Selling out - Value of equipment

[arbor pro]

I've made the decision to sell out to my foreman after this season. Difficult decision but time to do it. Many of you have seen my refurbed chip truck with mini skid carrier. http://www.arboristsite.com/commercial-tree-care-climbing/151415.htm#post2510484 Wondering what you think is a fair market value for it? It's a 2000 GMC C6500 with only 49000 actual miles. 7.4L (454) gas engine, 5sp manual tranny. No frills in the cab - heat, no a/c. Refurb was completed two years ago including the installation of the mini skid platform, dual 60" Buyer toolboxes, front grapple carrier, new paint, etc. I have about $15k invested plus numerouis hours of my own time. I'm thinking it's worth around $20k. Not much else on the market like it to compare to. Is that a fair asking price?

For what it's worth, if my supervisor gives me fair market value for my equipment and pays for any prepaid advertising, insurance, etc, I'm pretty much giving him the business so just want to make sure I get fair market value on the equipment.

AP

 

[newsawtooth]

I'm thinking it's worth around $20k. Not much else on the market like it to compare to. Is that a fair asking price?



AP

So...you bought a Topkick for $5g's and now a couple years later want to sell it for $20g's?

 

[arbor pro]

You'll be lucky to get 12k.

I wouldn't want it with that engine, but then I'm a hard core diesel engine fan.

who cares what I paid for it, I'm asking what fair market value is for it after the mods and refurb. forget I even asked. :bang:

 

[arbor pro]

It doesn't matter what you paid for it. What matters is what it is worth now.

Yeah but you did ask. Sorry you don't like the answers you are getting. 20k is way out of line, IMO. You can almost get that same truck with a 55ft. lift and a forestry dump on it for that kind of money, and with a diesel engine, to boot!

As nice as the truck looks and as neat as the mods you made are the bottom line is that a higher capacity chipper truck is more useful to the great majority of arborist. Hardly anyone shows up with a do it all with one truck crew.


If arboriculture isn't working out for you..............you should stay away from the truck modding for profit business, too!

If I was modding equipment for a profit, I wouldn't waste my time and money by putting my company logo and phone number all over it now would I? Are you even getting the point of this post??? My foreman WANTS to buy this truck. I don't care if it's not the ideal truck for everyone. I'm only looking for input from AS members who WOULD buy a truck like this and what they think it is worth. No need for commentary from those who would not be interested in it. Such banter serves no purpose in answering my question.

thank you. AP

 

[arbor pro]

Sorry about the banter.

Asking price determines interest so it's pretty safe to say that everyone here is interested depending on the price.


At 20k, No way.

Fair enough. thank you for your input Del. As stated previously, I have $15k invested in this truck PLUS my time. I am simply wondering if I can recover my investment and possibly a bit extra for time invested. That's all.

Funny that this truck is suddenly worth so little considering all the kind comments I got about it after the refurb was first posted...

AP

 

[treeclimber101]

Tough thing is finding the right buyer , looking for a really nice chip who is needing to carry a mini around with it ! Nice truck for sure though .

 

[Toddppm]

You could put it in the Tree care Industry mag with "as seen in the this magazine!" ad for sale. Seems pretty high , almost like modding a motorcycle or something, to get it just the way you want it costs big but can't be recouped.
Instead of giving the guy your customers and biz etc., add value to that part and reduce the price of the truck. It'll all work out the same in the end.

 

[mattfr12]

Getting back what you put into it is usually impossible. If he is willing to pay 20g's for it i would go for it because its gonna be a tough sale other wise. It is a really nice truck but when someone can go get the same thing and just slap a coat of paint on it for a lot less I'm sure you can figure out what they are gonna do. Endless you find that guy that just has to have that setup which is gonna be hard.

 

[jefflovstrom]

Try selling it in California. Gas engine might be a benny in a CARB state. Doubt it will get you more than 12k, maybe less.
Jeff

 

[treemandan]

Its a good looking truck for sure. I think someone is gonna get seriously hurt one day driving the loader up there.

 

[Pelorus]

Its a good looking truck for sure. I think someone is gonna get seriously hurt one day driving the loader up there.

I think you did a really nice job on the truck, Scott, and I wish it was a diesel, was closer, was less money, (and that I actually had some money). The steep angle of attack on the ramps does look kinda sporty.

 

[Goose IBEW]

That was a sweet restoration, I would be plenty happy to break even at your $15,000. From my experience you usually never get out of a truck the money you put into it.

 

[imagineero]

That was a sweet restoration, I would be plenty happy to break even at your $15,000. From my experience you usually never get out of a truck the money you put into it.

+1 on that. I'd say $12k would be closer to the truth. You detailed the fact that you spent $14,500 on it, only $4,800 of which was the price of the truck (including shipping).

I bought a 78 Dyna for $5,500 couple years back, spent about $15k on it over the time I owned it. Sold it last week for $1,400 which is probably about what it was worth.

You buy old trucks mostly because you dont have the money to buy new trucks. Then as you get money, you keep fixing them up... but you're really just throwing the money away. Trucks don't appreciate in value, and anybody with any business sense doesn't want to buy an old truck. They think in terms of asset life, depreciation, likely maintenance costs, dependability, operating cost and resale value. On those criteria, old trucks make no sense.

The target market for old trucks is people who have no money. Get ready for a *lot* of annoying phone calls and ridiculous offers if you list it. Be prepared to waste countless days waiting for people to show up, taking people for test drives etc before they admit they havent yet got the money, and paying for more and more advertising for months before finally selling it for about $10k. Put some of that money aside for counselling or beer.

Shaun

 

[sgreanbeans]

The target market for old trucks is people who have no money. Get ready for a *lot* of annoying phone calls and ridiculous offers if you list it. Be prepared to waste countless days waiting for people to show up, taking people for test drives etc before they admit they havent yet got the money, and paying for more and more advertising for months before finally selling it for about $10k. Put some of that money aside for counselling or beer.

Shaun

O M G. Shaun, u are so right! All I have been dealing with are tire kickers and dreamers. :bang:
Then, out of the blue, a guy will call, quick to the point, no bartering, they come, pay me and leave. These are guys who know what they are looking at and don't plan on leaving my place with out what ever they came to look at.

Good luck AP, I thought I had a guy, in the beginning, that had the funds to buy everything, then I found out he was just dreaming, so I wasted a few months on thinking I had this all taken care of, only to then hear he was losing his house ( no one is going to loan someone money if they cant pay there rent) So I called him out on it and he made some sort of weird excuse of why he couldn't get the cash, when I already knew.

 

[TreeBot]

$10k. Good looking truck.

 

[Pelorus]

In the unfortunate event that a drunk driver crunches into that nice truck, or a moose or water buffalo demolishes it, how do the insurance vultures appraise it? A lot of leeway between 5G and 20G.

 

[treeclimber101]

So what your saying is if my buddy paid 20k for this machine and it fell off his trailer because he didn't chain it down , that he wouldn't get 20 k for it , just maybe 5K

 

[deevo]

So what your saying is if my buddy paid 20k for this machine and it fell off his trailer because he didn't chain it down , that he wouldn't get 20 k for it , just maybe 5K

Ouch!:msp_confused:

 

[Pelorus]

So what your saying is if my buddy paid 20k for this machine and it fell off his trailer because he didn't chain it down , that he wouldn't get 20 k for it , just maybe 5K

Yeah! that's what I'm sayin', except your pic said it a whole lot better.
But I am kinda curious how insurance companies, and accountants view a depreciating / depreciated asset that has been given a major facelift and plastic surgery. Can you keep "writing off" that peice of equipment in perpetuity just 'cause you keep pouring money, time, and love into it? Or does it just end up depreciating to a final residual value in the eyes of the bean counters.

 

[treeclimber101]

Ouch!:msp_confused:

, that's why the exhaust pipe on my machines bent , when my motor went I gave him my straight one and he gave the bent one , well I fixed mine and I am now stuck with the jacked up pipe !