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4 Steps to Turn Used Equipment Into Cashflow

Consultant Dr. Jim Weber urges dealers to buy smart, limit reconditioning, be attentive to sales mix and compensate sales on what matters most.
There is cash in used iron, and for most farm equipment dealers that pre-owned inventory represents the path to the overall health and lifeblood of their business. Dr. Jim Weber, a 40-year veteran consultant and trainer in the farm and construction equipment industry, says an on-going survey of large volume dealers in Canada shows used equipment turn rates — and corresponding positive cashflow rates — have fallen by about a third since 2012 as many dealers have been busy selling new equipment, with wholegood transactions averaging 81-82% of their dealership’s total sales.
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