You first need a heavy-duty truck
You first need a heavy-duty truck to haul your dumpster in. Dmitry recommends Dodge Rams, but Ford also makes a truck capable of hauling dump trailers. Once you have your truck, then you can buy a trailer. For these two assets, you are looking at investing between $25-50 thousand dollars. Yet where your biggest expenditure will come from is the maintenance of both the truck and dump trailer.
Now, let’s discuss the pros and cons of owning a dump trailer.
1. Easy to schedule
You won’t have to arrange for a dumpster to go to job sites if you have your own dump trailer. Also, you won’t be working around another company’s schedule. With your own fleet, you can disperse the dump trailers on your time.
2. Good for driveways
Tires don’t scratch driveways, so you will never have to worry about damaging a customer’s driveway and then dealing with the fallout.
3. More exposure
If you plaster company insignia on your dump trailer, it’s “free” advertising. Since some homeowners or home associations don’t allow yard signs, a dump trailer is another viable way to promote your brand.
4. More uses (materials)
A dump trailer is multifunctional. You can use it to do many different things beyond just using it as a dumpster. For example, it can haul materials to and from job sites, saving you the hassle of making another trip or renting another vehicle.
Similar to #4, a dump trailer can serve as a mode of transportation, so if a supplier is running behind, you can save time and go to their warehouse for materials.
6. Rent to others
If you want extra cash, rent out your dump trailer on a site like Craigslist. It’s a quick way to make a few hundred dollars for not doing any work.
7. Tax write-offs (biggest reason!)
This alone is justification to buy a dump trailer. Dmitry saves thousands of dollars every year just by owning a dump trailer. Talk to a tax expert for ways owning a dump trailer can benefit your business.
1. Time consuming
Like any menial task, running loads or sending someone on errands in the dump trailer takes time that may be better served elsewhere.
2. Not profitable
Simply put, dump trailers do not make money. See Dmitry’s breakdown at (11:53) for an excellent breakdown on why the numbers just don’t add up.
Say your truck or dump trailer gets a flat tire. That can be a problem. Maybe you run old shingles to a dumpsite two times a day. That means more time on the road, which the odds suggest is more opportunity for an accident or mistake.
Bottom line: dump trailers are great for businesses who already have a good system in place. A dump trailer adds value because of its ability to help in many facets. While it’s not a money-maker, owning one makes sense for the right business. Don’t look at the profit margins when analyzing dump trailers. Sometimes you have to take a step backwards before you can take two steps forward.