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The return of show-only specials. By Patrick Flannery 6 INDUSTRY NEWS
CRA Facebook page, lift platform best practices, UPS discounts, Gibson to sell Global across Americas
10 MAKING FUN
Blair and Jill Holtsman show clients a good time at Hub City Display.
Take a spin on the decision wheel to match compressors to your customers’ needs.
14
Take part in National Rental Awareness Week. By Jeff Campbell
What to do after you sell. By Mark Borkowski 16
Reports from The Rental Show and the Prairie and Atlantic shows.
The ins and outs of debt collection. By Deryk Coward
Loaders, vertical masts, dumpers, cold-weather hose, concrete grinders and more.
Bring back show specials
Another show season has come to a close and left me wondering about a change in what goes on at rental shows. I wouldn’t know from personal experience, but I’m told that the local trade show used to be where many rental operators did a great deal of their buying for the year. When I ask rental store owners about how they started out, in almost every case there is a story about a trip to a trade show and a friendly mentor who took them around and helped them select the right equipment for their businesses. There seems to be much less buying on show floors now, and the reason, everyone tells me, is because there is no advantage to it any more. Equipment dealers are offering the same prices whether you place your order at the show or a week (or a month) later.
It isn’t hard to see how this would happen. You want to order when you are ready and not a moment before. The dealer needs the sale and doesn’t want you to go across the street to the guy who is willing to “extend” his show special. As everyone becomes aware that show specials can be obtained just about anywhere and anytime, the very notion becomes something of a joke.
The unfortunate side effect of this is the diminishment of one of the key reasons for going to a show, both for attendees and for exhibitors. If you are not going to find deals at the show, you may not be able to justify the time away from the shop, no matter how good the banquet entertainment is. And if exhibitors are not going to be met at the show by swarms of rental operators with chequebooks in hand, they start to wonder if their time and expense is justified.
ON THE WEB:
Video from the prairies
Drop in to the Canadian Rental Service home page for video of some familiar faces talking about their products on the floor of the CRA Prairie Show in Saskatoon.
Making a hashtag of it
Want to find rental-related content on Twitter? Search hashtags #equipmentrental and #partyrental to see all the tweets from @CRSmagazine, and other rental tweeters.
by Patrick Flannery
In my view, trade shows are a good thing in and of themselves for the relationships they foster and the chances they create for industries to establish their own identities and communities. But they need support. The levels of support we have seen in the past will not return without the levels of value we have seen in the past.
I think trade show exhibitors should bring back real show specials that are available only on the show floor during show hours and turn our trade shows into buying shows once again. And I think you, the buyer, should support them in this. Instead of asking, “You could do this price a week ago at the show, why not now?” understand that exhibitors are offering a special price at the show in order to support their involvement in the show and the show itself. You win because you get a show floor with a lively market environment where you can easily compare exhibitors who are competing vigorously for your immediate business. The exhibitors win because they can, in one or two days, book an amount of business it would take them weeks or months to collect otherwise.
You will see some of this approach reflected at the 2014 Canadian Rental Mart. We will be strongly encouraging exhibitors to offer real, show-only promotions or price discounts and giving them some extra notice and promotion if they do.
I’d like to welcome a new addition to the Canadian Rental Service team. On the back page, you will find Mark Borkowski, president of Mercantile Mergers and Acquisitions Corporation in Toronto, and his M&A Matters column. In addition to possessing a wealth of knowledge and experience in matters touching business valuation, transfer strategies, finance, corporate structure and restructure, Mark is afflicted with the desire to communicate his thoughts through writing. Unfortunate as this disorder may be for him, his pain is our gain, as he will be sharing insights into the arcane world of buying and selling companies for which you would normally have to pay by the hour. CRS
SOCIAL CRA
The Canadian Rental Association has launched a public Facebook page aimed at promoting rental awareness among the general public. The association has operated a members-only group on the social networking service for over a year, but this new page can be seen by anyone. Ontario national director James Morden encourages everyone to visit and Like the page. The page includes information about upcoming CRA events and gives users the ability to join events and post comments.
FIRST CHOICE BRINGS THE THUNDER
First Choice Equipment Rentals and Waste Management has purchased the assets of Thunder Box Rentals Ltd. Thunder Box is a supplier of portable toilets, and septic services to oilfield, industrial, commercial and residential customers in Edmonton, Red Water, Gibbons and all surrounding areas. First Choice has also hired the former owner of Thunder Box Rentals, Levi Pedgerachny, to run its fast growing rental and waste operation in Edmonton and surrounding areas.
“We feel that the addition of the business of Thunder Box Rentals, as well as adding Levi to our management team will further enhance our position as the leading job site service provider in Edmonton and the surrounding areas,” said operating partner of First Choice, Adam Snook. “We look forward to integrating the Thunder Box customers, and expanding our opportunities for business.”
LIFT PLATFORM BEST PRACTICES
The American Rental Association, the Association of Equipment Manufacturers, the International Powered Access Federation and the Scaffold and Access Industry Association have joined forces to develop a document of best practices for assessing risk and selecting the proper elevated work platform. The result of this joint venture is the Statement of Best Practices for Risk Assessment and Mobile Elevating Work Selection. Previous documents include Statement of Best Practices of Personal Fall Protection Systems for Aerial Work Platform Equipment (2011) and Statement of Best Practices of General Training and Familiarization for Aerial Work Platform Equipment (2010). The participating organizations recognized a need to aid in the identification of hazards, offer guidance for conducting a thorough risk assessment and implementing control measures as well as assist in the selection of the most appropriate MEWP for the work involved. The industry remains committed to putting forth initiatives that increase awareness of best practices and address the safe use of MEWPs.
GIBSON TO COVER AMERICAS
Ed Gibson has recently been appointed sales manager of Global Crane Sales, North America and Latin America. As North American and Latin American sales manager, Gibson is in charge of developing sales strategies, goals and future planning for the company’s line of Zoomlion cranes. Gibson joined the Global team in July 2009 after spending much of his career as a district manager with Link-Belt. He has helped shape the philosophy of Global Crane Sales by bringing insight into the expectations and demands of customers. Matched by 25 years of experience in the crane industry, Gibson’s expertise has been invaluable in the design of Global’s full line of Rough Terrain and Crawler cranes.
DORION IN CHARGE OF CANADA
Volvo Rents, a worldwide provider of small-to-medium sized construction equipment, announces the appointment of Paul Dorion as regional vice-president for Canada. In his new role, Dorion will be responsible for continuing Volvo Rents expansion throughout Canada. Taking the company’s northern growth into Alberta and Ontario, Dorion will be filling the gaps and expanding east and west across Canada. A Montreal native, Dorion is more than familiar with the territory and what it takes to grow a brand nationally. In his previous position with another major equipment rental company, Dorion served as vice-president and general manager for Canada, carrying out similar responsibilities to those in his new role with Volvo Rents — expanding the region to serve the customer base.
“With Paul’s extensive knowledge of not only the industry, but the market, his role in developing the brand across Canada will be key in our overall growth strategy and introducing our concept to new territories and customers,” said Barry Natwick, chief operating officer of Volvo Rents.
Expanding on the twelve locations currently operating out of two Canadian provinces, Dorion will play a pivotal role at Volvo Rents’ new Canadian headquarters in Edmonton. “Already, this has been such a natural transition,” said Dorion. “Allowing me to employ my existing industry knowledge and experience in developing national brands in Canada, this position provides a niche for my expertise and strengths.”
INDUSTRY NEWS
ARA ACTIVITY
All American Rental Association members in Canada — general and associate — now have the opportunity to receive discounts on shipping through UPS. Canadian members can take advantage of exclusive discounts on UPS small package shipments and brokerage services. There are no minimums for the number of packages shipped. All Canadian Rental Association members are also ARA members because the CRA is Region 10 of the ARA. Through this program, Canadian members can save:
• 30 per cent off small package shipments within Canada.
• 30 per cent off small package shipments to the U.S.
• 30 per cent off small package shipments around the world. Also included:
• 25 per cent off small package imports into Canada.
• 20 per cent off brokerage entry preparation fees.
• Weekly Service Charge (Automatic Daily Pickup) — 100 per cent waiver.
• UPS On-Call Pickup service — 100 per cent waiver.
• Freight Collect Third Party Surcharge — 100 per cent discount.
In other ARA news, the association unveiled its latest step forward in defining and analyzing the equipment rental industry with the development of the new ARA Equipment Rental Penetration Index. The ARA Equipment Rental Penetration Index provides the industry with a new method for measuring and forecasting equipment rental penetration and leverages the ARA Rental Market Monitor and the expertise of the association’s industry research partner, IHS Global Insight, as the foundation. The ARA Equipment Rental Penetration Index is designed to create a way for rental companies to measure how much potential market exists versus the current market as well as for manufacturers to project demand for machines, and investors and analysts to consistently measure trends about equipment rental in construction.
“Rental firms tend to measure their performance on a cost basis and the most often used cost base for rental equipment is original equipment cost,” says John McClelland, ARA’s vice-president for government affairs, who helped lead ARA’s rental penetration index workgroup. “The OECweighted approach allows the ability to derive several components of the equipment rental penetration calculation using well-established data and techniques.”
U.S. Census data is used to calculate a value-based measure of the construction fleet. Using this value as the denominator and rental fleet OEC as the numerator, ARA can estimate an equipment rental penetration index that is value-based and accounts for flows of equipment into and out of the fleet and for the stock of equipment in the rental and total construction fleets.
“While our customers continue to tell us that equipment rental increasingly plays a larger role in their businesses, now with the index we can better measure the extent of that growth over time. We also believe that the secular shift to rental may have at first been driven by macro-economic uncertainty, but that once customers turn to rental they appreciate the flexibility and convenience it provides, and appreciate the added value,” said Kneeland. ARA used its new approach to analyze results covering 2003 to 2011, which shows rental penetration for construction machines was in the range of 40 per cent at the beginning of the analysis to just above 50 per cent in 2010 and 2011. The result is consistent with the expectation that in recent years the size of the rental fleet has increased relative to the construction fleet.
BOMAG ACQUIRES TEREX ROADBUILDING ASSETS
Driven by a key strategic initiative to expand its leading position and support for customers in the road building industry on the American continent, Bomag (Fayat Group) today announced it has entered into a purchase agreement to acquire certain product lines in North America, and the roadbuilding operations of Latin America (exCifali). This is a significant breakthrough for Bomag as well as the mixing plant business unit subsidiaries Mariniermont.
“The addition of these product lines enhances the position of Fayat Group as the only full line in roadbuilding equipment, for longterm success and significant growth potential in the industry. Moreover, it accelerates our footprint in emerging countries,” said Jean-Claude Fayat, Fayat Group executive managing director.
“We are pleased to announce the agreement and are proud to welcome the Cedarapids and CMI products (asphalt pavers, reclaimer/ stabilizer and material transfer vehicles/ devices) and reputable brand images into the Bomag America’s offerings,” stated Rob Mueckler, vice-president of sales and marketing. “We intend to fully leverage our collective strengths to more efficiently serve road building customers.”
This acquisition will position Bomag to offer a broad range of road building products and solutions to customers, and reinforce the global leadership of Mariniermont in the mixing plant segment in Latin America. The aging infrastructure of the North American transit system and the development of infrastructure in South America are expected to continue to drive an increasing demand for road building and compaction equipment.
MAKING FUN
Blair and Jill Holtsman will do anything for a good time.
At Hub City Display in Saskatoon, Sask., business success comes down to one simple formula: if the client needs it, the answer is “yes.” That is because Blair, a third-generation partner in the business, draws his motivation from a desire to help others and solve their problems. His wife, Jill, also a partner, is right at his side.
by PATRICK FLANNERY
Their commitment to customer satisfaction has seen the event rental and custom exhibit company they share with Blair’s father, Larry, break out of its Prairie roots and start to make waves across the country.
Hub City Display occupies a 17,000 squarefoot office, showroom and warehouse. The Holtsmans own 18 tractor-trailers plus assorted vans, trucks, cube vans and other vehicles to move gear around. They employ 17 workers, plus up to 60 casual helpers. The company has four main lines of business that overlap and interact with one another: custom exhibits and displays, large-format digital printing, exhibit management services and event and party rental services. Most of its business is still in Western Canada, but Hub City goes right across the country doing exhibits for the likes of Makita, Black and Decker, Stanley and Potash Corporation. Some of the shows its does might require five tractor-trailer loads of carpet alone. A recent show for the Western Retail Lumber Association needed 22 trailer loads of gear.
Trade shows are big, but corporate parties are now even bigger. There seems to be a neverending appetite for novelty at the corporate gigs today, so Hub City carries a wide selection of the unusual, including a calf-roping game, a pit-stop game where participants race to change the tires on electric go-carts, and photo booths.
The custom exhibit business involves designing and fabricating podiums, stages, signs, counters, reception desks and myriad other exhibition structures. Most of the exhibits are made of wood in the company’s fully tooled wood shop by Wayne Redekopp, a veteran millworker and cabinet maker who has been with the company 15 years. More standard exhibits are usually constructed using Octanorm, a standardized aluminum-tube-based exhibit system from Germany.
Hub City is also unusual in that it makes a great deal of its own party rental furniture, often using the same designs Blair’s grandfather, Eldred, invented when he started the company. The Holtsmans made the furniture themselves until recently, when demand outstripped their ability to keep up. But sourcing furniture that met their quality standards proved to be a challenge. “We used to have these black bar stools with swivel tops,” Blair remembers. “I had 300 of those and I threw them out. Somebody sat on one and the legs broke where the bolt went through. Threw them all in the garbage, every one of them.” Blair experimented with sending their designs to China for production there, but found the quality from offshore suppliers very uneven. Now, Hub City gets its bar stools and padded chrome chairs from My Chair, a Toronto furniture maker, even though it costs more. They are still producing much of their wood furniture in-house, having recently completed a batch of 180 banquet tables.
Hub City also makes its own drapes and skirts, though that has been waning lately. “Now I’m starting to buy it because we can’t sew it for as little as we can buy it,” Blair says. “It’s weird.”
The idea to get into digital printing occurred to Blair as a way to save money when making displays, and has turned into a thriving sideline in its own right. He hired an experienced printer, Pat Holmes, and asked him what he would need to set up a large format digital printing shop. Then he went and bought it. “I don’t even know how to turn this stuff on,” Blair admits, “But I sure know what it costs.” The print shop has enabled Hub City to offer cutting-edge graphics with its displays and event materials, and to emblazon its logo on all its trucks and vehicles. It can supply pop-up banners and banner stands, as well as custom graphics and decals for snow
machines and other vehicles.
Exhibit management is the serviceintensive side of the company. “We make a plan,” Blair explains. “We pick out all their pieces, make sure it is all good, ship it to the venue, go in and set it all up then stay for the show. Then we take it all down, load it up and bring it back here.”
So Hub City is into manufacturing, rental, printing and services. It is a level of horizontal integration that is not supposed to work well, but the structure serves Hub City well. “To us, it does not seem like four different businesses because we do it every day,” Jill says. Blair’s grandfather started the company
in his basement in 1947, after returning from the Second World War. Initially, the core business was storefront window dressing. Eldred had no background in the business, but did well enough at it that more opportunities came along. He branched out into decorating restaurants, then to doing parade floats. By the 1960s, Blair’s father was skipping school to help Eldred set up trade shows in Regina, and Hub City had moved into its first separate location in what would later be the Prairieland Exhibition Centre. That shop was tiny, so Eldred moved the company to St. George Street into what used to be gun range. The advantage there was
the company now had a small yard. The operation grew and Larry built on to the existing building, then bought the building next door. Eldred had kept the company about the same size for many years, but Blair’s father was not afraid of growth. In 1989 he bought the existing facility from the Saskatchewan Wheat Pool, and the stage was set for another bout of aggressive expansion. “I remember I used to work weekends when I was going to school moving stuff from the old shop to this shop,” Blair says, “and when we put it in this warehouse it was so huge. ‘How are you possibly going to fill this place?’ I thought.”
The party rental business is not just tables and chairs any more. Jill Holtsman picked out this photo booth at The Rental Show in Las Vegas in an attempt to keep Hub City’s offerings fresh. Posing with the booth are Jill, Carol Baker, Vickey Wood and Michelle Lear.
Photo credit: Jerry Humeny
Hub City has weathered the changes of time and markets, evolving away from storefronts and parades into trade shows and now corporate events. In the early days, trade show backdrops were often made with crepe paper instead of drapery, and Eldred was an expert at creating them. When Blair and Jill got married in 1994, Larry did a crepe paper backdrop for their head table. “That was the last one ever,” Jill says.
When Blair’s father started managing the business, he started doing more manufacturing of custom exhibits for trade shows. Parade floats were still a big deal in those days, and companies would pay well to have a spectacular custom float made. “I remember as a kid on the morning of the parade, Saturday morning, there would be 15 or 20 floats,” Blair says, “and we would have to go in at four in the morning and set them up at our shop.”
Blair’s father always told him to get into some other line of work, but there never seemed to be any chance of that happening. “He has pictures of Blair
playing with Lego as a kid,” Jill says, “And they are all set up as trade shows with the little curtains. He’d make his own curtains to go with the Lego.” Blair remembers the day when his father turned things over to him for good. “He came in and put a stack of cheques on my desk and he said, ‘Here, sign these,’ and that was my training.”
“Larry didn’t have any problems letting go,” Jill adds.
“Grandpa would come in at seven in the morning, put the coffee on and sit here until 10, until he died at 70,” Blair says. “I don’t think Dad has been in the building for 10 or 12 years.” Blair’s father has become a silent partner, but there seems a good chance that the tradition of Holtsman family ownership will continue at Hub City, because Blair and Jill’s middle son is very interested. They have three children: 18-year-old Alyssa, 15-year-old Brayden and 14-year-old Adam. “Mostly just Brayden is interested in the business,” Jill says. “The other two only come in once and a while.”
“The other two are probably smarter,” Blair jokes.
Blair and Jill married fairly young, at 20, so they are already at the stage where the kids are becoming more independent and they can concentrate more on the business. “I stayed home and raised our kids and I had a daycare,” Jill says. “Then as they got older, I started coming here more and more. We thought someone else should know how to do the books, so I learned that end of things. Now I seem to be coming here full time. I’m not sure how that happened. I didn’t agree to that,” she says, laughing.
“That is one of our things,” Blair says: “if a customer ever asks us, the answer is always ‘yes.’ ” That can-do philosophy is not just talk; the Holtsmans say they have never let a client down. “A new customer will phone and they ask, ‘What happens if this does not get done in time?’ ” Jill says. “It is a hard question to answer because we have never not finished in time.”
Blair jumps in: “We have never, ever not been done.”
Jill continues, “It comes close; you are vacuuming and doing final touches all night and the show opens and you are going out this door as they come in that door…”
“…but we have never not been able to meet a deadline,” Blair says.
Blair’s determination to satisfy the customer is both his motivation for being in the business and the reason for Hub City’s success. “One year, I painted a fishing line with black marker because it showed up on camera,” he says. “That is how detail-oriented we get. [Our client] had those portable walls that fold. They have a silver bar between them where the two sections join. The cameras picked up a glare off that, so they said, ‘You guys have to figure out how to make that disappear.’ So that was my job. I ended up putting a strip of tan Velcro on the silver and it blended perfectly with the wall and you couldn’t even see it.” Blair says finding solutions like this is what gets him out of bed in the morning. “What works really well for me is, I love working with people. I love trying to figure out what they need and to be able to solve their problems and issues. I got a hug today from a customer because she really liked what we do.”
Recognizing the next generation of the Canadian rental industry!
Canada is full of young, skilled and knowledgeable people who are driving the rental industry forward. From mechanics and store managers, sales representatives and event planners, they are the best and brightest in our industry. Join us as we celebrate the future of rental in Canada.
The Canadian Rental Service Top 10 Under 40 will recognize the achievements of the newest generation of rental industry owners and workers. Strong work ethics, leadership by example and efforts to grow the quality of our industry will be acknowledged.
Anyone who works in an equipment or event rental operation in Canada who will be under the age of 40 as of September 30, 2013.
To nominate someone to be recognized as one of the Top 10 Under 40, visit www.canadianrentalservice.com to fill out a nomination form. Nominations close on June 1, 2013. The Top 10 Under 40 will be featured in the August edition of Canadian Rental Service magazine.
Across the industry, from equipment and party rental businesses to equipment suppliers and service providers, we all face a single over-arching challenge –finding the next generation of innovative, dedicated talent to drive the industry forward. Join us in celebrating that talent!
by JEFF CAMPBELL
ANOTHER GREAT SHOW SEASON
CRA trade shows are a great opportunity for all.
It’s been enjoyable being able to attend all the regional trade shows over the last three months. I have found that each of the trade shows is a little different, with two common factors.
Each show features the terrific presence of our associate members. Without their participation on the floor as well as with sponsorships for social and networking events, our association would have a completely different face. Please reward these members by placing them and their companies at the beginning of your shopping list. Remember a member.
The second thing all our shows have in common is the great networking component. This was achieved in different ways at each show. The effort put forward for these events was from your own local board of directors. So a thank-you to them would be appreciated, I am sure.
Some of our shows put forth an educational component in the form of seminars. These were well-attended events and will be a mainstay of next year’s shows. I would encourage any and all members or associate members who feel they have valuable technical knowledge to share with the industry to contact their local board of directors and volunteer to put on a seminar. There is no better way to get known as an expert in your field.
For those of you who attended the regional shows, you already know the rewards. For those of you who didn’t attend, you missed out on one of the easiest ways to gather information as well as further your business and yourself. The weather did not always co-operate at this year’s shows, but it was amazing to see how many rental people braved the elements and took time out of their busy schedules to come out. The regional shows are important for your association local and important to keeping our industry strong.
Remember, your local trade show is a great place to buy, with lots of show-only specials, as well as a great place to get information to grow your business as well as yourself. Thanks to all the people who made my travels safe as well as some of the most enjoyable rental experiences yet.
In March, I announced that the CRA would be launching an exciting campaign to raise rental awareness across the country from May 6 to 10. By the time you read this, the big week will be right on top of us. Springtime brings April showers and May flowers, but it also puts thoughts of home renovations and spring cleaning into many homeowners’ minds. What better way to kick off spring than with National Rental Awareness Week? By now, you should have received a package that included a media release and other materials you can use and distribute to your customer base. As well, our public relations firm, High Impact PR, will be contacting media outlets across the country to create buzz and generate media coverage for the campaign. Members across the country are tying events and announcements in to NRAW, and I encourage you to do the same. NRAW is an ideal opportunity for you to communicate your offering to your customers and the community you live in, while raising awareness for the rental industry at the same time. It isn’t too late to jump on the bandwagon and join the groundswell of rental interest we will be creating from coast to coast. CRS
Jeff Campbell is co-owner of St. Thomas Rent-All in St. Thomas, Ont., and has been a member of the Canadian Rental Association for 34 years.
AIR TIME
Spend a while understanding compressor capabilities before recommending to customers.
Deciding on the type of compressor that will best suit your customers’ needs often turns out to be more complicated than you first imagine. Once you start looking into it, you find all sorts of factors to consider.
by DANIEL LEISS, PRESIDENT, JENNY PRODUCTS
It may often seem you cannot choose a model without first deciding on a certain feature, which depends on your decision on another feature, which, sure enough, goes back to the first choice you had to make and could not have made without knowing all the rest. It’s a cat’s cradle.
For instance, say a customer comes in to rent a compressor. How much air do they need? Well, that depends. Will they be using a nail gun that uses quick bursts of air, or a grinder that runs continuously? Those questions direct you to look first at the volume of the receiver tank. But, they mention they’ll need enough air to run a grease gun and a one-inch impact wrench at the same time. Ah, that’s a matter of capacity – CFM.
But their owner’s manual also says the wrench requires 170 psi. In that case, they’ll
need to be looking at a two-stage compressor. A single-stage compressor may deliver higher CFM but top out on pressure at 150 psi. And the customer wants to hold the weight and cost down, which points to an electric unit, but they may be working in a remote area, which demands a gasoline engine. It can be maddening trying to pinpoint what most customers will need and request. But let’s look at the Decision Wheel (this page) and take the points around it one by one. Then things will clear up quickly. Start at any point on this Decision Wheel and move around it in any direction since all the issues eventually come up. For now, let’s start at the top.
PORTABILITY AND FLEXIBILITY
When looking at hand-carry or wheeled air compressors, portability will be a given. The
Potential compressor uses are so diverse, it pays to give your rental staff a good, fundamental understanding of how to apply a compressor to a particular job.
TECH TIPS
bigger concern will be ensuring the model you think most customers will prefer also meets their pressure and capacity requirements. With their low weight and compact configuration, these air compressors can go pretty much anywhere –with one condition, which is what we need to look at next.
POWER SOURCE
The next obvious step involves asking the customer where the compressor will be used. If they will be working in a remote area without access to electrical power, either from the grid or from a generator onsite, their only choice is a
gasoline engine model. That will give them complete mobility; they can get it to any jobsite and move around freely once they’re there.
But there may be other issues that come into play, such as environmental restrictions – emissions in a confined space or noise abatement – that cancel out the advantage of convenience. The gasoline model also will weigh more and both the purchase price and ongoing costs will be greater, but it will provide higher actual horsepower than its electric-motor counterpart.
CFM REQUIRED
Besides power, capacity will directly impact what the compressor will enable a customer to do. Begin by helping them add the CFM requirements for all the tools they plan to use simultaneously and then add another 30 per cent of that to allow for unknown or uncommon compressor usage. The CFM demand will be either on the tool itself or in the owner’s manual. Capacity or volume can be figured three ways:
1. Displaced CFM (DCFM) is simply a mathematical calculation of the bore, stroke and rpm. But, it does not take into account any of the important variables, such as temperature, atmospheric pressure, humidity, friction or heat dissipation, and therefore it means almost nothing in the real world.
2. Standard CFM (SCFM) is a better measure of reality. SCFM is the flow of free air in a standardized environment – such as 14.5-psi atmospheric pressure (the pressure at sea level), 68 F and zero per cent humidity. This is a standardized metric, and it’s the best figure to use in comparing air compressors across the board, apples to apples. But what about your specific location? Are you established in mile-high Banff, when in January it sure isn’t 68 degrees? Or, are you at sea level in Moncton, where in July the temperature and humidity needles are on the peg?
3. Actual CFM (ACFM) is the number that calculates in the variables that apply to a specific situation. It will give the
Selecting a compressor involves a matrix of interconnected factors. Using this wheel can make things a bit easier.
output of the pump for the actual working conditions. But ACFM is a hard figure to get, precisely because it does require site-specific data and calculations that may be best left to an engineer. So for selection purposes, the best bet is to compare air compressors based on the SCFM ratings. Note, too, that CFM is often shown at various pressures. These numbers can be useful in determining if a compressor produces enough volume for an application, but they can be confusing when trying to compare different compressors or compressors rated at different pressures. So again, SCFM is best. It levels the playing field.
REQUIRED OPERATING PRESSURE
CFM also will be important to know when a customer is considering a single-stage compressor versus a two-stage model. Begin by asking them to list the minimum operating pressure requirements for the tools they are going to use, which will indicate whether they need a single-stage compressor or a two-stage. Single-stage compressors are fine up to 150 psi. For anything more than that they will need a two-stage. A single-stage compressor will typically have a higher CFM rating, because the cylinder is drawing in air and compressing it with every rotation, whereas a two-stage is compressing the air up to an intermediate pressure in one cylinder and then passing it on to another cylinder to finish the job. Because the air is typically passed through an intercooler between stages, a two-stage compressor is more efficient at higher pressures.
RECEIVER TANK
Once again, the capacity of the compressor tank, which is usually measured in gallons, depends on how a customer intends to use the compressor. If they will be running tools that require quick, concentrated bursts, such as air nailers, a small tank is best. If the tools are to be used for sustained periods, as with board sanders, grinders and impact wrenches, they’ll want a larger tank. Think about it – it’s like blowing out a candle compared to blowing out
a birthday cake covered with candles. You have to fill up your lungs for the birthday cake; the candle you can do with a puff.
PRODUCT FEATURES
The key word for quality in air compressors is durability. Durability means longevity, and longevity brings about the best return on investment. Invest in quality up front and it will better
endure the abuse of the industry and provide more rental income over the product’s life. The more rental returns the compressor can withstand, the more profit it will bring.
Look for long-term durability features, such as a cast-iron cylinder, a heatdissipating aluminum head, an efficient cooling system, structural protection for critical components and fittings, a heavy-duty steel frame and powder-coat
RTV SERIES
This tougher-than-nails lineup includes the transformable RTV1140CPX, the all-weather RTV1100, the diverse RTV900XT and the compact RTV400 and RTV500. All of these machines boast innovative features like spacious cargo beds, powerful engines, and a full range of attachments all designed to help you work more efficiently and comfortably.
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RTV 900XT
RTV400Ci
RTV500
RTV1140
TECH TIPS
or electrostatically applied paint to resist chipping and wear. Anti-vibration feet will help keep the noise down and keep the compressor from rattling itself apart.
Check into service life – how long is the unit designed to last? Consider the unit’s size and weight, too, and how it might impact a renter’s decision. Check whether the listed weight of the unit actual is the weight or the shipping weight. It seems obvious that the key number for the user would be actual weight, but often it is the shipping weight that is shown. Look at hose diameter, too. Don’t skimp on width by using a 1/4-inch hose if a 3/8-inch hose will be needed to handle most customers’ needs. But, be realistic. Make sure the larger hose will justify its extra weight and cost.
SUPPLIER COMPANY, PARTS AND SERVICE SUPPORT
Asking questions of your supplier helps determine quality factors that can’t necessarily be seen. Are air compressors the primary or sole business of the supplier? Does the company make its own products, or source them from a third party? How long has the company been in the air compressor business? All we know about the future is what we know about the past, so look at the company’s history in this market. Can the supplier answer every question clearly and explain the subtleties that only an expert would know? What about the availability of technical help, parts and service, and the distribution network?
INITIAL PRICE AND LONG-TERM COSTS
When it all adds up, what will be the price over time? Consider how your clientele will likely use each compressor, how often it will be rented out and the length of time it will be out of the store. The big question in the selection decision is this: What would it cost you to be wrong?
Overall, the most critical issue to keep in mind is each customer’s needs. Every job application has its own requirements, and a customer will need to understand the needs for the specific work situation. These core topics on the Decision Wheel should lead you to a pretty good understanding of how to help a customer with the problem they’re trying to solve.
Remember, it makes little sense to buy more than what is needed, but it makes no sense at all to buy less. What you are buying ultimately is not an air compressor but rather a solution to your customers’ problems. You could urge them to try to get by with just one aspirin, but they’ll still have the headache. Analyze the decision points thoroughly while considering your customer base in order to find the best solution for the present and future of your business. CRS
Dan Leiss is president of Jenny Products in Somerset, Penn. He can be reached at 1-814-445-3400. For more information on Jenny Products, visit www.jennyproductsinc.com.
Portability is often the main concern for renters. Consider this factor before anything else.
Getting your due
by Deryk Coward
Occasionally, clients don’t pay their bills. This is nothing new in the business world, and likely will not change anytime soon. Invoices will be sent out, followed by demand letters from lawyers or collection agencies. If the client ignores these demands and refuses to pay you, how can you collect on an outstanding debt?
One available option, and the most direct route, would be to go to court to attempt to recover the debt. If the debt is within your province’s Small Claims limit, then the Small Claims court would likely be your best option. Small Claims, as opposed to regular court allow for claims to be heard relatively quickly and efficiently. The downside, however, is that Small Claims carry an automatic right of appeal to the Queen’s Bench in many jurisdictions, including in Manitoba. This means that either side can appeal to the Queen’s Bench after their small claim hearing and then the matter will have to be heard all over again.
Many people represent themselves in Small Claims and having a lawyer is absolutely not necessary. This, some would say, makes matters more efficient.
If the amount of money being claimed is more than $10,000 (the Manitoba limit for Small Claims – your jurisdiction may differ) then the lawsuit will have to be initiated in the Court of Queen’s Bench. There are rules of court which specify time lines for certain documents to be filed, the rights to discovery and pre-trial process in general.
But let’s assume that you go to court to recover a debt, whether it is Small Claims or the Queen’s Bench, and you have now won. Now you have a judgment that says you are owed the money from the debtor. The task you now face is actually collecting upon that judgment.
This is where knowing as much as possible about your judgment debtor comes in handy. Do they own property? Where do they bank? Do they have an employer or someone they are doing contract work for? All of this information can help you collect your debt.
Garnishment is one method of recovery.
You can garnish a person’s bank account if you know where they bank. You will have to go to court and file a notice of garnishment and get the court to give you an order allowing you to garnish. This order allows you to take money right out of their account in order to satisfy your judgment.
Wages can also be garnished. If you know who the employer of the judgment debtor is, you go through a similar process as you do for garnishing a bank account: a motion before the court to obtain an order. The order is then served on the employer who is obligated to provide you with a percentage of the debtor’s wage in order to satisfy the judgment.
If the debtor owns property, your judgment can be placed against that property. Once the judgment is put on the property, it will eventually be possible for the creditor to force a sale of the property to collect on the debt if the debtor continues to refuse to pay.
Property of the debtor can also be seized and sold under a writ from the court. A writ is granted from a master or a judge and allows a sheriff in your province to recover property on behalf of a creditor which can be used to satisfy a debt.
All of the above approaches are good ways to collect upon a judgment. There are more. In order to discuss all of your potential avenues of recovery, I would recommend that you consult an attorney in your provincial jurisdiction.
Remember, the information in this article is not intended as legal advice. If you have an outstanding debt that you wish to collect, should consult with an attorney in your provincial jurisdiction. The information in this article is based on Manitoba law only, and may differ from other jurisdictions. CRS
Deryk Coward articled with D’Arcy & Deacon in 1996 and was called to the Manitoba bar in June of 1997. He is a partner with the firm, practising primarily in the area of general civil litigation, personal injury, insurance, debtorcreditor and labour and employment law. Coward is legal counsel for the Canadian Rental Association.
Husqvarna’s drilling line was developed for all types of users and applications, whether needing a drill for one hole or 1,000. Husqvarna’s line is sure to cover any needs.
We are constantly working with users to develop new machine features to better aid operator ergonomics as well as machine efficiency. Focusing on these categories enables our drills always work at optimal performance.
SHOW ROUNDUP
SHOWS BUZZ
The 2013 shows bubbled with buying energy.
The return of growth to the U.S. housing and construction markets spurred some great action at the American Rental Association’s annual industry gathering, The Rental Show in Las Vegas. Things were more subdued, but still positive here in Canada at the Prairie and Atlantic shows.
by PATRICK FLANNERY
ARA ACTION
An extremely active trade show floor, sold-out seminars, and positive energy and enthusiasm at The Rental Show 2013 in Las Vegas reflected the equipment rental industry’s upward trend. The Rental Show 2013 marked the fourth straight year of increased attendance growth. The number of rental businesses represented increased this year as well and was the highest total since 2006, which was the 50th anniversary of The Rental Show. The total number of attendees was 5,365 from 2,480 rental businesses.
Attendees came from throughout the U.S., Canada and more than 40 countries to The Sands Expo and Convention Center for the Feb. 10 to 13 show.
“Overall, The Rental Show reflects where this industry is headed. Everyone anticipated a great show because of the attitude, tone and urgency we’ve seen from attendees on buying equipment,” said Christine Wehrman, CEO of
the ARA. “Everything about the Show was positive this year. The Events and Tents program on Saturday and the seminar day on Sunday were huge successes. Our sessions honoring our volunteer leaders were highly regarded and enjoyed by everyone,” she said.
ARA president Mike Blaisdell of Bunce Rental in Tacoma, Wash., also found this year’s show electric. “It was great to see so much positive energy at The Rental Show this year with both attendees and exhibitors very optimistic about 2013 and beyond,” he said. “Attendees and exhibitors alike felt like the show was well done and really enjoyed it. The educational sessions were well attended and received excellent reviews and, as always, the show offered a lot of value and provided many opportunities for networking and peer-to-peer discussions that are impossible to get anywhere else.”
The perspective from exhibitors also was
positive. Scott Smith, director of sales for Ditch Witch in Perry, Okla., said, “This year’s show was a tremendous success for our Ditch Witch organization. We saw a significant increase in traffic and all of the customers that we talked to were excited about the strong opportunities in the rental market for 2013 and beyond.”
Next year, The Rental Show is Feb. 9 to 12 at the Orange County Convention Center in Orlando, Fla.
Watch TheRentalShow.com for updates on the 2014 edition.
PRAIRIE SHOW A SOCIAL EVENT
Some bad luck with the weather left at least 50 badges unused at the 2013 Canadian Rental Association Prairie Show on March 16, but over 100 attendees browsed the excellent selection of machinery, equipment and party supplies on display, even though the police were telling Saskatchewan residents not to use the highways. Many exhibitors, including Cavalier, Weber, Rentquip and National Hose were offering show-only price specials.
Saskatoon once again delivered the social element at its trade show with a banquet attended by three times as many people as the show floor. Banqueters heard from CRA president, Jeff Campbell and American Rental Association president, Mike Blaisdell. The smooth-spoken Tim Ranson of CRA Alberta was master of ceremonies.
Saskatchewan national director Blair Holtsman presented the Saskatchewan regional award to Keith Andrews of Prairieland Rental Centre. Andrews, who is also president of the Saskatchewan local recognized Ed Dwyer for his work as CRA national president. Gene Elash awarded “Bobcat” Brad Williams the Supplier of the Year award. And finally, Doran Broadfoot’s life of hard work at last paid off when he was presented the Dickie Doo award by Paul Everitt.
The Prairie Show offered an educational program for the first time, which took place on March 15 in the Radisson hotel. “Social Media Strategy” was presented by Harley Rivet, telling attendees how to use such online tools as Twitter and Facebook to connect with customers. “Understanding Customer Service: the Wow Factor” was presented by Marielle Gauthier and discussed the concept of internal and external customers and the importance of serving both. About 45 people attended the seminars.
“Good show! I was impressed with the quality of booths as well as the number of booths,” said CRA national president, Jeff Campbell. “The banquet and seminars were well-attended, creating the unique bonding that goes on in the prairies. Mike [the ARA president] mentioned this numerous times. When you leave a Prairie Show you can’t help but feel that you have spent time with a group of close business friends. This is one of the shows that all CRA members look up to, and rightly so.”
“People are looking for ideas,” national Saskatchewan director, Blair Holtsman, said. “They want to talk to their suppliers and look for new products. They will definitely want to stock up on pumps for all the flooding that might happen this year.”
Blaisdell thoroughly enjoyed his first trip to Saskatoon. “It was certainly a privilege to attend the 2013 CRA Prairie Show and I enjoyed meeting and talking to the many CRA/ARA members throughout the weekend,” he said. “I congratulate the show
SHOW ROUNDUP
committee, the exhibitors and the attendees for a job well done. It was my honor to represent the ARA and celebrate the Prairie Show with the many members in attendance. I would like to thank everyone for their generous hospitality and the opportunity to support our membership and to represent ARA.”
Organizers betrayed some anxiety over changes to the hospitality format, but the room and bartender provided by the hotel seemed to work well with the help of ample tickets provided by suppliers. A comic impressionist entertained the crowd after the banquet.
A GREAT FEELING AT ATLANTIC
Numbers were up at the Canadian Rental Association’s Atlantic trade show, held March 2 at the Ramada Plaza Crystal Palace in Moncton, N.B. About 64 rental operators attended, taking in an ever-growing array of light equipment and tools and attending the banquet and casino night. That growth is making for a tight fit at the Ramada, and the show may need to seek a larger venue soon.
The Atlantic show atmosphere is summed up best with local association vice-president Dale Pardy’s word, “personable.” There is a one-on-one friendliness to interactions, and everyone seems to know everyone else and to be eager to get to know those they don’t. Max Desmeules, a representative for Tsurumi, called the 2013 edition “The best Atlantic show ever.” He added “I have seen a lot of new faces and there is a great spirit here. This group is really like a family.”
The Atlantic rental family recognized one of its own, Nancy Crosby of Classic Rentals, at the Friday night banquet with the Atlantic Region Person of the Year award. Crosby is secretary of the Atlantic local and worked hard with treasurer Sara Pardy to sell 50/50 tickets that raised $200 for the CRA’s Dorothy Wellnitz Scholarship.
The banquet included a member meeting chaired by local president Hank McInnis of Hewitt Rentals with messages from national Atlantic director Dave Fraser of Cat Rentals and national CRA president Jeff Campbell of St. Thomas Rent-All. Garth Scott, the association’s resident historian, was called upon for his traditional joke, but instead he regaled the crowd with tales from the Barrett-Jackson classic car auction in Arizona.
Notable on the show floor was new-look concrete mixer from Stone, now being produced under the Toro name. It is essentially the same mixer that was Stone’s bread and butter for years, but now with a powdered paint job in the Toro black and red colours.
There was some buzz among exhibitors and show staff about the return of true show specials. Peter Witt of Weber Machine was advertising a show special on one of his rammers that he said was $400 below regular price, and that the same deal would not be available off the show floor no matter what. A surprising number of other exhibitors agreed that it is increasingly important to offer show-only promotions and discounts in order to drive traffic to their booths. CRS
Visit the Canadian Rental Service Facebook page for photos from all the Canadian shows!
PRODUCT SHOWCASE
Here are some top rentalready products that have been making waves on the show scene this spring.
VANGUARDPOWERED LOADER
8 www.billygoat.com
The new Billy Goat DL 35 Series professional contractor/municipal electric-start debris loader comes powered by a Vanguard 35-horsepower air-cooled V-Twin Big Block engine.
“The Vanguard 35-horsepower air-cooled V-Twin Big Block engine is the proven industry standard for professionals who need a durable, dependable power source,” said Dan Roche, marketing manager for Briggs and Stratton commercial power. “Vanguard had the power, performance and reliability Billy Goat needed to ensure its new debris loader could tackle the largest jobs without hesitation.”
ACCESS IN CONFINED SPACES
8 www.genielift.com
The new Genie GR-26J Runabout self-propelled vertical mast with jib was introduced today for the ANSI and CSA markets. This unit is the latest in the Genie vertical lift family of products and is ideal for locations where outreach is required in a confined space. Production has already begun and the product is available for purchase.
“The Genie GR-26J brings new outreach capability to our best-selling Runabout product line with a classleading lightweight design,” said Chad Hislop, Terex AWP product manager. “The rotating turntable combined
with an outreaching jib allows operators to easily get up and over obstacles to access areas that were previously out of reach.”
The new vertical lift provides users with a wide range of motion for accomplishing jobsite applications ranging from warehousing to maintenance. The unit offers an “up-andover” maximum clearance of 21 feet 10.5 inches, a maximum working height of 31 feet, nine inches and a maximum working horizontal reach of 10 feet, one inch.
Outstanding 140-degree jib range of motion and 350-degree non-continuous hydraulic turntable rotation enable the unit to deliver precise positioning of loads.
TIER 4-COMPLIANT ENGINE
8 www.kubota.ca
Kubota has introduced a full lineup of compact diesel engines that meet EPA/ CARB Tier 4 and EU Stage IIIB standards. Tier 4 and Stage IIIB are extremely stringent standards. The new standards require further reduction of particulate matter (diesel soot) by 90 per cent in comparison to the previous standards. In order to comply with the new standards, Kubota has used a variety of technologies such as a common rail system, an electronic fuel injection system for optimization of combustion processes, an exhaust-gas recirculation
device and a diesel particulate filter for improvement of emission performance. These technologies will bring more durable, quieter and fuel-efficient engines with minimal impact to the engine package for ease of installation into OEM’s machines.
LOW-MAINTENANCE STUMP GRINDER
8 www.banditchippers.com
Bandit Industries has introduced the new Model 2550XP self-propelled stump grinder, available with up to 44 horsepower. Featuring beltless hydrostatic directdrive and available with up to 44 horsepower, the Model 2550XP sets all-new standards for stump grinder production, reliability, chip containment, and low maintenance. Compared to similar stump grinders with traditional belt drive, the Model 2550XP typically has a significantly lower cost-ofownership through reduced maintenance needs and less downtime. The reduced maintenance comes from the high-power hydrostatic motor used to directly power the cutter wheel with virtually no parasitic power loss. This eliminates the need for a clutch, jackshaft, drive belt, belt-tensioning system, and the many sheaves and bearings associated with those components. This also allows the engine to be mounted lower and at the rear of the machine for better balance.
FORESTRY-READY LOADER
8 www.terex.com
Terex has introduced the first in its new line of Tier 4interim compliant compact construction equipment with the PT-110G and PT-110G Forestry compact track loaders. Featuring electronic, four-cylinder, turbo-powered Perkins Tier 4i diesel engines, the new Terex PT-110G compact track loaders boast 332 footpounds of peak torque at 1,400 rpm, 45 gallons per minute of hydraulic flow and a two-speed transmission that allows travel speeds up to 10 miles per hour, helping
these production loaders achieve peak performance. Providing the power and productivity to get the job done, the 110-horsepower PT-110G loader has an operating weight of 11,100 pounds, a tipping load of 7,600 pounds with a 3,800pound operating capacity at 50 per cent tipping load capacity and a lift height of 125 inches.
LARGE PAYLOAD DUMPER
8 www.easternfarmmachinery.com
Eastern Farm Machinery has introduced the Messersi TCH-R16 FED electric self-loading dumper. This
environmentally friendly dumper is ideal for limited access to indoor or underground work requiring a zero-emission environment. It has a classleading 1,000-kilogram payload capacity, a rollingrocker patented track design, a fast-recharge environmentally friendly lithium-ion phosphate batteries, 32-inch width and a 2.3-cubic-foot loading shovel that makes it ideal for limited access interior demolition work.
LEVEL GRINDING POSSIBLE
8 www.edcoinc.com
EDCO has created a new generation of its popular concrete floor grinder. The new grinder replaces the traditional wooden wedge system of installing grinder accessories with a faster, customer-friendly slide-on system. Using only new
holding cases, the profitable Dyma-Serts and PCDymaSerts accessories slide onto the new grinders. No tools are required. New grinding and resurfacing accessories are also available. These new two-disc grinders are available with gas and electric power options. EDCO has also invented an exclusive levelling system that allows users to adjust the grinder’s height, use a wide range of accessories and truly grind from an upright, level position. Level grinding is quicker, smoother, easier on the operator, and increases accessory life.
Primed for productivity and protected from back to front, M-Series loaders from Bobcat handle difficult jobs and stand up to tough renters. For starters, the rear bumper protects the tailgate from obstacles on the jobsite. Recessed rear lighting minimizes damage to tail lights. Protected quick couplers, mounted directly into the front plate of the lift arm, have no exposed hoses to damage. A guard that extends beyond the couplers offers even more protection. The removable hose guide makes it simple to correctly route hydraulic hoses, minimizing attachment wear and tear. Plus, easy-to-find and easy-to-use machine tie-downs make trailering quick and easy. You’d expect nothing less from such an easy-to-rent machine. Find out more at Bobcat.com/value2 we covered
