Thinking about downsizing..

[Ryan]

Ok so a few months ago I added carpet cleaning to my business. I bought a 1 ton van Steam Action tm and about 1k in chemicals. I don't regret it at all, but most of my cashflow is from commerical vct. I'm set up with some large accounts and do well with it. Carpet has been good, but my service area is small (20k in a 30mile radius maybe). I'm thinking about downsizing to a small trailer and porty set up. I could really use a trailer for hauling around vct equipment and wouldn't mind cutting out a insuance payment. I have no problem at all making my payments on my cc equipment however I'm wondering if this wouldn't be a smart business choice. What do you guys think of the tm market? I really don't have to sell it or anything so if I couldn't get a close to fair price out of it I wouldn't want too.

Another big thing for me is I have no local disty for almost 3 hours.. I've kept up maintaince on my tm so far but I'm not mechinacly inclined so I'm kinda getting a little nervous about it breaking down. I do electric stuff better so I think I could prolly work on a porty. What do you guys think? 175 and porty plenty productive enough to do 4-5 jobs a week? (I'm also in college so don't judge me for the amount of jobs !gotcha! )

 

[Chris A]

I would do what you feel comfortable with. I was weened on a TM but as many guys will attest, you CAN achieve the same level of clean with a good porty, productivity is most of the advantage.

 

[Dolly Llama]

Only you can answer that question, Ryan
and I'm no kind of guy to offer biz advise (cause I "really" DO suck as a businessman)

but....I don't think right now is the best time to get a good buck out of your TM and van

Times have been pretty tough for many the last year or two
from what I hear, there's a whole lot of fire sales on equipment and will probably be more this winter.


question...have you ever cleaned with a porty?
Not that you can't do a great job with a roto and port...you certainly can.
but if you're used to a TM.... dude...you're gonna hate the porty route


..L.T.A.

 

[ACE]

You know your business better than anyone else. I guess it all depends on where you want to go with it. A TM payment would suck if you only plan on doing 3-4 jobs a week for the next few years. If you are able to hire some help and get the volume up on carpet cleaning a bit you should be fine. The truck mount will produce allot better hourly rate than working on VCT. I think a porty would be about the same hourly production rate.

 

[renegade_cowboy]

I think its clear you already decided to dump the TM. If i might suggest something. Just get a simplier TM. I have a older HM machine that is so simple I can remove the engine is less than 10 minutes and can reapir every part on there. I am not a mechanic either. So if something does break down than its an easy fix. I personally wouldnt want to downgrade to a portable.

 

[Ryan]

Guys I guess I was just thinking out loud Lol about 20 minutes after I posted I was like I wonder why I wasted their time I'm not going to get rid of my tm. One of my major goals going into this was to get into water damange. I really would like to lose the extra insurance payment though as I have two vans right now. I may put my tm into a trailer. Thanks to those who took the time to read my random thoughts. somewhat amus

I've never really cleaned with a porty, heck I learnt how to clean with a 59 blower. Just wondering what would be more economical. I guess I'm going to stick it out until spring then hire a tech and dump some money into marketing for the cc side. :idea:

 

[Carpet Cleaning Fool]

(I'm also in college so don't judge me for the amount of jobs !gotcha! )

The most important thing now is that you complete your education.

You've already got your VCT accounts which provide you enough money to live on and you can work at night.

Eliminate anything in ur life that isn't necassary and distracts you from your homework. Especially carpet cleaning! Next thing you know you'll be ditching class to make a fast $100.

Forget about carpet cleaning and focus on your studies.

 

[Ryan]

Unfortunely I've already tried that.... I go insane.. I do good in college but it gets monotonous :| doing the same accounts and talking to the same people week after week is rewarding but gets boring at the same time, I have to be expanding or I feel like I'm headed backwards. My goal now and I'm fairly close too it for vct is to have a maintince crew full time and I'll just invoice and keep the managment happy. Then I'll be able to get the carpet headed to were I want it.

A big problem I'm running into is no one wants to work for a kid.. :? and I know kids my age way too well to trust them with any part of my livelihood :shock:

 

[hogjowl]

Going to college is normally more important to those who haven't been to college. Unless you're getting a specialized degree, like engineering, accounting, etc., it may not be worth it. Any general degree is a waste of time these days, unless you are planning on getting an advanced degree at a later date.

I'm not telling you to quit college; don't misunderstand me, but if you getting something like a general business degree, don't expect to know anything about running your business.

 

[Chris A]

Going to college is normally more important to those who haven't been to college. Unless you're getting a specialized degree, like engineering, accounting, etc., it may not be worth it. Any general degree is a waste of time these days, unless you are planning on getting an advanced degree at a later date.

I'm not telling you to quit college; don't misunderstand me, but if you getting something like a general business degree, don't expect to know anything about running your business.

Translation: Quit school...

 

[Newman]

Ryno, what are you going to be when you grow up? What degree are you going for? How far along are you?

My son is going off to college next fall. I was thinking of sending him off with a porty and a pile of door hangers. If he can sell 1 job a week he would still make more $$ than schlepping burgers. Anyone in Iowa city need some good help next fall?

 

[harryhides]

Going to college is normally more important to those who haven't been to college. Unless you're getting a specialized degree, like engineering, accounting, etc., it may not be worth it. Any general degree is a waste of time these days, unless you are planning on getting an advanced degree at a later date.

I'm not telling you to quit college; don't misunderstand me, but if you getting something like a general business degree, don't expect to know anything about running your business.

Since GM, Chrysler, US, UK and Canada are all run by Harvard or LSE Business type Grads, you be the judge of the value of what they learned.

 

[daniel@procarpet]

Going to college is normally more important to those who haven't been to college. Unless you're getting a specialized degree, like engineering, accounting, etc., it may not be worth it. Any general degree is a waste of time these days, unless you are planning on getting an advanced degree at a later date.

I'm not telling you to quit college; don't misunderstand me, but if you getting something like a general business degree, don't expect to know anything about running your business.

Translation: Quit school...

I thought about this today. I am 27 and have seen a lot and actually feel pretty old. Technlogy has changed so much. Where are the jobs for the future? Think about that. Manufacturing jobs are all but gone. You may not be able to clean carpet in 10-15 years. Don't just go to college for a general business degree. Get a specialized degree so you will have something to fall back on. I personally would get a mathmatics degree and also try to get an information technology background degree. The point I am making is I can guarantee you with almost complete certainty that 10 years from now this industry is going to be completely different. I just don't see a future with every cleaner running dual wand monster trucks. We may even see new types of floor coverings that require less maintanence. Hell homes may be built in the future with automated cleaning systems that put us out of business. My plan is to work hard, make sound investments and live meager for the next 10 years. I got lucky in the spring and purchased two immaculate homes for 35k each. I was able to buy the homes outright only because I have the mindset that I am in a race to stack as much money up as possible before retiring while still enjoying my life. My friends splurge and I save and so far it has paid off. I don't want to retire at 60. I would like to retire at 40. If you are just making a living, you better prepare for some hardships. You need an education. The world is changing. Stay in college or really hustle and stack up some money for the future and you will be fine either way.

 

[anaroberts12]

I understand your problem. I would suggest that do what you think you are good at and not what others think is good. Any work is not good or bad but the main thing is that you should have interest in working for that business. Search for business which are somewhat same like this carpet cleaning business, because you can utilize your cleaning skills with that business. You can think for joint ventures also.
Regards
Steam Clean

 

[dealtimeman]

i think that if you can afford the payments you should keep that tool in your arsenal and allow the tool/investment to bloom to its full potential.

 

[Ryan]

Thanks for all the replys gsouys! My major right now is international business, something I think will be around awhile... I had a full paid scholarship (well for the first 26k) to enter the medical field, but saw the writing on the wall for that profession. I plan to stay in college unless I start to net over 140k per year before I'm out (not happening at this rate lol).

Thanks again for all your intrest in my education but I guess my real question was,

If you did 5-6 jobs a week in cc would it be more profitable to use a small tm or portable?

Keep in mind there is no one for miles that works on tm's and I'm not the most mechinacly inclined. (Something I should of thought about before buying it )

My payments are for the van, I paid cash for the tm. I have two vans right now a astro and a 3500 both backed full of equip. Sorta thinking one van and a trailer setup might be smarter...less insurance and more room.

 

[Greenie]

Seems like a no brainer to me.

Sell the Astro, buy a trailer for your floor machines (better for that anyways), pull it with your 3500 that is STILL equipped with your baby TM, your van doesn't even know that TM is in there.

It's a simple TM, you WILL learn a few things, you HAVE this resource, and every town has a small engine repair shop, so don't let it intimidate you, there ain't much to a baby SteamAction.

Sure you "can" do good work with a decent porty, but you have gotten used to it, it would be a step back to not be truckmounted, If it's paid for, I'd keep it even if you only did one job a week, carpet isn't where you make your dough, but it's a necessary evil as part of your overall service. It will grow though.