Just a statement of fact. I really don't know how many rigs he has, but I know he is down a few because he sold off a part of his business, but not all of it. It worked out really well for him because the timing was perfect.
This post has quite a few heavy hitters. Nice job to all of you for building up your businesses. Mike G, what was your growth rate, ie when did you put your second truck on the road and how do you determine the need for more?
I don't get it? You wash 4000 trucks a week with 35 trucks/trailers each with 2 machines (does that mean you have 70 employees). Thatâ€™s a whopping 114 vehicles washed by each truck/trailer each week or to go further thatâ€™s 57 vehicles washed by each machine or guy per week. Does not sound like high volume or efficiency to me.
Until you stop and think that maybe he does a lot of his work on weekends when the trucks are parked. Then you can do a little justification to have extra trucks for the weekends. Also, that way about half can be part time weekend only employees. If I am not mistaken, he also covers a bit of area for the services that he offers, so you have to take into account travel time. It still doesn''t figure well, but everyone runs there business differently, At first glance, I could probably do that many trucks with 12 rigs, if that is all I concentrated on, and still have some free time.
Sometimes, what makes perfect sense in one segment of this industry makes no sense outside of that segment.
On second glance if someone brings me a drink of water every hour or so I probably do that many with one rig.Couple two or three weeks and I could take off the rest of the year and let my rig cool off.
I did want to reply to the frequency and quanitiy of equipment use. Scott nailed it, not all of my equipment works everyday, not all of my employees work everyday.... When we are in full swing there are about 60 on the payroll.. I have a few spare units that move when my wife says to do the house or my inlaws place.... I have come up with some new set ups that are making my old ones obsolete.... However the old ones are paid for and yes I must store them inside but wait , I own the building that they are in......I get in the Memorial Day parade every year in my town and that is the only day that every piece rolls. By the way the parade gig is a way for my company to kickoff the season (which is normally in full swing by then) have an excuse for a big party and it brings me close to 300 homes and decks to wash every year (which I am a fleet guy but keeps my nephew busy for the summer)...Remember big is NOT always better !!!!!! Many a day when I look back and wonder, when I had one unit and one employee I did not need aspirn !!!!!! I have a huge and costly insurance policy, huge fuel bills, a full time mechanic, yada yada, yada.... I can't say that I regret this growth but it consumes my life....... This year however I joined a new country club and have a new general manager who I hope lets me enjoy my new country club....To answer the question of when I knew that I needed to expand, well when I was working 7 days a week and not being able to get all of the trucks washed.....