Rental Customers: Distributors and Rental Stores
Rental customers are always looking for ways to keep their rental rates low. They need reliable products that perform efficiently. Today, distributors and rental stores struggle with the new higher priced compressors to keep utilization high enough to pay for the compressor and also maintain a reasonable ROI. Rental stores face challenges when trying to find a balance between the higher rental rates demanded by Tier 4 Final and lower utilization due to rental cost to the customer.
Challenges and Solutions
The main challenge for rental stores that are considering the purchase of Tier 4 Final compressors, is the added cost of the new Tier 4 Final diesel engine compressors while still maintaining competitive rental rates.
On the other side of the counter, customers are exploring their options. One of which is smaller single tool compressors (90 CFM). The majority of compressor rentals only go out with one air tool, so standard 185 CFM compressors have more CFM than is actually needed in many cases.
This opens the door for new single tool compressors, like the Sullivan-Palatek D90PKU, to find a spot in the marketplace. The D90PKU is priced lower and allows rental stores to maintain higher ROI. As the rental rate is only slightly lower than the more expensive 185. The smaller diesel engines cost less because they only need a Diesel Oxidation Catalyst (DOC) to meet the Tier 4 Final requirements. These new small Tier 4 Final compressors are attractively priced and they don’t have the diesel particulate filter (DPF) systems with regeneration cycles that require the diesel engine fluid (DEF) allowing the customer to avoid these potential technology issues. Another advantage to the renter is the lower fuel costs, as the 90 burns considerably less fuel than the 185. Lastly, the small footprint that accompanies a 90 CFM compressor. The smaller 90 CFM unit takes up far less space in a crowded rental yard or jobsite than its 185 CFM counterpart.
Posted Date: 7/6/2017
There is still time to save, Sullivan-Palatek has Tier 3 Machines (from 750 to 1800cfm, 100-150 to 500psi) still in stock
Michigan City, IN., May, 2016 – Sullivan-Palatek, Inc. announces that Tier 3 machines, up from 750 to 1800 cfm, are still available with options for all models. Included in the Tier 3 model inventory is the newly redesigned D1300-D1800 range of portable air compressors.
The always popular Sullivan-Palatek D750-D900 portable series is highly versatile and the best choice for your construction, blasting, drilling, and mining projects. Offered with a Cummins engine, these models are 750 cfm at 150 psi, 825 cfm at 70-125 psi, and also 900 cfm at 150 psi. The D750-D900 models are engineered with large 204 mm twin screw air ends for high efficiency, and carry a 3-year unlimited hour air end warranty. The Galvanneal sheet metal exterior provides extra protection from rust and scratching while working in the toughest environments.
Also available are dual pressure/dual capacity Extra High Pressure machines (900 cfm at 500 psi, and 1150 cfm at 350 psi). Recently released with a newly redesigned enclosure, the 900/500 or 1150/350, will look much like the D1300-D1800 series. Now built with a full containment base and dual axle running gear, the machines are easier than ever to maintain and move.
Sullivan-Palatek’s largest portable compressor is the D1300-D1800 portable series. This newly redesigned range is bigger and better than ever, producing 1300 at 150, 1600 at 150 and 1800 at 100 psi. The full line is built with dual axle running gear, a full containment base, a four-point lifting bale, and large service doors for ease of maintenance. For better data gathering, the Sullivan-Palatek Electronic Controller (SPEC) provides digital readouts on everything from fuel level, service and engine needs.
For more information on Tier 3 offerings, call (219) 874-2497
Construction Equipment Guide Feature Story
Posted Date: 6/1/2016
Posted Date: 9/14/2015
March 2015 - By Sarah Peterson
The event was organized with a couple of goals in mind. “As one of the organizers, I was hoping that the attendees would be able to network with other people in the rental business through the bus tour. It is nice to find out what other rental store owners’ issues are and how they deal with these problems,” says Nancy Stacy, branch manager, Midwest Rentals, Lafayette, Ind. “Even though we are from different areas of the state, we all have similar issues. It is nice to talk to somebody in the business about how they deal with these issues, as well as what is renting and what isn’t renting in different areas.”
Another goal of the event was to bring people together from different segments of the industry. “We have businesses that are construction only or party only and this really allowed us to go to multiple facilities, so that it was welcoming to everyone. AAY’s Rent-All was mostly party, while Interstate Rentals was a construction and general tool store,” says Derek Johnson, corporate officer, Grand Rental Station, Greenwood, Ind.
The first stop was at the Sullivan-Palatek factory in Michigan City, where the group was served a continental breakfast and heard from the vice president of sales about the company and its top products. Following the presentation, they went on a tour of the factory and were able to see how the company assembles its air compressor products.
Once finished at Sullivan-Palatek, the group rode about an hour to the next stop in Mishawaka. Along the way, hosts led icebreaker conversations to help the group get to know each other. At AAY’s Rent-All, participants had box lunches and a tour of the warehouse. “They have a huge warehouse that really awed everyone who was there. We got to see their systems for tent washing, hanging and drying tents, storage for tables and chairs and linen washing and pressing. It was nice to see some of the ideas they were putting into use from a storage standpoint,” Johnson says.
The final stop was Interstate Rentals in La Porte, where the group explored the warehouse before participating in a tabletop show with about 18 vendors. “The tabletop was at the last stop of the day, so no one felt rushed to get out. We could enjoy drinks and hors d’oeuvres while taking our time to walk around and talk with each vendor and get to know their products,” Johnson says.
After spending more than two hours talking with vendors, the group headed back to Blue Chip Casino for dinner. The dinner allowed participants to stay and continue conversations that started on the tour. Attendees found that being on the bus rather than driving individually allowed the opportunity for productive conversations.
“There was so much that we learned,” says Stacy. “From storing party equipment and cleaning tents to techniques for sharpening teeth on stump grinders, we learned a lot from the tours. We also had some very interesting conversations about equipment and what got some of us into the business.”
“The highlight of events like these is always the camaraderie and the opportunity to get together with people who are doing the same things we are doing,” Johnson says.
“The opportunity to visit other stores was incredible because I always learn something from another facility that they do differently. It’s also a chance to talk with people who have some of the same issues I do and learn how they solved the problem. Lots of ideas come out about how to deal with situations and improve processes,” Johnson says.
An official publication of the American Rental Association. Produced by Rental Management Group. Copyright © 2015 Rental Management Magazine all rights reserved
Posted Date: 3/23/2015
MICHIGAN CITY — U.S. Rep. Pete Visclosky, D-Ind., visited Michigan City on Thursday, invited by air compressor company Sullivan-Palatek for a tour of its local facility.
After requesting the assistance of the congressman on an environmental issue, Sullivan-Palatek owner Bruce McFee invited him for the visit. The hope was for Visclosky to learn more about the industry so he is more informed when voting on related legislation.
During the tour, McFee and Visclosky discussed the “I Make America” initiative, of which Sullivan-Palatek is a proud supporter. This initiative aims to protect American manufacturing jobs — keeping these jobs available to local employees as opposed to outsourcing overseas.
Visclosky said he appreciates the manufacturing companies and employees of La Porte County and all over the United States.
“What people often oversee in Washington, D.C. is the knowledge that goes into manufacturing,” he said, listing for example the design department and others that are always looking for ways to improve the industry.
“I'm proud of what's being done at this plant and others in northwest Indiana,” he said.
Visclosky spent nearly an hour touring the building on U.S. Highway 20, meeting employees and witnessing first-hand the production of air compressors. Among the tour sites were the warehouse floor, purchasing and engineering departments and a training facility used to teach and inform customers.
As an accounting major during his years at Indiana University, Visclosky was particularly excited to visit the company's accounting department.
Sullivan-Palatek was honored to host Visclosky, allowing him to watch the operations take place on the warehouse floor, chatting with employees and learning about the process as he went along.
The company, which began as Palatek with nine employees in Michigan City more than 20 years ago, has grown to employ 140 locally with an additional 120 in related business throughout Indiana and Michigan, according to McFee.
“This is the air compressor capital,” he said of Michigan City. “A lot of people's jobs depend on this business.”
More information regarding the “I Make America” initiative is available by visiting www.imakeamerica.com. Information regarding Sullivan-Palatek is available at www.palatek.com.
By JESSICA O'BRIEN Staff WriterThe News DispatchMichigan City, IN
Posted Date: 7/3/2014