Construction Equipment Dealership

Sell and lease construction equipment to contractors and builders

Startup Cost
$500,000-$3,000,000
Difficulty
Advanced
Time to Profit
24-48 months
Profit Potential
$83,000-$833,000/month

Overview

Construction equipment dealers generate $1,000,000-$10,000,000 annually with 15-30% margins.

In 2025, construction and infrastructure drive equipment demand.

Revenue from equipment sales ($20,000-$500,000+ per unit), equipment leasing and rentals, financing commissions (3-5%), parts and attachments sales (40-60% margins), and service contracts.

Services include excavators, loaders, and backhoes sales, skid steers and compact equipment, financing and lease programs, trade-ins and used equipment, parts sales and inventory, and warranty service coordination.

Successful dealers represent quality brands (Caterpillar, John Deere, Komatsu), offer financing options, provide parts and service support, maintain used equipment inventory, and serve contractor relationships.

Contractors and construction companies as clients.

Marketing through construction trade shows, contractor associations, direct sales team, equipment auctions, and manufacturer co-op programs.

Required Skills

  • Heavy Equipment Knowledge
  • Sales & Negotiation
  • Equipment Financing
  • Construction Industry
  • Inventory Management
  • Relationship Building

Pros and Cons

Pros

  • High-value equipment sales
  • Ongoing parts and service revenue
  • Financing commissions lucrative
  • Construction market strong
  • Manufacturer support and co-op marketing

Cons

  • Very high startup and inventory costs
  • Long sales cycles on major equipment
  • Economic sensitivity affects demand
  • Manufacturer territory restrictions
  • Need large facility and yard space

How to Get Started

  1. Secure equipment manufacturer dealership agreement
  2. Invest in facility, showroom, and yard space
  3. Build equipment inventory and financing partnerships
  4. Hire sales team and service technicians
  5. Market to contractors and construction companies
  6. Sell, lease, and finance construction equipment
  7. Provide parts and service support

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