Many contractors in the pavement maintenance industry start small. Sealcoating, cracksealing, striping, pothole repair, etc.
As they grow, so does their customer base and subsequent demand from them as many customers get comfortable using one contractor for all services. It's a natural progression then for pavement maintenance contractors to consider offering paving as a service.
"When a contractor's schedule gets too full or they can’t rely on their subs to meet their commitments to their customers, then it's time to make a change," Tom Travers, director of technical sales at Astec Industries says. "This way contractors can control their own fate instead of the downtime that might be associated with waiting on a subcontractor."
However, paving is unlike any other service your company may have offered before and there are many things to consider before purchasing a paver and bringing this service in house.
The Projects
Once you think you have enough work to bring this service in house, you want to be sure you can keep it busy before you invest in a paver.
"A chef wouldn’t buy a new oven until he is sure he has enough cake orders to keep it busy, right? Same goes with an asphalt contractor," Brian Hall, territory manager at LeeBoy says. "What is that magic number? That’s hard to say, but good accounting sense dictates that you can meet your overhead from month one before making a large capital purchase."
You also want to consider the type of work you will be doing in order to determine the type and size of machine you need. Buying a machine that will accommodate only small jobs will work well and cost less, but bigger, higher-paying jobs would be out of the question. Conversely, buy more machine than you would ever use, and you will be paying for it, and its requisite larger support equipment, for years to come.
"Everyone is different so education is the key here," Hall says. "The question that must be answered is what type of job (i.e. driveways, subdivisions, county roads, commercial parking lots etc.) will you be doing 80% of the time. The key is not only looking at your scope of work today, but where you will be 3 years from now. To have a paver that you have outgrown before the note matures proves to be a liability that is hard to overcome but bringing a 20,000 lb. paver to do patch work is like building a birdhouse with a sledge hammer. Too large or small machine can be a frustrating encounter so take many aspects into consideration before buying."
And like stated above, size does matter.
"A larger machine allows contractors to complete larger jobs more efficiently but it also limits the contractor to a minimum job specification," Polk adds. "If cart paths, sidewalks, and utility trench filling are examples of expected work, a 4’ to 8’ paver will likely be the best option. If the contractor anticipates larger paving applications like parking lots, city streets and some driveways, then an 8-ft paver will improve paving efficiency. This size offers a larger hopper, more powerful engine for pushing trucks, standard paving widths from 8-16 feet and a maximum 12-inch paving depth. Quick-connect extensions allows for paving up to 20 feet wide."
The Paver
When it comes to choosing a paver, there are MANY options to consider but gravity-fed vs. conveyor fed and tracked vs. wheeled are the two main decisions.
Those who plan to do driveways exclusively will probably start with a less costly tilt-hopper paver. Those either paving or planning to pave larger jobs will want a conveyor model.
These days, most contractors will opt for a convery-fed paver. Conveyor-fed machines offer a higher-quality job in part because they don't have to stop to have the hopper refilled as gravity-fed machines are forced to do, and they are usually equipped with heavier screed assemblies that offer a better finished product. When making a purchase decisions, contractors need to consider both production and quality issues.
"Conveyor pavers are the norm today and require less labor for material through put," Travers says. "Small pavers are almost exclusively track machines currently and push trucks more efficiently."
However consider the type of work before determining what to buy. On a job where a contractor needs to get in, get out, and perform a quality job, a nice rubber-tire, gravity paver could out perform a conveyor paver, especially where space and obstacles are factors. Obstacles like concrete pads, islands, curbs, overhanging trees and power lines, irregular shapes all restrict the ability to line up the truck and the paver.
"The type of work expected is the key factor," Henry Polk, product manager, pavers and mills at BOMAG says. "Track pavers typically perform better in new construction sites with softer bases or areas with steep inclines. Rubber tire pavers can provide maneuverability in tighter spaces."
The next considerations on the machine will focus on the daily operations of the machine.
"We’ve come a long way in the past 20 years," Hall says. "Almost all commercial pavers these days carry an electric screed, which is much more efficient than propane. The next generation of electrically heated screeds is automatic temperature control, which ensures your screed stays at a constant temperature. The most important feature on commercial pavers is automatic feed conveyors and augers. The key to a proper end result is a constant head of material. Taking the manual feed out of the hands of the operator frees him to concentrate on other tasks. Sloping extensions and heated endgates are two options that many contractors find that they can’t live without."
Beyond the basics of the paver, lies a broad range of options contractors should also consider when purchasing. The technology and automation you choose to purchase, or to not purchase, will play a huge role in your production capabilities. A grade and slope system is one of the first keys to increasing production.
"The initial purchase price of a grade and slope system can seem like a lot," Travers says. "But when used properly they drive a return from smother pavements and more consistent yields realizing higher profits."
An easy to learn and understand control system will also play a huge role in your crew's ability to be up and running quickly.
"We recommend trying to keep the paver platform and operator controls basic and easy to work with," Polk says. "A contractor may be comfortable operating with touch screen or soft pad controls, while others are best suited for controls that operate on a single switch / single function concept."
When it comes to making any purchasing decision, always consider the total cost of ownership before saying any feature is too costly or necessary.
"Contractors should always consider cost per ton rather than acquisition cost," Hall says. "Many options pay for themselves very quickly if used properly."
The People
Any business owner knows that their people are truly their most important asset and the crew you have on hand to run your paver needs to be experienced and you should plan to hire outside employees to help onboard your team.
"Employees are the most important asset today and hiring an experienced foreman or lead is the best way to help new employees learn our trade," Travers says.
Hall with LeeBoy agrees.
"The first person hired should be your trusted veteran in the business," he says. "They might be the paver operator, screed man or boots on the ground. This “right-hand” is your trusted employee that is on the job each day making sure the job runs smoothly."
And don't forget about hiring support workers to accomodate this work as well. On a commercial job, you will have 2-3 workers on the machine itself, 1-2 roller operators, depending on the scope of work, at least 3 shovel/rake men as well as you worker who is your “boots in the dirt that coordinates trucks, collects load ticket and makes sure all safety protocols are followed.
"The obvious are the workers on the jobsite every day, but what is overlooked is the support staff," Hall adds. "The most important job on the crew is the one person who is the “spokesman" who talks to the owner of the property whether its an HOA, residence, engineer or site supervisor. That way there is no miscommunication.
"You also need the staff to handle the red tape that always pops up in the office, including walk in traffic Then who takes care of billing? How about a sales staff to make sure new jobs are lined up? Start with the basic tools and you’ll quickly find out what you need or don’t need."
Finally, but equally important, you want to make sure you're working with a trusted partner when purchasing a machine, one that will be with you long after the check is signed.
"Support from day one is the key, even before the sale," Hall says. "The educated contractor must rely on an educated dealer of factory representative to put him in the right machine. The contractor must have confidence in his local dealer and factory support. Who will be on the other end of the line late on a Friday afternoon when there is an issue with the machine and hundreds of tons of asphalt in the trucks?"
Polk with BOMAG agrees that the partnership is of utmost importance from day one.
"Be sure to reach an agreement with the dealer that a qualified paving representative will be on site to train the crew in operation and maintenance," he says. "Aftersales support from the dealer is huge. Get an idea of how well the service staff is trained and ask about parts availability for your paver."
Also be sure your partner will be there without you even having to ask.
"Contractors should always expect a thorough training on the machine from the dealer and/or manufacturer before it is put to work, but also beyond that," Hall says. "Discussions of operation, maintenance and safety is paramount to a smooth startup but you should also expect regular visits and re-training whenever deemed necessary. It’s much more than a supplier/customer relationship, it’s a partnership."
