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Author Topic: What is typical in a timber sales contract?  (Read 1162 times)

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Offline WV Sawmiller

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Re: What is typical in a timber sales contract?
« Reply #40 on: January 05, 2018, 01:23:23 PM »
Southside,

   I understand the expense of transporting big, heavy equipment multiple time so maybe as part of the sample/trail cut you also include an option for more work upon satisfactory completion of the sample. That way both parties get to see/show what the contractor can do and if as promised and expected he gets the next phase and does not need to double transport equipment.
Howard Green
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Dad always said "You can shear a sheep a bunch of times but you can only skin him once"

Offline Southside logger

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Re: What is typical in a timber sales contract?
« Reply #41 on: January 05, 2018, 01:40:03 PM »
Southside logger, You are correct that some foresters have their favorite loggers they go to most of the time. I am sure it is because they are loggers they can trust to do the best job for the land owner for honest money.
Selling timber is a financial transaction, not unlike investing your 401K money, you best be well educated in the entire picture if you are going to come out on the up end of it. 
So what you are saying is that a land owner must be well educated in growing, harvesting and selling timber if he expects to make a profit. I don't think so. There have been many land owners, who know nothing about trees, who have made a lot of money selling timber with the assistance of an honest well educated forester.

Bill,

That's not what I said. Would you take your entire retirement and invest it into a single company based on one infomercial? Probably not, nor would you go to school for a PHD in investment banking. A wise individual would reasonably educate themselves in what they wanted to accomplish and make sure it was the same goal as the entity they have hired to achieve said goal. You can be good , lucky, a little of both or a whole lot of none.
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Offline Southside logger

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  • Posts: 1270
  • Age: 45
  • Location: Wilsons (Dinwiddie County), VA
  • Gender: Male
  • Logging so I can afford to farm.
Re: What is typical in a timber sales contract?
« Reply #42 on: January 05, 2018, 01:58:44 PM »
Southside,

   I understand the expense of transporting big, heavy equipment multiple time so maybe as part of the sample/trail cut you also include an option for more work upon satisfactory completion of the sample. That way both parties get to see/show what the contractor can do and if as promised and expected he gets the next phase and does not need to double transport equipment.

WV

What you are saying is logical, but most guys margins are so tight that they aren't willing to gamble on a lot they "might" cut when they can be on a lot they are cutting. Now if a guy has no work then maybe it's a different story, however that begs the question as to why he has no work.
'92 Franklin 170 grapple skidder
'92 Franklin 5000 wheeled buncher
Wicked Awesome Basset Hound * 2
JD 490D with 4 roller FabTek processer / hydraulic hose breaker
Hot wife
Wood Mizer LT35HDG25, Re-saw attachment
Official Member of the BBFC

 


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