This is no different than many businesses. I knew a guy with a welding business. Said he almost went broke trying to own all his shop equipment. Now he just rents it and if it gets slow he starts paring back on equipment.
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Originally posted by jazz View PostTake a good look at those combines. If those have 50 hrs on them I will eat my hat. Looks like they never even saw a header.
So farmers are supposedly managing this business down to the penny, rent, fertilizer, chem marketing etc and then go and eat a couple hundred K in depreciation every few yrs.
In front of my local dealership are new 12 claas combines. Its a JD dealership. In all my years of dealing with them, I have never known them to sell anything but JD. Somehow they talked someone into siome X9s and took their other stuff on flip.
This is probably about market share with the stealerships. Eat some lease losses to get more of your color our there and use these farm influencers for free marketing. Except some guys are turning colors every couple years. Claas and Fendt are the biggest patsies on the prairies.
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