you're likely pondering whether it will pay to step up to a compact tractor versus adding attachments to a commercial mower. This depends on the scope of the business.
"If your business is primarily cutting and maintenance, you're better to stick with a well-built commercial mower," Gifford advises. "But if you want to pursue new opportunities and growth by expanding your capabilities, you need one piece of equipment you can bill out to more avenues, like a versatile compact tractor and attachments."
As with any significant business decision, purchasing a compact and attachments should involve a thorough financial analysis.
In a shop, multipurpose equipment typically takes up less floor space than several single purpose machines, Mercer says.
"You have less maintenance, parts and upkeep for multiuse equipment," he says.
In addition, multiuse equipment is easier to upgrade. You buy it as you can afford the outlay or your business opportunities grow. Plus, it gives you the opportunity to capitalize on multiple-season use for increased revenue. For example, Gravely's Rapid M two-wheel tractor with attachments includes a 30-in. deck, a 32-in. snow blower, a 44-in. brush, a 48-in. blade and a new car pusher.
"The various attachments allow it to be used in all seasons," Mercer says. "And, trade-in value is typically higher for equipment with accessories."
Room to grow
As your company expands, you're likely to need a dedicated machine for the job. First, you have to find the right compact tractor and attachments to fit your capabilities and the opportunities in your market, Gifford says.
"Then weigh the additional revenue those capabilities will bring in against the cost of the equipment," he says.
Include all operating costs — to transport and maintain the equipment, to name just two — in addition to the purchase price.
If it looks as though a compact tractor is in your future, be sure you get a happy marriage of tractor and attachments.
"The compact tractor and attachments should come with a comprehensive list of specifications," Gifford says. "Review these carefully and make sure they match in terms of capabilities."
Gifford advises landscapers to purchase combination products as a package. By buying the attachments from the same dealer, you're likely to get the most affordable pricing and a simpler (and perhaps more attractive) financing package.
"Do your homework and talk with your dealer to determine what attachments make the most sense for your business, then purchase them together with your compact tractor," he says. "This will make it easier to budget, because once you purchase and finance the tractor, you can't go back and add attachments to your finance package."
Dedicated machines typically require larger trucks or trailers to transport, Paschke says. Get to a certain size, and the state may require a different license for moving heavy equipment.
"It isn't just about the cost of the machine ... it's the total cost of ownership," he says.
To get a good estimate, Mercer suggests giving your equipment an hourly rate and dividing that by your total investment. Hourly rate can be figured by dividing all fixed costs (lease or loan payment plus insurance and depreciation) and variable costs (labor, maintenance, fuel) by the hours of use.
"If there's a labor savings, you can compare an old piece of equipment to the new for quicker payback," Mercer says.
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