Subcontracting out tool rental for big jobs is a scam, fight me
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WrenchWanderer2
·1y·47 replies·35 participants
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WrenchWanderer2⚒️ JourneymanOP1y
119
Look, I've been running my general contracting outfit for 15 years now, and subcontracting out tool and equipment rentals to these big-box suppliers is just a rip-off. We're in central California, mostly ag and ranch work, so when we need a skid steer or something heavy like a DeWalt air compressor for a site prep job, why should I pay $500 a day to sub it out when I can buy one outright for $8k and make it last? Saw a post on r/Contractor last week where guys were bragging about marking up rentals to subs, but that crap just eats into our margins when we're already dealing with fluctuating material costs. TBH, if you're subcontracting heavy equipment like that Bobcat mini excavator without owning the basics, you're leaving money on the table. Someone in The Contractor Fight Facebook group asked about this same issue, and half the responses were from dudes who got burned on rental fees during a long project. I've got a Milwaukee M18 setup that covers most of our power tool needs without handing over keys to some third-party hauler. Screw that, build your own fleet.
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GarageGuruGary⚒️ Journeyman1y
19
Just get a line of credit with United Rentals, saves the hassle of ownership.
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DustBusterDave⭐ Expert1y
20
Ownership means no surprises, like when they jack up rates mid-job.
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RustyNailBob4⚒️ Journeyman1y
30
True, but maintenance costs add up fast on those skid steers.
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WireWizard87⚒️ Journeyman1y
20
Line of credit is smart for short bursts, not full-time subs.
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JoltJester2⭐ Expert1y
34
Subs always lowball their rental quotes then hit you with damage fees, pissed me off last summer.
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FixItFelix8⭐ Expert1y
21
Damage fees are the worst, had a $2k bill for a scratch that wasn't even there.
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LeakFinder42🔧 Apprentice1y
26
The real scam is how subs disappear when you need pickup on time, leaving your crew idle.
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PipeLord42021⭐ Expert1y
21
Idle time kills profits, better to own and control the schedule.
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ShingleSlinger🔧 Apprentice1y
43
FML, just dealt with a sub who rented faulty gear and blamed me for downtime.
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SparkPlugDummy2⚒️ Journeyman1y
25
Downtime costs more than the rental fee, always.
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DrainDiverDan⭐ Expert1y
17
Yeah, test everything before signing off.
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BrushStrokePro3⭐ Expert1y
41
Same here, central Cali heat wrecks rented tools faster than owned ones.
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AntAnnihilator5⚒️ Journeyman1y
27
Heat is brutal, but subs don't cover repairs under warranty.
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DirtDiggerDan2⚒️ Journeyman1y
20
I feel you on the margins, subs take 20% cut on rentals alone.
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FrameFreak4⚒️ Journeyman11mo
53
Guy in Handyman Nation group said the same, switched to buying and never looked back.
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FlushMaster2⭐ Expert11mo
13
Handyman Nation has good rants on this.
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KeyKeeperKate⚒️ Journeyman11mo
30
Watched Tommy Mello on YouTube talk about owning your tools to scale up.
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MopAndGloGuy⚒️ Journeyman11mo
20
Tommy's spot on, cuts out the middleman BS.
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VentMasterMike⚒️ Journeyman10mo
28
Subs are fine for one-offs, but for ongoing jobs like ranch fencing, own it.
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DoorJamDud⚒️ Journeyman10mo
14
Don't sub out power tools, get your own Milwaukee kit and save thousands.
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TrackTech⚒️ Journeyman10mo
14
Subs undercut on bids but screw you on reliability.
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PanelPusher2⚒️ Journeyman10mo
35
Reliability over cheap bids every time.
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SawdustSavant26⚒️ Journeyman9mo
25
Out here we sub less now, profit jumped 15% after buying basics.
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ShingleShuffler4⚒️ Journeyman9mo
35
Same boat, subs delayed a whole week on equipment delivery.
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DrainSnakeKing⚒️ Journeyman9mo
17
Big corps are buying up rental outfits and jacking prices, it's all connected.
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GarageGuruGary⚒️ Journeyman9mo
20
Switch to local independents for subs, better rates than the chains.
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DustBusterDave⭐ Expert8mo
23
I run a small fleet now, no regrets on the investment.
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RustyNailBob4⚒️ Journeyman8mo
17
Quote exact ownership costs in your bids to justify it to clients.
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WireWizard87⚒️ Journeyman8mo
13
Proud of ditching subs, hit $120k last quarter on tool efficiency.
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JoltJester2⭐ Expert8mo
28
Own the DeWalt compressor, use it across jobs.
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FixItFelix8⭐ Expert7mo
37
Funny how subs vanish when there's a breakdown at 3pm Friday.
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LeakFinder42🔧 Apprentice7mo
48
Felt that, been subbed equipment fail mid-pour and no backup.
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PipeLord42021⭐ Expert7mo
27
Build relationships with reliable sub crews, but own the tools yourself.
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ZapMaster2⚒️ Journeyman7mo
23
Hate when subs charge for transport on top of rental, pure greed.
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SparkPlugDummy2⚒️ Journeyman6mo
20
We all hate it, time to unionize against rental scams.
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BrushStrokePro3⭐ Expert6mo
51
Solid advice, just lease if buying upfront hurts cash flow.
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WeedWhackerWarrior⚒️ Journeyman6mo
18
Big rental companies are the real villains here, squeezing us dry.
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DirtDiggerDan2⚒️ Journeyman5mo
15
Frustrated with sub delays costing me a bonus last job.
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FrameFreak4⚒️ Journeyman5mo
5
You subbing out for ag work or more residential?
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FrameItRight⚒️ Journeyman5mo
19
Rant in The Contractor Fight nailed it, subs are profit killers.
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BrushStrokeBen⚒️ Journeyman5mo
17
Use Jobber to track sub costs and phase them out.
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BoltTightener⚒️ Journeyman4mo
17
Subs left me hanging on a ranch demo, never again.
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LadderLad3🔧 Apprentice4mo
31
Same frustration, central Cali logistics make owning essential.
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LeakFinder42🔧 Apprentice4mo
27
Controversial take: sub everything and focus on labor margins.
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SparkPlugSue⚒️ Journeyman4mo
18
We get it, rentals suck when subs control the terms.
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WireWizard6⚒️ Journeyman3mo
15
Insurance hikes on owned tools are the counterargument.
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SparkJockey3⭐ Expert3mo
29
All these rental conglomerates are killing small ops like ours.