People obviously tighten their belts when times are harder, but sometimes tightening the belt means investing to lower your costs, labour being the one of the biggest costs. There is more to buying a machine than looking at the list price and just telling yourself it is "too expensive". Many of you, I assume, are using family labour that your are not actually "paying" as such, so how do you allocate labour costs accurately?
People keep telling me how stupid I am, but none of you have actually given me a decent business case for running old machines. There has been no detailed break down of labour costs vs new, time allocated to repairs vs new, workshop cost time vs new, output vs new, timeliness or the effects on the accounts. Just a new machine is "too expensive".
"Here" money is dirt cheap (base rate >1%) and as commodities drop in price, machine sales drop. Now would be the time to drive a hard bargain.
Choppers, homade and do exactly the job I need
Parts, big deal if its wore out, I will have less invested in each part than your road trip costs to get parts
The bugs were worked out a long time ago. We know every part of the machine and exactly when it is time for preventative maintenance
cost to overhaul these beasts, peanuts compared to what depreciated off that claas each year and what just yours is romotely new nothing wears, think again
But the new (well any Lexion made in the last 10 years) Claas can cut, thresh (to a high standard) the shred and blow the crop residue across full width of the head in one pass, so as soon as the combine has moved out of the field the cultivation process can start. So there is a cost saving to start with.
Obviously the new machine has wear parts, but on machines as old as yours, with the best maintenance in the world, you are going to get worn out major components, engines, hydro, tin work then multiply that by 3 machines. So exactly what are your costs on to repair these? What are you allowing for YOUR labour? What is it costing you in time to strip a worn/broken part off your machine, then strip a slightly less worn out part from a scrapper and refit it to the one that works when you are under pressure at harvest time.
A neighbour fancied a new to help SP sprayer, so found one, a "good one" never been raced or rallied, FSH, one lady owner, all that lot. It was great, apart from the engine failing, then the hydraulic pump, then all 4 propulsion motors. By the time he had fixed all of that lot (mid season) he might as well have put it toward a new one with favourable finance and a load of warranty instead of risking loosing his crops and having to come to us to scrounge our very old sprayer that has snice been scrapped.