For more than 30 years, Arbor Age magazine has been covering new and innovative products, services, technology and research vital to tree care companies, municipal arborists and utility right-of-way maintenance companies
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EQUIPMENT FOCUS Resale Value Consider Maintaining aChipper Buying and When “The appearance of the chipper is going to affect what people think about its value,” said Rick Shepherd, service manager for Vermeer Pacific in Fontana, Calif.“If the machine looks good and clean, the perception is that it has been well taken care of. If it is dented and dirty, a red flag will go up.That’s even before we take a close look at areas where maintenance may have been neglected, such as bearings and hoses.” Most used chippers have a trade-in or resale value.However, a By Paul P osel in a chipper, plan ahead for the day you sell or trade it, and, by all means, take care of the unit. When purchasing a chipper, pay attention to the factors that can impact the resale value. For example, look for a strong, well-built product that can easily handle material without putting undue stress on the machine. Enhanced safety features, local dealer support, and readily available parts are important considerations. “At the time you buy a new chipper you should be thinking about the features that will help you sell it in the future,” said Stu Senska, sales manager with Vermeer Midwest in Aurora, Ill. “For example, our optional winch, which allows the operator to move heavy logs, will cost you initially. However, at trade-in time you may receive 20 to 30 percent more for your chipper than one without a winch.” A Initial reaction The general overall condition of a used chipper is the first thing dealers evaluate. 14 Arbor Age / April 2011 t a time when tree-care equipment dealers are report- ing increased inventories of used chippers, contractors should consider the potential resale value of their machine.To receive the best return on your investment well-maintained machine will generate more value when you sell or trade.Taking proper care of your chipper is a process that should begin the day you purchase your new unit. “Oftentimes a customer will think his machine is worth close to what he originally paid for it,” said Shepherd.“Then we start going down the list of things that need to be repaired to make the machine salable, and you see a surprised look on the customer’s face.” Many times the owner may not realize something is worn.At trade-in time the dealer will discover those items that require repair or replacement, and it will affect the trade and resale value of the chipper. Daily maintenance items — such as lubrication of the bearings, clutch adjustment, and checking the air cleaner — go a long way toward helping to receive a higher resale value. If not checked, they can turn into a costly situation.Take the air cleaner, for example. “Although the chipper still may be running, an air cleaner that is completely plugged could be pulling a lot of vacuum that has the potential to cause damage to the engine and/or the turbocharger,” said Shepherd. “In either case, overlooking normal air cleaner maintenance can result in costly repairs.” In a typical dealership, the service department will evaluate used equipment and provide a list of repair costs to the sales department. “A machine in poor condition can have a limited trade value,” said Shepherd. “In some cases, a machine may require a major repair and the dealership may not be able to make the deal work.” There is not necessarily a correlation between the age of a chip- per and its condition. Some machines that have 4,000 to 5,000 hours are in real good shape, while others with 1,000 hours are falling apart. It all depends on the original quality of the chipper www.arborage.com EQUIPMENT FOCUS Photos courtesy of Vermeer Corporation