Cost of Operation for one-man forestry mulching operation

[daveyclimber]

Its easy to write down projections of this and that but they rarely amount to reality. I recently started a mulching business about a year ago, buying wht appeared to be good equipment. A year later im nearly bankrupt, my contract took 3 times longer to complete due to mechanical brekdowns and **** poor manufacturers support. A skid steer is a toy when it come to mulching and it will be very difficult for you to turn a profit because those small machimes eat parts like nobodys business. My machines are large purpose built or converted units. I havent even worked this season due to repairs and backorders of parts. Wish you the best in your endeavor.

 

[crane operator]

Thanks for posting that daveyclimber, I hope things turn around for you. Its never fun when things don't work out the way you would like, and it really stinks when the things that go wrong are out of your own control.

 

[daveyclimber]

But mulching trees sure is a lot of fun.

 

[Destry]

This has been an interesting read. I’m curious how it has worked out?

 

[Tones]

Its easy to write down projections of this and that but they rarely amount to reality. I recently started a mulching business about a year ago, buying wht appeared to be good equipment. A year later im nearly bankrupt, my contract took 3 times longer to complete due to mechanical brekdowns and **** poor manufacturers support. A skid steer is a toy when it come to mulching and it will be very difficult for you to turn a profit because those small machimes eat parts like nobodys business. My machines are large purpose built or converted units. I havent even worked this season due to repairs and backorders of parts. Wish you the best in your endeavor.

What brand of dedicated machines do you have ? The 2 best days that I owned one was the day I purchased it and the day I sold it.

 

[Sberry]

I got to agree with the downsiders here for a couple reasons. 1st, before we even read this is not a one man operation, this looks good for someone already in the biz with a trailer to start with. I am all for specialization and efficiency but you got to get there first.

 

[Sberry]

I have seen some business sprout from a single piece or 2 and I would be willing to bet most of they wouldnt have penciled out at the start. Some guys got a gift, some work really hard, some luck, some timing etc. I kind of got sideswiped in some sense and never really went back to my career as I should have at some point. I was too busy,, ha. Then I thought I could coast, that might not have been such a good idea. I might have to start over, I think I might operate most of it out of the back of a pickup for the most part.

 

[treemuncher]

This has been an interesting read. I’m curious how it has worked out?

Me too. I've always found those ProForma things nothing more than BS compared to real life and only used for getting money from lenders.

Unless you work like a dog, manage your money like every penny is your last and always be ready, both mentally and monetarily, for the worst possible scenario to hit, few can survive this business. I'm on my 24th year of working solo and my 24th year of mulching. Do I miss my employees and the associated paperwork? Almost never.

It has not been easy but I enjoy what I do and that is what kept me going. It's been a hell of a learning experience. The rewards are customer appreciation when they see what a value that I can add to their property and, most importantly, freedom. Freedom to be self reliant and live the way I want to, not at someone else's beck & call. If you tire easily from endless maintenance, perpetual repairs or eternally long days, this is not the business for you to consider. There are easier ways to earn a living but you won't catch me surfing a desk any more than I have to.

I can't count how many have tried to get into this business just to find out they don't have the persistence and mental fortitude to make it work. They come with visions of grandeur and leave with one of life's most expensive educations.

 

[Hallback]

If you think mulching is spendy & draining, I have a couple towers I will sell ya!

 

[petepilot]

If you think mulching is spendy & draining, I have a couple towers I will sell ya!

 

[damnescavator]

Great thread. I would be nice if "Hummed46" would check back in about how it went the last 6 years since he asked for advice. Honest disclosure is badly lacking in startups. People love to discuss their startups but they will almost never give actual numbers to go by. In truth, almost none of us are in local competition with any other so there's no real reason not to share the facts.

Having read this thread I think the downer comments are justified, a free dose of reality when you need it. Hummed46 needs to be aware mulching is not a likely business to succeed in general and if it does, it will be from working his ass off and wanting it badly enough to take whatever life gives. Heavy equipment services are never a good side business. The idea of being a white collar worker running one by remote control is silly.

I started my one-man-show bobcat business a few years ago and everything stated above as far as reality checks is dead on true. Do not hire a driver because you cannot afford their learning curve if they ram your mulcher or truck into something, or get themselves in the ER on your dime. Be an owner operator until you know the ropes well, and even then be onsite every couple of hours seeing what's going on.

Running a preliminary spreadsheet is silly, you have no idea what the real numbers are. Wait for that until you have a year's data to plug in. Buy your machines used and spin wrenches yourself. This is not a good business to hire out to workers or dealer service departments.

The first year is the hardest for any small business. You will probably want to quit even if you do a fairly good job the first year. Write down your lessons learned. I wrote down about 35 lessons learned the first year so I would understand them thoroughly and not repeat my failures. The exercise helped enormously. In this connection, the single biggest lesson I learned was YOU take the most risk not the customer.

 

[L3akaL3]

I'm curious as well. I'm getting ready to take the plunge but not as a business though it might as well be. Where I live, there's no rentals available. I picked up a Terex PT-100F at an auction with 2000 hrs on it. Previous owner passed away in the middle of changing the engine. Missing parts etc but I got it dirt cheap. I've spent almost a year rebuilding it and now am looking for a mulcher.
Like I said, I'm not going to operate a business but I have 200 acres, about half wooded that are over crowded needing thinning, edges that need pushed back to reclaim pasture and a 10 acre patch that used to be pasture now thick with cedars ranging from 10 to 50 feet.
I couldn't afford to hire someone so I'm going to mulch it myself. I'm a cheapskate so I already got the CTL cheap and can do my own maintenance. I'm in the middle of nowhere so after research, the drum mulchers make a pretty finished product and don't throw as much as far but they are more expensive to maintain so I'm planning on going with a disc mulcher instead. They are faster, break down less and cheaper to buy. I have about $15k in my CTL after all my repairs. I'm hoping to get a Diamond 60" piston pump disc for under $18k. (I just missed 2 recently)
I'm just trying to figure how much I'm going to be spending on repairs etc. I can't find much info, especially on the disc mulchers. Seems like teeth are the only thing anyone talks about as far as maintenance unlike the drum guys who say 1000 hours and you have to do bearings etc.
I'm also wondering if I could run knives on the top and outside of the disc but run carbides on the bottom. This way I can cut trees, suck them in the top like usual where they basically explode but then the carbides on the bottom would last longer for back dragging, taking down the stumps etc.
I'm just afraid I'm going to get in over my head and might be better off selling the CTL and accept the land has been like this for years before I got it and stay solvent.

 

[ianjoub]

I am interested to see what these bring next Sat. 10/12

10-13160 (Equip.-Implement misc.) Seller:Private/Dealer GIYI GY-72 PRO QUICK CO | Heavy Construction Equipment Construction Equipment Attachments | Online Auctions | Proxibid

GIYI GY-72 PRO QUICK CONNECT SKID STEER MULCHER ATTACHMENT (Seller says never used.) Serial#:GY-72240888 Hydraulic unknown if operates. **Full payment due next business day! Please read terms of sale before bidding**

tmauction.proxibid.com

10-13166 (Equip.-Implement misc.) Seller:Private/Dealer GIYI GY-72X QUICK CONNE | Heavy Construction Equipment Construction Equipment Attachments | Online Auctions | Proxibid

GIYI GY-72X QUICK CONNECT SKID STEER MULCHER ATTACHMENT (Seller says never used.) Hydraulic unknown if operates. **Full payment due next business day! Please read terms of sale before bidding**

tmauction.proxibid.com

 

[mowingman]

I would stick with a well known brand name mulcher. Something like a Fecon, or FAE. You will need teeth and lots of parts. So, stick with a brand where parts and teeth are readily available. I am sure those listed for the auction are some of the best that Chinese prisoners can make. Getting parts may be tough though.

 

[ianjoub]

I bought a Skid Pro mulcher years ago, made in USA. I thought it was a good implement and far less expensive than the big name brands. Dick Machinskey (*) was my rep there. Great guy to deal with.

 

[L3akaL3]

I agree with mowerman. From everyone I talked to, they said stay away from the non-name brand mulchers. There's a good deal on a FAE drum near me. Great model with all the bells and whistles (bite limiter etc) but it has 1000 hrs on it and I read they are about due for rebuilding about then which can run $10k. Drums seem to be Fecon, FAE, Denise CEMAF. Discs Diamond and CID. I see a lot of cheap Bobcats, Deere and CAT drums. I read Bobcat is just good relabeled Fecon but they modified it so you have to use expensive Bobcat teeth. I can't find who makes the Deere ones. Unfortunate since I have 5 Deere dealers around my location.
Since this morning, now I'm starting to wonder if I could get by with a Danuser Intimidator tree puller. Slower and I'd be back to burn piles but less stress on the CTL, less fuel burn since I wouldn't be full throttle all day and no stumps when I'm done. If nothing else, it would keep me busy until I found a bargain on the mulcher I want.