A brush chipper can be one of those tools, that with proper care and maintenance, can provide years of service and efficient operation. However, depending on your business model and growth plans, there comes a time when it may make more sense to upgrade to a newer unit with more advanced technology.
"The life cycle of a brush chipper can vary considerably, depending on the application in which it has been used and its care", says Chris Nicols, environmental sales manager with Vermeer Manufacturing Company.
According to Nicols, there are three groups of tree contractors. The first group will put 10,000 to 15,000 hours on a unit. They reinvest back into the unit by upgrading the wearable parts to keep the machine running efficiently. The second group will upgrade chippers at the 5000 hour mark. These contractors are not concerned about about resale value and want to get the most out of their investment. The final and most common group typically trades units every 2,000 to 2,500 hours to ensure they have the most up-to-date technology in their chipper fleet.
Signs it's time to upgrade - First and foremost, the decision to upgrade depends on your business needs. You need to evaluate how you have used the chipper in your business and if your business needs have changed.
Your current unit may be too big or too small for your business niche. You may have started in business as a full service tree care company that required a diverse chipper fleet and then moved to line clearing and maintenance, where a chipper specifically designed for that application would be more efficient.
Second, you may have made a conscious decision to upgrade all of the equipment in your business on a regular basis to ensure the fleet is not of the same age or condition. By staggering the age and condition, you are not upgrading all the units in one year. This should allow you to upgrade into newer technology, take advantage of trade or resale values and manage the overall age or condition of your fleet.
Finally, your existing chipper components, because of the application of the work, may be showing age, which can result in reduced chip quality, increased cost of operation or decreased efficiency.
"Before you upgrade brush chippers, it's important to know the type of work you are currently doing and wil be doing in the future", says Nichols. "Ask yourself what chippers have done for you in the past and what size and type of chipper has been successful for your business".
Trade or Sell Outright - You've made the decision to upgrade chippers, but what options exist for your older unit? There is a good secondary market for chippers and contractors can opt to sell the unit outright or work with their local dealer to trade. However, selling equipment on your own requires time.
"Contractors need to ask themselves if they have the time to sell the unit outright and still maintain their business", says Nicols. "They need to be on hand to visit with a potential buyer and demo the unit for them at their convenience".
Dealers see hundreds of potential customers every month and have the time and experience to demo and sell a used chipper. Trading simply reduces the hassle.
The bottom line - Nichols encourages contractors to decide on upgrades based on the future direction of their company and what makes the most financial sense. |