🏁 ROT #9: Why I don't use cash

TL;DR: In junk removal or dumpster rental, your truck is a money-making tool, not a trophy. Paying cash drains capital and locks you into a depreciating asset. Financing keeps you liquid so you can survive slow seasons, handle emergencies, and seize opportunities. Low-interest debt, paired with the truck’s ROI, beats sinking your own money into it. Plus, financing offers tax perks and lets inflation work in your favor. Skip ego buys—get a practical truck, work it hard, and let it pay for itself. Smart debt fuels growth; cash-only thinking keeps you small.

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What's up, haulers?

It's time to talk about money and trucks.

If you're running a junk removal or dumpster rental business, you're making a living off trash. But are you making the smart moves with your money, or just flexing that it's paid off?

Let's break down the difference between financing your truck and buying it with cash – and why it matters.

Asset or Liability?

Before anything else, ask yourself: Is this truck going to cost me money or make me money? Most of the time, a vehicle is a liability – it doesn't generate cash flow, depreciates over time, and needs constant upkeep.

Dumping a pile of cash into a liability turns your money into dead capital. That shiny new pickup loses value the second you drive it off the lot.

Lucky for you, that truck isn't just a ride – we're putting that motherfucker to work hauling junk and making cash.

Stay Cash-Heavy to Stay Alive

One big reason I preach financing over cash is simple: cash is king. Why drop $50,000 on a truck when you can spread that over 4 or 5 years?

If you shell out $50k today, that's cash gone while the truck’s value keeps dropping.

Staying cash-heavy means you've got room to maneuver:

• Survive Slow Times: Extra cash helps you ride out slow seasons or surprise expenses.

• Handle Emergencies: If crap hits the fan, you can fix it without begging for a loan.

• Seize Opportunities: When a killer deal or new job pops up, you've got the money to jump on it.

Cash = options.

Sink all your money into one truck and you lose flexibility. Financing keeps your capital free.

Good Debt, Good Business

Some of you say, "I hate payments. I hate debt."

I get it. I do too.

But why use your own $50k when the bank will lend at 5%? If that truck brings in a 30% return, you're coming out ahead.

Buying a truck cash isn't some badge of honor.

A vehicle is a terrible savings account. You can't easily get that money back out in a pinch.

Finance it, and you still have cash for emergencies or marketing your business to make even more cash.

True entrepreneurs leverage debt – they borrow at low interest, put the truck to work, and get a high return.

Inflation and Tax Hacks

Here's a secret I learned, inflation can help when you're in good debt. Future dollars are worth less than today's. So why pay it all now instead of over time with cheaper dollars?

Plus, the tax code offers perks for financing (think Section 179). It lets you write off most of the truck's cost in year one. Those monthly payments? The interest is a deductible business expenses.

If you pay cash, you miss out on some of these tax breaks – don't be that sucker.

No Ego, Just Profit

Debt only works in your favor if you use it right. Don't finance a pimped-out F-250 loaded with luxury crap when a base model does the same job – no ego purchases.

That truck is a tool, not a trophy.

Customers don't care about your heated seats; they only care that you get the job done.

The goal is to make money, not look rich – be rich off trash, don't just act rich.

Work that truck for four years and let it pay for itself. Then resell it and do it again, or keep it as a paid-off cash cow without ever choking your cash flow.

Bottom Line

If you do it right, financing can propel your business. Being allergic to debt might feel safe, but it keeps you broke and small. The guys scaling up aren’t the ones bragging about being debt-free – they’re leveraging loans, staying liquid, and making moves.

Sure, paying cash might give your ego a boost, but draining your bank for a truck that drops in value is a fool’s move.

Use debt as a weapon: keep your cash working and let the truck pay for itself.

Nobody gets rich hoarding cash or dodging debt. You build real wealth by playing it smart.

Borrow smart, grind hard, and turn that trash into cash.

Let's get it 🏁🏁🏁