Clean It Up

UK Floor Cleaning Forum => Carpet Cleaning Forum => Topic started by: Ian Gourlay on October 10, 2010, 10:45:32 pm

Title: Truckmount Equipment Depreciation
Post by: Ian Gourlay on October 10, 2010, 10:45:32 pm
Been a lot of talk about 3 vac machines

But I was just thinking how much a Prowler would sell for after one years use.

2 Years  use

3 Years. 

Or Any other Model you can think off.
Title: Re: Truckmount Equipment Depreciation
Post by: David_Annable on October 11, 2010, 08:50:52 am
I'll have a go

I year old £5000

2 year old £4000

3 year old £3000

Dave

PS Might be plus Vat
Title: Re: Truckmount Equipment Depreciation
Post by: from edge2edge on October 11, 2010, 10:24:09 am
Prowlers secondhand are rarely available so maybe retain value slightly better than other machines(tm or porty).Regards Alan(swindon)
Title: Re: Truckmount Equipment Depreciation
Post by: Joe H on October 11, 2010, 01:27:22 pm
So many cvariables is'nt there.
As Alan says - supply and demand will play its part.
Has it been serviced well.
How many hours?
What comes with it - the Prowler package includes 100' of solution hose and 2" suction hose, and 50' of 2" discharge hose, and a wand.

(hey Ian, how am I doing selling Prowlers?)
Title: Re: Truckmount Equipment Depreciation
Post by: wynne jones on October 11, 2010, 04:24:32 pm
If you buy a TM from a dealer and sell it a year later I wouldn't be surprised if you lose 40% on it.

I suspect most people who have a TM keep it on average 4-5 years, I may be wrong there not sure.

Title: Re: Truckmount Equipment Depreciation
Post by: Ian Gourlay on October 11, 2010, 05:32:40 pm
Joe

Quite well ;D ;D

The thought occurred to me it is the loss in value plus earnings over a given period  you need to take into account when buying equipment
Title: Re: Truckmount Equipment Depreciation
Post by: clinton on October 11, 2010, 05:35:05 pm
Also if you buy new it can be offset against your tax ian.

Title: Re: Truckmount Equipment Depreciation
Post by: derek west on October 11, 2010, 05:36:47 pm
year 1 20 to 35%
year 2 15 to 20%
year 3 10 to 15%

all depending on hours and how well its looked after.

remember! depreciation is tax deductable.

clinton, i'm off to that nursing home again tonight, thats another viking lager i owe you. ;)
Title: Re: Truckmount Equipment Depreciation
Post by: Shaun_Ashmore on October 11, 2010, 05:40:10 pm
Look at it another way, you will get through more work with a TM so the depreciation on it becomes a nonesense after 4 years you could throw it away and still be quids in (providing you have the work in the first place)

Shaun
Title: Re: Truckmount Equipment Depreciation
Post by: Doug Holloway on October 11, 2010, 05:49:44 pm
Hi Guys

In my mind I've written mine off over 5 years so after that anything is a bonus.

It is tax deductable so probably works out at about 50 GBP a week, not a lot in business terms!!

Cheers

Doug
Title: Re: Truckmount Equipment Depreciation
Post by: clinton on October 11, 2010, 06:54:45 pm
Hi d  its ok il wait for my xmas presie ;D
Title: Re: Truckmount Equipment Depreciation
Post by: Shaun_Ashmore on October 11, 2010, 07:00:47 pm
Derek I take it that it's to clean and not a stay over :o

Shaun
Title: Re: Truckmount Equipment Depreciation
Post by: Dave_Lee on October 11, 2010, 07:23:46 pm
I would say equipment costing of over £20,000 suffers the biggest drop in second hand value. Over and above that the higher you go the bigger the drop.
Equipment is only worth what someone is willing to pay for it, no matter how good it may be, and only a few CCs in the UK would be willing to pay more than £20,000 for a second hand set up.
If you purchased expensive equipment, you don't do so to sell it on after a short period of time, you buy it to use it, in the hope it will pay for itself. It is also nice to have zero tax to pay for a year too.
Dave.
Title: Re: Truckmount Equipment Depreciation
Post by: elliott cleaning on October 11, 2010, 11:07:20 pm
No tax to pay, Dave :o   - No wonder the public finances are in the state they are ;)
Title: Re: Truckmount Equipment Depreciation
Post by: wynne jones on October 12, 2010, 12:29:56 am
Interesting that all those with TM are quite happy with the fact their machines depreciate so much whereas I can see many portable users adding this to the list of accuses not to get a one.
Title: Re: Truckmount Equipment Depreciation
Post by: Ian Gourlay on October 12, 2010, 05:39:17 am
I was reading it the other way round.

Putting aside the big number truck mounts  it could possibly work out similar costs to a portable.

And if you were unable to work  you have not necessarily lost all your money


Now all I need is 250 big commercial clients to clean ;D ;D ;D
Title: Re: Truckmount Equipment Depreciation
Post by: Doug Holloway on October 12, 2010, 07:46:29 am
Hi Ian

Running a TM is undoubtedly more expensive but you will clean more, better and with a greater market presence all of which lead to a higher overall income.

Cheers

Doug
Title: Re: Truckmount Equipment Depreciation
Post by: Dave_Lee on October 12, 2010, 08:51:32 am
No tax to pay, Dave :o   - No wonder the public finances are in the state they are ;)

I think they win every time though dont they, especially as there was over £6,000 in vat and I'm not registered.
Dave.
Title: Re: Truckmount Equipment Depreciation
Post by: Ian Gourlay on October 12, 2010, 09:17:01 am
You can Guess

The Marketing Book I have been reading this week says stop messing around with the small stuff go for the Big Deals
Title: Re: Truckmount Equipment Depreciation
Post by: derek west on October 12, 2010, 10:01:56 am
Derek I take it that it's to clean and not a stay over :o

Shaun
not staying, i seen the food they serve.
24hr maccies on the way home, well! a slight detour but well worth it.
Title: Re: Truckmount Equipment Depreciation
Post by: wynne jones on October 13, 2010, 08:57:11 pm
I think my house depreciated by 2/3k last month! And it didn't earn me any money either. ;)
Title: Re: Truckmount Equipment Depreciation
Post by: richy27 on October 13, 2010, 09:13:48 pm
looking at sec hand equipment  would say that most top brand equip from well knwn supliers whether it be portable or tm depreciate at more or less the same % level depenant on age and hours say 3 k porty is worth 1500 after 2 years same as 15k tm worth 7.5 after same period all tax relevant though
Title: Re: Truckmount Equipment Depreciation
Post by: elliott cleaning on October 13, 2010, 09:50:55 pm
I think my house depreciated by 2/3k last month! And it didn't earn me any money either. ;)

Maybe so -   but depending on when you bought it - how much potential money has it made you  - either in appreciation or saved rental expenditure
Title: Re: Truckmount Equipment Depreciation
Post by: wynne jones on October 14, 2010, 10:56:25 pm
Well if I sell it quite a bit, but then I would be homeless. :'(