A finance quote is one line in the budget for a new contracting or hire business.
Build the working budget
The advertised purchase price is the starting point. The real commitment also includes repayments, insurance, maintenance, transport, attachments, downtime and the time it takes to get paid. An owner moving from subcontracting to hiring out their own plant needs a view of those costs alongside a realistic estimate of booked work.
We look at what a quiet month would mean, as well as a strong one. The answer may still be to buy the machine, but the decision is stronger when the owner can see the cash requirement clearly.
A real example from the yard
Brock Harvey of LEH Equipment started with a CAT D3 bulldozer in 2024 after seeing hire opportunities around mine sites. With Brock and Guy Rennick at RDW Machinery, MFG worked through purchase price, repayments and running costs before the first machine settled. Over the following two years Brock tested demand across mining and rural property work.
That history informed the next two dozers. It is a good illustration of how a first asset can become a growing fleet when each new commitment is considered against the work available.
Make room for the unexpected
No model predicts every breakdown or weather delay. A useful budget shows what has to happen for the machine to carry itself and leaves room to revisit the decision if the work changes.
Every business, asset and lender is different. Talk through your circumstances with your advisers before making a finance decision.
