The truck’s vital significance makes it a particularly important investment. Reliability, throughput and hopper capacity all influence a shredding professional’s decision, and there are a number of other factors any shredding company owner should keep in mind when buying a truck. From the small start-up buying its first truck to a well-established company adding to its fleet, shredding company owners and managers have to take a close look at their individual business needs before making a final decision.
WHERE TO START
Purchasing a truck will call for a significant capital investment in all cases, so many shredders advise shopping for the ideal truck instead of being a slave to budget alone.
"I look at our needs and build the budget around those needs," says Jacob Gilmore, sales manager for the records management/shredding division of Gilmore Services, Pensacola, Fla. Since the investment is relatively standard, Gilmore advises shredders to make sure they get the best truck to suit their businesses’ needs and then try to get the best price for that truck.
Jon Schwieters, president of ShredAway, Eau Claire, Wis., also opted to put his company’s needs before a strict budget when he bought his Shred-Tech mobile shredding truck. "I didn’t want to shop with just a budget in mind because I didn’t want to be limited by that budget," he says. "I wanted to find a truck that would allow me to grow."
In Schwieters’ case, the need was throughput, although he says a shredder should seek the best balance between throughput and hopper capacity. "Those two [factors] really go hand in hand," he says. "You can do 10,000 pounds per hour, but if the truck only holds 8,000, then that throughput really doesn’t do you much good."
Scott Fasken of Colorado Document Security, a mobile shredder that services clients in western Colorado and northwest New Mexico, says that the importance of capacity vs. throughput varies depending on region. As a rural provider, Fasken says he doesn’t have as many opportunities to empty his truck, making capacity more of a concern. "But if you’re working in Denver, you can drop paper a couple of times a day. In the more urban areas, [capacity] is not as much of a problem," he says.
Both factors are important, says Kevin Smith of Secure Eco Shred, Farmington, Mich., but he says he tends to give capacity a little more weight in most cases. "If you’re shredding 5,000 to 8,000 pounds per hour, but your truck only holds 7,000, it’s kind of pointless."
However, Schwieters warns shredders against going overboard on capacity. "You can have too much capacity—the truck might be physically too big for you to do your job efficiently," he says. Company owners advise their fellow shredders to take a close look at their client base, region and how much volume they can handle (and can grow to handle) when deciding on the appropriate balance between throughput and hopper capacity in the ideal truck.
MONEY MATTERS
In addition to what physical characteristics to look for, a shredder must also consider how to buy the truck.
"Leasing programs are a lot better than they were four or five years ago," says Smith, who has leased every one of his six mobile trucks, typically on four or five year programs. "For me, that was always the best choice," he says, adding that the benefits of leasing or buying differ for every shredder.
Fuel Focus |
Rising fuel costs are a harsh business reality for the owners of mobile shredding companies. "Everybody has something in their business that’s just part of doing business," says Jon Schwieters, president of ShredAway, Eau Claire, Wis. "If you’re mobile, [fuel prices] are just part of the cost of doing business." While diesel prices are unlikely to drop significantly any time soon, shredders do have some advice for controlling the cost of fuel. Schwieters tells his drivers to shut down if they’re going to be away from the truck for more than two minutes. "Anything over two minutes, you’re just wasting fuel," he says. Scott Fasken of Colorado Document Security says driving slower also helps conserve fuel—even a 5-mph drop in speed can make a difference, he says. Kevin Smith of Secure Eco Shred, Farmington, Mich., advises shredders to plan their routes as densely as possible so that drivers aren’t going out of their way, wasting expensive fuel and time. |
"It’s a real personal decision you have to make with your accountant," Fasken agrees.
Schwieters leased his first truck, and he says that payment method was ideal for his new company. Using a lease instead of a traditional loan freed some of his credit for other start-up expenses like containers.
Whether to buy new or used vehicles is also an important decision.
While shredding company owners say there is no doubt that there is quality used equipment available, they advise potential buyers to exercise caution.
Gilmore advises going with new equipment because "we like to know what the shredder has handled." Basically, shredding professionals know what they’re getting into with new equipment, Gilmore says. In addition, warranties apply to new machines, which is helpful should mechanical problems arise.
However, buying used could be a good option for someone just starting out, says Smith. "At first, you won’t have as many clients, so speed won’t be as much of an issue. Once you establish yourself, your client base will grow and you can afford to upgrade," he says.
Smith advises doing a detailed background check on any used vehicle, just as one would do for a personal car.
Once a shredder decides what kind of truck will best suit the business and determines how to buy it, he or she still has to consider how to maintain it to get the most out of the investment.
THE LONG HAUL
Trucks can have a long service life if cared for properly.
"Typically, a truck should last 10 to 12 years if you take care of it," says Smith, although he adds that colder climates can have a negative impact on a truck’s lifespan.
To weather the cold Colorado winters, Fasken says he puts an electric heating pad on the truck’s hydraulic tank overnight to keep the oil warm and save some wear on the pumps. He says some manufacturers sell such kits, or shredders can do something similar themselves.
The best truck maintenance tends to be a combination of do-it-yourself solutions and help from the truck’s manufacturer or dealer, depending on the shredding company’s size and staff. However, no matter who does the maintenance, it should be done "by the book," says Fasken. "Simple maintenance really saves you so much."
He adds that the chassis usually isn’t the hardest part of the truck to maintain. Rather, he says, it’s the time on the shredder that determines a mobile shredding truck’s useful life.
Attention to basic maintenance can extend the life of both components, says Schwieters. "As long as you maintain them, trucks should last just about an eternity," he says.
The author is associate editor of SDB and can be contacted at jgubeno@gie.net.
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