Thanatos340 1 #26 June 29, 2005 QuoteLet's see, $1400 for the container, $1200 for the cypress, $1200 for the main, $800 for the reserve, that's $4600, full retail, I'd say. At $30 a jump, you've paid for the rig in only 154 jumps A few things you forgot about there... Reserve Repacks, Cypress Batteries and Maintenance and general upkeep on the Rig. A better way to figure out the costs would be Depreciation + Cost of Ownership (Repacks, Maintenance & Repairs) + Overhead + Profit Margin. There are alot of other costs to be considered over the Purchase price for the rig. That said... My original Home DZ only charges $10 per Jump for gear Rental for Students who went through AFF or SL there but it is older gear (Javelin Adjustable MLW container, F-111 mains, Rip Cord Deployment and SOS reserve system). There is absolutely nothing wrong with that gear, but I would rather $20 or $25 per jump for something a little more modern. Quote Share this post Link to post Share on other sites
RfukfreeflyingW 0 #27 June 29, 2005 Quote A better way to figure out the costs would be Depreciation + Cost of Ownership (Repacks, Maintenance & Repairs) + Overhead + Profit Margin. There are alot of other costs to be considered over the Purchase price for the rig. if that was the only way the DZ was making money I would agree, but there are other avenues. plus once the gear is payed off, is there a huge drop (or any) in gear rental prices? not likely... after its paid off whats the cost? maybe $200 a year? they make that in a day.. The price seems to be set up to make a profit while still paying off the price of the rig, and just never gets ajusted once it is.---- -God, you are the perfect amount of dumb... Quote Share this post Link to post Share on other sites
Thanatos340 1 #28 June 29, 2005 QuoteDZ was making money I would agree, but there are other avenues Oh??... What are they?? I am sure a Alot of DZO`s would love to hear about them. Seriously... They invest $4,000 to $5,000 in a new Rig. It is going to cost them a minimum of $160 per year for repacks and close to another $85 per year to maintain the cypress. A what point should they expect a return on their investment? The expectation of a reasonable profit is the reason businesses exist. Now for the person that is being charged $40 per JUmp and $85 a day for gear rental.. Thye need to take their business elsewhere. Those prices are not in line with the rest of the market and not reasonable. Quote Share this post Link to post Share on other sites
RfukfreeflyingW 0 #29 June 29, 2005 Ok, so you say you'll pay $25 a jump, right? That means it takes 200 jumps to pay off the price of the rig at $5000. Now I'm going to be VERY nice here and let say the dz buys NEW gear every 1000 jumps made on it, that's 800 jumps at $25 a jump or $20,000 take out a couple hunder or a thousand for rigging, that $19,000 or so made on the rig in a thousand jumps... Sounds like a great investment for something that's not even at the end of its life...---- -God, you are the perfect amount of dumb... Quote Share this post Link to post Share on other sites
JohnMitchell 16 #30 June 29, 2005 Quote A few things you forgot about there... Reserve Repacks, Cypress Batteries and Maintenance and general upkeep on the Rig. A better way to figure out the costs would be Depreciation + Cost of Ownership (Repacks, Maintenance & Repairs) + Overhead + Profit Margin. There are alot of other costs to be considered over the Purchase price for the rig. Cypress maintenance, $80 a year, average. Reserve repacks, $240 a year (in an expensive market). So that extra $320 will take 11 jumps a year to pay for. Depreciate the rig to zero and you still can have a hell of a return on investment. Now I have no problem with DZO's making money. If they aren't, I soon won't have a DZ to jump at. Some have to squeeze every nickel they can to stay afloat. Look at all those tandem rig owners that don't put away a dime from their rigs for maintenance or replacement. I find that scary. Those guys should get day jobs. But do I think $30+ is a fair price for gear rental? No. I think it pencils out that you can turn a profit at a lower rate than that, especially if you shop carefully for your rental gear. I ran my numbers using list prices. A sharp DZO can find gear for less than that. Maybe they're just trying to encourage everyone to buy their own gear. Quote Share this post Link to post Share on other sites
skybytch 273 #31 June 29, 2005 QuoteMaybe they're just trying to encourage everyone to buy their own gear. Good point. A business could make more money in the long run off someone who rents and never buys (profit margins on new gear are very, very slim). If they have only a few student/rental rigs it would make sense for them to encourage newbies to get their own gear, thus keeping the few rental rigs available for the next new guy off student status. Quote Share this post Link to post Share on other sites
GravityGirl 0 #32 June 29, 2005 QuoteI'm going there!!! He's in Russia. And the gear may differ from what you are used to. ~~~~~~~~~~~~~~~~~ Peace and Blue Skies! Bonnie ==>Gravity Gear! Quote Share this post Link to post Share on other sites
airtwardo 7 #33 June 29, 2005 Compare the cost of renting a used rig for a day vs renting a car, the value of the car vs the value of the rig.The profit margin must make it worthwhile *** Hey Slug~ Putting it in those terms really makes ya think... Little parking lot concession stand..."HURTS" rent a rig! ~ If you choke a Smurf, what color does it turn? ~ Quote Share this post Link to post Share on other sites
slug 1 #34 June 29, 2005 QuoteCompare the cost of renting a used rig for a day vs renting a car, the value of the car vs the value of the rig.The profit margin must make it worthwhile *** Hey Slug~ Putting it in those terms really makes ya think... Little parking lot concession stand..."HURTS" rent a rig! Hi airtwardo Good oneDo you mind if I use it for my gear rental web sight. I see a franchise oppurtunity. Maybe some local jumpers would list with us to rent out their spare rigs R.I.P. Quote Share this post Link to post Share on other sites
SpeedyGonzales 0 #35 June 29, 2005 QuoteQuotemy DZ its $50 per YEAR for gear rental. do u think they wanna ship a rig out for the YEAR? You probably wouldn't want our gear anyways. We've got 7 Navigator 260's and 1 Sabre 230 and 1 PD 230. They're big freaking canopies. On the other hand I've been renting since I started jumping and have now paid $75 in gear rental. I can't imagine how I would have stayed in the sport if I had to pay gear rental per jump/day. Quote Share this post Link to post Share on other sites
mdrejhon 8 #36 June 29, 2005 Skydive Gananoque: CDN$20 per jump or CDN$65 per day (3 free packs) plus CDN$5 per pack. That's about USD$16 per jump or USD$50 per day (3 free packs) plus USD$4 per additional pack. Quote Share this post Link to post Share on other sites
firstime 0 #37 June 30, 2005 You've got an A licence. Go jump somewhere gear rental isn't so expensive.*** Good point, but here on Long Island one would have to go to xkeys or the Ranch and thats $40 in tolls and gas. WTF??? It's tough when $ gets in the way of your passion. Quote Share this post Link to post Share on other sites
parapilot 0 #38 June 30, 2005 i would imagine the DZ would want their students to buy new kit of them once qualified, so wont make renting cheap and worthwhile. If they make gear rental at cost, they will do themselves out of sales! Also they may be taking on some degree of liability with rented equipment, if it mal's etc J Quote Share this post Link to post Share on other sites
