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Which machine?


rovers90
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Hello everybody,

 

I am in the process of establishing a new firewood business and am researching processors. Front runners at the moment would appear to be the Hakki Pilke 1x37; the BGU KSA370Z and the Palax KS35. I would be grateful for any comments from owners/users of such machines to assist with my decision and if anybody within 100 miles of Newcastle Upon Tyne has one and would be prepared for me to visit and see the machine working that would be great.

 

Also is worth volunteering to register for VAT?

 

Any other useful tips would be appreciated too.

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i have a 1x37, been a great machine over the past 7 years ive owned it...all the maintenance ive had to do has been replace the belts here and there and the odd sheared bolt.

 

id definately go vat registered, makes no sense not to....you'll be running round a fair bit delivering, why pay extra on fuel when you dont have to? on top of that theres of course the amount that you'll claim back when you purchase the machine which will be a grand or so. then of course theres the 17.5% you'll be paying on top of all the cordwood you buy in(assuming you'll be buying it in) which will be a real killer. vat on firewood is only 5% to the customer and ive never had anyone complain about that yet.

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my accountant told me to only register for VAT if going to turn over 50k + swmbo is vat registered, at present i am not...

 

dont forget if you are vat registered you'll have to start charging vat too...i think..

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if you claim it you charge it ady, the vat thing isnt as scary as folk think, we pay vat on nearly everything so why not claim it back, and customers know this, if you are working for companies then it doesnt matter, some will grumble but they are sourcing a good guy not a cheap guy. If you are buying kit it makes sense, and with the price of fuel its wise to get every penny back if you can. You can claim back 3 years on vat assets ady so you have plenty of time, i went vat reg after 2 or 3 years and i got back 8k straight away and then i got loads back when i bought my mog and chipper.

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It's a no-brainer in my opinion, especially in the firewood business, get yourself VAT registered.

 

You can claim back 17.5% on your purchases, but only have to add 5% on to your sales. And as mentioned above, the public are used to paying VAT on everything.

 

A bit different for the guys selling services, then they have to charge 17.5%, but again, you will still be better off VAT registered.

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