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Buying a Shuttle Bus
By: Jason Odom Buying a church vehicle? Follow these guidelines to ensure your bus, motor coach or recreational bus conversion purchase goes well, providing you years of success. Whether buying from a school district, municipal government, or used bus dealer, you have a number of issues to consider. First you have to decide which type bus you want, and then you decide budget and begin research on the individual units in consideration. Just because a bus is being sold at an auction doesn't mean it's a worn out piece of junk. Usually due to insurance reasons, they have been maintained quite well. Many agencies have to sell due to decreased enrollment in a project or funding changes. Sometimes it's simply their policy - no buses over 5 years old or over 200,000 miles, etc. Trying to save a few bucks on the foundation is unwise. If you need to skimp, do so on the cosmetics later. The church kids aren't going to care if they sit on vinyl or leather, but schedule a big event and have a breakdown due to faulty brakes, and they'll never forget it. So, you have access to an auction list or an inventory of used buses, or an individual bus in mind. Ask for service records, original paperwork and recent repair receipts. Everything in the paper trail will help you determine value and avoid potential problems. It will also reward you with some eye-opening information. Oh, you mean you didn't know an engine swap could cost $3,000? Surprised that a brake job with rotors and new lines was $1,400? Or that at tire mounted and balanced might cost $400? Receipts and paperwork are very valuable. Carefully look through the paperwork and avoid the purchase of buses with no paper trail at all. Look for weird situations. Finding a receipt for an AC charge might be good, if it’s recent. Come across receipts for an AC charge done three times in the last year, and you have a problem. Of the receipts don't have the bus VIN on them, how do you know the receipts are for the bus you are looking at? Here is a rule of thumb when buying a bus for one tenth the original price. Budget for parts and labor on any mechanical part for which you don't have a good history, receipt trail, or ability to inspect. In other words, if you can't verify its condition, then don't buy the bus unless you can afford to replace it, part by part. That means: AC, brakes, hydraulic lines, engine compression, transmission condition, steering and front end parts, electrical system from the wiring harness to the gauges, alternator and fuse panels, tires, body, and glass, air compressor buildup and recovery times, and many other items your mechanic can advise you about. It is possible to buy a used school bus for $5,000 that originally sold for over $70,000 or a nearly indestructible stainless steel passenger coach for 10% of the original price. With such a great bargain to begin with, you really shouldn't purchase anything but the best foundation you can afford. You may later choose to spend $10,000 to $30,000 or hundreds of hours of your time on converting or customizing the bus or establishing yourself as a dependable tour operator. Do you really want to build on a shell that has a bad frame? Do you really want to invest so much in a bus that has a bad engine or transmission that you must constantly fight with? Rust Service Records Leaks Transmissions Seven Commandments I - Thou shalt NEVER buy a bus that has rust on critical areas of frame or supporting body This cannot be permanently fixed without a huge expense. II - Thou shalt NOT buy a particular bus for which you have not determined your source for repair and replacement parts. If you can't find a supplier in a month, then you probably will never find that part. Many are surprised when they see attractive $30,000+ buses sitting idle and don't realize it is normally due to replacement parts problems. III - Thou shalt NOT purchase a project bus, one in need of substantial conversions or repairs, without a clear, accurate cost estimate, deadlines and plan for completion. "Great bus buying deals" can quickly become embarrassing "projects that never get done.” IV - Thou shalt NOT purchase a bus until you have identified exactly what problems you are trying to solve or what needs you are trying to meet with the vehicle. The needs of a church for an inexpensive shuttle bus vary greatly from those of a wealthy musician traveling 90,000 miles a year. You may have many choices in the market but only one will be your best solution. The path to happiness starts with identifying exactly what you need...not which pretty bus the salesman can get you financed for the quickest. V - Thou shalt NOT buy a bus without a complete professional inspection of major parts, engine, transmission, frame, electrical and air conditioning. Warranties, service records and history of vehicles use can be very valuable in helping determine value. VI - Thou shalt NOT purchase a bus without an absolutely verifiable title with year of original production in place. For instance, it is legal in many states to "re-title" an older bus, say a 1980 model. First the dealer will make repairs and renovations up to DOT standards. Then they can legally re-title it. There is nothing wrong with this as long as it is disclosed and the price reflects the value. VII - Thou shalt NOT purchase a bus for church transportation without having a complete business plan in place, including insurance costs (which are routinely underestimated), license fees, maintenance costs, repair estimates and breakdown contingency plans. Financing is typically the single most important issue to handle correctly after customer retention. |
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