Todd R. Moir is the owner and principal broker of equip4sale and has been in the equipment industry since 1975.

Starting with Hertz Equipment in Portland, Oregon, as a yardman, he worked his way up to the position of Regional Manager with US Rentals and then, after the merger, he spent the rest of his 30+ year:s in management with United Rentals.

Todd says "I have always loved equipment and the people in this industry. It is my passion to make sure you get what you are looking for at a price that makes you want to become a repeat customer. Nothing is better than having a satisfied customer"

Preface

Who is this book for?

In short, (his book is for anyone who is looking to buy or sell equipment in this Online, Internet Crazy world. If you looking for value in an equipment transaction, this will help answer some of your questions. And if you can't find an answer to a question you have, there is contact information that will help you get in touch with me or one of my staff.

What is a "Best way to Buy and Sell equipment"?

If you have been around the equipment industry for any length of time, you know that buying equipment online is becoming the way to find the best deals and the most variety of models available. But there are some concerns you should have when making "blind" purchases.

When you find yourself a reliable source for the type equipment you want to buy then much of that concern can be eliminated. In other words, find someone who knows what they are looking at and more importantly what to look for before you buy. Think of this person as your very own equipment Detective. Someone who not only knows what you want from that purchase but knows what you DON'T want as well.

I decided to write this book as a guideline to get you started on ways to inspect equipment quickly and thoroughly and have confidence you have made a good decision.

 Find the equipment that fits your need and budget

Find a Broker, dealer or mechanic you trust

Inform them as to what machine you want and you guidelines for that unit

But how do you do that? Well that's what this book is about. And even if you are an established expert in this field I'm sure you will still find something that can help you in your quest.

What equipment do I need?

This may sound like a simple question but I can't tell you how many times I have talked to a buyer only to find out that what they thought they wanted/needed were in fact two different types of equipment entirely. With all the different models, brands, and applications out there, doesn't it make sense to do some research and know exactly what you want? I mean equipment isn't cheap these days, it can be a major investment. You should know what you are going to need today but in addition also consider your future application. For instance, if you're using a machine in your facility but your business is growing, is another facility on the horizon? Maybe that 15' lift height won't be enough when you expand.

The main question to ask is "what are we using the unit for? A simple question, but are you looking for a warehouse forklift and part of the time and it will be used out in your yard and part of your yard isn't paved? Maybe a machine with pneumatic tires can handle both duties as opposed to just a hard tired warehouse forklift- Something to consider.

So in this case give real consideration to your environment both current and potential.

One of the best ways to determine what your equipment requirements are is to talk to your operators. It's so easy to sit in an office (this is for those purchasing agents) look at brochures or do research on the internet and feel like you have just what you need only to find out after the purchase that you really needed a special attachment or options that was not specified in the research part of the acquisition.

A great example? I recently sold a machine to a company that needed just a standard width Articulated Knuckle boom. Nothing special but it needed to be electric. That was one thing they were sure of. But when I started to ask questions I found that a standard width unit not only wouldn't work but they had some areas of their application that required a type of machine that not only was narrow but it needed to have a Jib AND a Rotator attachment. Now does this sound like a big deal? Well it would have been if they bought a machine they could only use 60% of the time!

Back to the operators. The people whose job it is to get the work done are going to know exactly what they will need to accomplish their goal. A few minutes of meeting with anyone that will be working with or on the unit can save a lot of money and time in the long run. They might not always know the brand name or the model or heck even if the option is available but they can sure tell you what is needed to get the job done.

Another key point here is Certification. When buying a piece of equipment, make sure you know if there are any special licenses or certifications that the operators need to have. Depending on the application and size of the unit, different requirements may have to be met to make sure the operators are safe and compliant.

The main point of this chapter is to Imow what you're trying to accomplish. Do your research with input from your staff and then start your search for that perfect machine.

How to find the right equipment?

As you know, there are several different ways to find equipment but let's cover some of the ways and the Pros and Cons of each.

First let's start with the Dealers. An equipment dealer is a good outlet to find equipment as they usually have the widest inventory to choose from. It can sometimes be limited as to the line of equipment they carry as most will specialize in one or two brands however these days many large manufactures offer several different models made by the same manufacture. Maintenance is usually pretty good from most of the larger dealers but when buying equipment the dealer will charge a premium for the service and their overhead. In general initial acquisition cost from a dealer is the most expensive

Rental houses- Having worked in the rental business for nearly 3 decades I feel uniquely qualified to represent this resource. Rental yards typically will have several different types of equipment to sell but usually only one or two units of any given model to sell at any given time. Most companies know to the hour when to sell a unit as the older a machine becomes the more maintenance it will require. Maintenance can become an issue as some companies do a better job than others when servicing their fleet. Remember, their primary job is Rental not equipment service. Many rental companies today won't even service your equipment anymore requiring equipment owners to go back to the factory authorized dealer. This due to the high overhead and personnel cost makes the option of buying used equipment the second most costly way to buy equipment.

Private party sales- while usually cheaper than the options mentioned above, can be a dicey proposition as, unless you know the party you're buying from, can end up costing you in the long run. Many of my clients have told me horror stories of buying from Craigslist or out of the newspaper only to find out that the machine didn't work properly or that the seller didn't have authorization to sell the machine and/or sold it at a price that the owner didn't approve of.

Auctions offline and online- The standard auction has been around for centuries selling everything imaginable. When it comes to equipment, most auction houses contact all of the above resources for their equipment. Most auctions hold no responsibility for any information on the particular unit and certainly don't do any inspection as to the safety or operation of the equipment. In this case it's definitely buyer beware. The buyer will also pay a buyer's premium for the right to purchase the equipment. As a seller you are required to bring the machine to the auction site and pay a seller's premium, all of which sends the cost of transaction up which can make the auction more in-line with buying from a dealer with-out the security. Many times people at auctions will get in a "I've gotta have that" mentality which can send prices up over what you would normally pay for the machine in a more controlled environment. Online auctions have advanced now to the point where some of the exclusively Online auctions will have inspection reports and photos of the machine which is good but as with any auction pick a price point you can live with and don't exceed that price even in the heat of the moment. Again with both types of auctions there always seems to be that "Phantom" bid or the "Sold on the internet" scenario just as you're getting close to winning that machine you covet.

Brokers- how to choose one and why? The most important thing a broker has is his or her Reputation and his/her Contacts. It's like the Hall of Fame golfer Lee Trevino said, "dog that chase cars and pro's that putt for pars" those are two things that won't make it long in this world. A broker that has a bad (or no) reputation or few contacts isn't going to make it long in this business. The important thing about using a Broker is to find one that: A) Listens to what your needs and concerns are. B) Has a solid reputation. C) Has ample years of experience and, D) Has the contacts to find the equipment you need and not just what they have to sell you. Another benefit of using a broker that meets these requirements is they can arrange for reliable shipping and usually at a discounted price. The best brokers can buy direct from manufactures when large lease packages come in for trade. With the connections to find reliable used equipment and the knowledge of the industry, brokers can be an excellent choice for purchasing machines. Another benefit is the ability to sell your underutilized equipment. When your job is done and it's time to sell, the broker for the same reasons can help you with that choice as well.

A good broker will know the Fair Market Value of the equipment you're looking to buy OR sell.

How do you get the best Value?

As in any business transaction the only way to get the best of anything at a fair value is to know what you want, have a price that you're willing to pay and find the resource that can find it for you to fit those parameters. But sometimes when opportunity knocks you should be flexible enough to take advantage of that. An example comes to mind. A few years ago I had a customer that was dead set on buying a 6,000 lbs Forward Reach Forklift. He felt that because he had a limited budget that all he was able to afford was an older Skytrak 6036. He had plenty of room to work for a slightly larger machine but someone had convinced him that for his money that's all

he would be able to buy. I found a newer Skytrak 8042 which would give him a higher lift capacity, cost was the same amount (with-in $500) and ultimately would have a higher re-sale value when it came time to move it out of his fleet. Well it sounds like an easy decision in hindsite but it took a lot of convincing that really this was the best way to go, Then a funny thing happened. About 6 months later, he got a big contract on a housing track where he needed the extra reach and capacity. Had he bought the smaller unit he would have had to rent the larger machine anyway. You never know what will come up but by staying flexible my customer was able to get the job done with his new larger machine.

Some of the ways you can determine the real value to you of your equipment purchase are,

A)   Acquisition cost

B)    Expense/Transport/Buyers fees

C)    Future maintenance and repairs (depending on the equipment a rule of thumb is 10% of the purchase price per year.

D)   Comparable value, I.E. model year, hours, condition, location, environmental history (where was the unit working).

Last thing (well maybe not last) to consider, are there any special requirements to operate the equipment in your area. Permits, environmental requirements, Pollution or noise restrictions.

All of these factors should be considered when determining the real market value of the unit. Everyone has different needs so these factors will vary.

Now for the fun stuff!

The series that follows covers a few different types of equipment. It doesn't cover everything but used as a guide line will give you a good idea as to the general condition of the machine. In the resource section I have provided some generic inspection sheets and a brief planned maintenance report.

Equipment Inspections

Series #1

Guidelines

Having been in the equipment sales business for nearly 30 years, I get asked a few questions on a consistent basis.

Most frequently I'm asked, "How do I know if I'm getting a quality piece of equipment?

Or "What should I be looking for when I buy that used iron?"

Well of course that depends on what you are looking for. There are different inspections that need to be done for different categories of equipment. And because there are so many types of equipment being manufactured today there isn't enough time to cover every one of them, at least not in one article.

What I will do though is address a different piece every chapter and hopefully that will answer the majority of your questions as we go through-out the rest of the book.

Of course if you have a specific question you can always call or e-mail me and if I don't know the answer, I can find the answer for you in short order.

Today, Let's start with Forklifts.

The most common type is the Industrial straight mast forklift. For the sake of space we'll concentrate on a 5,000 lbs capacity machine. But this really could apply to any standard straight mast machine.

Let's go right to the heart of any piece of equipment, the engine.

Check the oil level, and when you have the dip stick out of the engine, run the oil over your fingers, see if you feel any dirt or grit in the oil itself. Check the color. If it has a milky or watery look to it, you may have cooling system problems. How is the thickness of the oil? Is it fresh or has it lost its viscosity? Then finally smell it. Does it smell burnt or just smell like oil? This isn't as thorough as having an oil sample run, but as a quick inspection, it can tell you if the machine has been serviced lately.

Next let's take a look at the machines physical structure,

Inspect the mast. Look inside the channel where the different stages ride up and down.

Are there any shiny or worn spots? Any metal shavings present? Start the machine up. Does the mast move up and down smoothly or does it bind up? Does it chatter on the way down? Binding could mean a structural problem possibly even a bent mast or carriage assembly. Check out the hoses. Is there any excessive wear, cracked covering or leaks? Then inspect the lift cylinders and tilt cylinders. Look for pitting, scrapes or missing chrome on the rods themselves. This will eventually cause leaks. And of course check for obvious leaks. If the machine is equipped with a side shift operate that and check for all of the above on that cylinder as well.

Check the area where the mast connects to the forklift. Is it free of cracks and look well lubricated. Check out any pins and or bushings. Same thing, free of cracks and well lubricated?

Check the carriage out itself. Is it bent? Does it have a back rest? And are the fasteners tight. Inspect the areas where the forks are attached. Does it look in good condition? Finally check the forks themselves. Are they straight? If they have holes cut in them, (for a trailer ball hitch) remember that may have changed the temper of the metal on the forks and cause them to be weaker.

Continue on with the structure inspecting the machines ROPs (roll over protection) to make sure it hasn't had something dropped on it or been flipped over on its side. Any damage here could cause you liability down the road if someone were to be injured due to a damaged ROPs. Look at the back end of the machine to see if you can check the condition of the steer axle and steer cylinder. Check for leaks and any major play in the steering assembly, ball joints and axles.

Now it's time to operate the lift. Make sure the seat belt is in good condition and USE IT.

Start the machine again and the transmission operation. Forward and reverse. The machine should move smoothly without major delays or transmission slippage. Does it have an inching pedal? And does it operate correctly. Check the brakes. Also check the steering. Is it smooth without excessive play? There shouldn't be any offensive noises such as high pitched whinning coming from the machine during these tests.

Operate all functions again on the forks, lift up down, tilt forward and back and side shift side to side (if equipped). Some hydraulic sounds will be heard but it shouldn't be a growl or a scream.

There is nothing better than checking out a machine first hand to tell you if it's a good unit or if it's one that should be avoided at any price.

Remember:

You always get what you expect, when you take the time to inspect.

If these terms I've used are foreign to you, it might help to have your mechanic go with you to look at the machine. Or as always, you can call me if you need help with a machine.

Equipment Inspections

Series #2

Guidelines

Last chapter we featured an inspection of an industrial straight mast forklift. I've received a lot of really good feedback and some very good questions.

I'm pleased to know that you find these guidelines helpful. Thanks to all of you that responded. And no Mike, you're right, I didn't always wear my safety belt when I operated a forklift, but I do now,

This chapter, let's tackle a Boomlift.

Aerial lift equipment inspections and pre shift inspection routines have become extremely important. With the cost of insurance and the difficulty finding good quality employees, the last thing you want to see happen is one of your key production people get injured due to an oversight of a safety inspection. The subject of safety is an ongoing responsibility to everyone involved in the operation of aerial equipment or at least in this case, boomlifts,

Not only should an inspection be done at the time of purchase of that used boom but really every time that equipment is used, someone (preferably the operator) should take a few minutes to check out the machine and all of its safety functions to make sure everything's in ship shape.

The reason I'm spending a little more time and focus on this subject aside from the pre purchase inspection is that aerial lift equipment by its very nature is very dangerous if not used properly. Anytime you put a worker up in the air, the potential for accidents is compounded.

The best way to avoid an accident is to stop it before it happens. What do they say? An ounce of prevention is worth a pound of cure? Anyway, let's inspect that boomlift.

First, just like the forklift, we'll start with the engine. Gas or diesel, let's check the oil — check oil level, color of the oil, does it look thick and dirty or is it fresh. Run it through your fingers to see the consistency of the oil. Are there any grit or dirt particles in it?

How about the smell? Bumt or does it have that fresh oil smell? Remember a milky or watery coloring on a water-cooled unit could be a sign of a leaking head gasket, or other cooling problem. How is the wiring? Does it look like someone has been working on it or used different colored wires in the harness or around the engine? Start the engine. Make sure you check all engine functions. High speed and/or choke solenoid if equipped. Also make sure the machine runs from both lower and upper controls. All functions should work in both upper and lower controls (the drive function will not work in lower controls due to safety reasons).

Okay, enough about the engine. Let's check around the hydraulic pump and the valve body. Check for any leaks. Just by nature of its function, there may be a little hydraulic fluid in the manifold or valve body area but for the most part, there should not be an obvious leak or any dripping of oil. Check the hose fitting and hoses themselves. Are they free of kinks, cracks, and leakage?

When we check the machine functions, we will listen to any noises coming from the hydraulic system.

Moving on to the structure of the machine. Aerial lift equipment is particularly susceptible to cracking of pivot point areas due to the incredible load placed on these points. Check carefully at the places where boom arms come together, where pins and bushings are used. These are high stress areas; make sure you check them for cracks or abnormal wear. Look down the boom arm can you see the wear pads? What condition are they in? Next, let's move on to the basket assembly. Make sure the rails are not cracked, broken, or bent (too badly). Look at the weldment where the boom and basket come together. Is the basket connection free of cracks, missing bolts or other obvious maladies? You don't want that basket to fall off when you're 40', 60', 80' in the air!

Now lets play in the turret assembly. With the basket off the ground a foot or so, just gently move the basket from side to side, checking the play of the main turret gear or slue ring, there should be some movement but only about 6-10". Check your manufacturers service manual for the recommended play in this major component.

Lastly, inspect the wheels. Make sure the lug nuts look tight, the alignment of the wheels look correct, you don't want your machine to look like one of those VW bug desert machines.

We need to inspect the machines safety switches. The limit switch is located on the boom arm and keeps the drive function in slow - When the boom is above the horizontal position.

Make sure you check all functions of the equipment to verify proper operation of each component and to confirm that the unit works in a smooth and safe manner.

Check the operator's manual for any other safety related items that should be checked for correct operation and function. Before purchasing the equipment and BEFORE you start your shift.

When a machine such as a boomlift is left on a job for any period of time, it's always a good idea to check and make sure there was not some unauthorized use and that the operator didn't manipulate or disengaged the safety equipment in such a way that might cause you or your co-workers potential harm.

Aerial lift equipment can be dangerous if some common sense is not used in its operation.

Always check the manufacturers safety manual (each machine should have one) for the proper and safe operation of this equipment, before you buy and before each use.

And you can always call or email the experts at equip4sale if you have any questions.

Equipment Inspections

Series #3

Loader Backhoe

So far we have covered Industrial Forklifts and Boom Lift Inspections. Now we will shift gears and look at a Loader Backhoe. This type of equipment may not be as dangerous if it malfunctions as a Boomlift but make no mistake. Operated incorrectly or around gas or electrical power lines (above or below ground), the results can be just as disastrous. We will discuss the Dig Alert system in a moment. But right now, let's look at the machine itself.

As always in these inspections, we will start with the,

Engine

By the very nature of the machine, (it works in the dirt) extra care needs to be taken during the evaluation of the engine. I recommend (if at all possible) that an oil sample is taken of the machine you are looking to purchase.

Most engine service companies or equipment dealers should be able to do an analysis on the condition of the oil. Many times the service company will send out the sample to a lab to determine the wear condition of the engine. They will measure the heavy metals in the oil to alert you to any potential engine problems you might experience down the road with this unit. The few hundred dollars you invest in this process might save you thousands in the long run.

Next, check the oil level. As in any internal combustion engine, check the condition of the oil (skip this part if an oil sample is being done.) Look at consistency, color (clean or dirty) and if it contains any dirt or metal particles. General inspection of the engine compartment should be done. Check for any leaks. Are the fan belts in good condition, injectors free of leaks? How does the wiring around the engine compartment look? Check for frayed or broken wires. And also for any wiring that may have been replaced.

If possible, open the radiator cap. Look inside of the radiator. Does the coolant contain antifreeze? Is it free of rust? Check the cooling fins on the outside of the radiator. Make sure they are free of dirt. You can tell a lot about how a machine has been treated by the cleanliness of the radiator. Also make sure the air filter is properly mounted and tight. If you can open the airbox, do so and check for any signs of dirt that may have "leaked" through into the engine intake. Nothing will ruin an engine faster than dirt.

Now lets move on to the,

Frame

Check the structure of the "boom arm" or "stick" in the back of the machine for any cracks. Closely inspect the pins that fasten the boom arm to the machine. Are they well lubricated? Also check down the arm to the bucket, looking closely again at the pins in that area.

In general, check all the hydraulic rams for leaks and pitted or scratched chrome on the rods themselves. Scratched or pitted rods will leak eventually. Check all hydraulic hoses for cracks or if the hose casings are dry and brittle.

Does the machine have auxiliary hydraulics? You might ask if a breaker assembly has ever been mounted on the machine. That can add additional wear to a Backhoe boom arm.

We will          overall tightness in this area in a minute. Looking at the boom arm check for any welds that have been done or repairs made in this area. If the machine has had a broken boom arm or any other structural break, it may possibly break again. Make sure to check the stabilizer cylinders and rods carefully. This is an area that is subject to damage on a loader backhoe. Make sure the pads are in good condition and they pivot freely on the end of the stabilizer.

Look at the sides and ROPs on the machine. Have they sustained any damage? Look for obvious signs of a rolled over machine. Bent ROPs, bent fenders or damage to the sheet metal. This could signal the machine has been on its side.

Check out the,

Cab

On a Loader Backhoe, the seat is very important to the operator. Make sure it rotates freely all the way around to operate the backhoe controls. Check all controls for tight fit and free movement.

Tires

Check for wear on the tires and be sure to check for cuts in the side walls of all four tires on the machine.

Move to the front of the machine,

Check the wear on the bucket. Is it free of cracks and warping? Also look at the condition of the cutting blade. It should extend out from the bucket at least 1 h" to 2". If it is less, it will soon need to be replaced. Just as we did at the rear of the machine, inspect the loader bucket arms for any repairs or non-factory welds.

Now the real inspection begins.

Back into the cab and start the engine. Did you put on that seat belt? Make sure the brakes are in good working order. Drive the machine forward. Test out all the gears. Do the same in reverse. Is the transmission responsive? Does it feel tight? Apply the parking brake. Using the loader bucket controls, check the bucket action. It should respond quickly and smoothly. There shouldn't be much if any play in the bucket movement. Raise the bucket and listen and watch for any slop in the bucket arms and the bucket itself. Lower the bucket back down to the ground. Raise the front end of the machine a few inches. Is there any metal "clunk" sounds in the bucket arm assembly?

Now spin the seat around and face the backhoe controls. Lower the stabilizers. Again make sure they operate smoothly and don't have any excess movement in their up and down operation. Gently lift the back of the machine up a few inches.

Now operate the boom arm — moving it right to left. It should respond quickly and smoothly. Reaching out with the boom, check the operation of the arm. Does it also move smoothly without excessive play? Check the movement of the bucket. Put the bucket on the ground and gently lift the weight off the stabilizers. Listen for that metal "clunk". Hopefully there is none and the boom arm is tight and free of excess play. Again, smooth, responsive, tight action is what you're looking for.

Doing a thorough check of the machine will give you extra peace of mind when investing in this type of equipment,

Now let's talk about the dig alert system.

Before you use your Loader Backhoe for your job, in many states, you are required to notify

Underground Service Alert (or USA). In Southern Califomia, the phone number for Dig Alert is 1-800-227-2600. Not in California? You can check with your local city or county building permit department to find out what is required in your area or go to; www.thesafetylibrary.com/frames/frmconst.php/

Eight quick points to remember before digging:

1.     Delineate the site.

2.     Dial before you dig. No matter how large or small the project, it's the law.

3.     Call at least two working days before you excavate.

4.     You are responsible for damage.

5.     One call is all it takes.

6.     It's easy! The call costs you nothing. Again, 1-800-227-2600 in S.Califomia.

7.     Everyone should call (not just professionals),

8.     Your permit is not valid without a Dig Alert number.

Following these simple guidelines should result in a safe and productive job site.

And now you know how to inspect that Loader Backhoe to help you complete the project.

Equipment Inspections

Series # 4

Forward Reach Forklift

This chapter we are going to cover one of the most popular and versatile machines on a job site.

There have been so many new developments and attachments added to the tool handling forward reach forklift that it really makes this type of equipment a must have when working on today's demanding high productivity construction site.

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