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- The math doesn’t make sense anymore
Hello home service operators,
For a lot of operators, the biggest drag on the balance sheet isn’t payroll or marketing.
It’s sitting in the parking lot.
Yep, I’m talking about that fleet of vehicles.
There’s a lot I need to tell you, so keep reading…
Rising energy costs and climate policy are accelerating a shift toward electrification across the HVAC industry
Could you benefit from an omni-channel hybrid call center? I’m guessing the answer is yes. Get started here.
Come join me on February 24th for an exclusive shop tour at Wilson HQ (RSVP here)
Your Marketing Plan Must Produce
If you want a marketing plan you can execute every week, not just talk about, Booked Solid is for you.
Service Scalers is hosting a 2-day marketing workshop at my HQ in Akron, OH (March 3–5, 2026). Sam Preston, founder of Service Scalers, is covering paid, organic, traditional, KPIs, lead handling, and building your 90-day execution plan.
Only 30 seats available. Use code BOOKEDEARLYBIRD to save $500.
You won’t leave with general ideas. You’ll leave with a marketing engine you can actually run.
Your Fleet Is a Capital Allocation Decision
Most operators treat trucks like an ops decision.
They’re not.
They’re a capital allocation decision that compounds across your entire business.
If you’re running $50,000–$60,000 high-roof vans by default, you should be asking yourself a difficult question:
Is this vehicle increasing revenue enough to justify its cost?
If the answer isn’t clear, it’s probably no.
The Real Cost of “Nice” Trucks
A $60K van vs. a $27K pickup is not a small difference.
It impacts:
Monthly payments
Interest expense
Fuel costs
Insurance
Depreciation
Inventory shrinkage
Balance sheet leverage
At scale, that delta becomes six figures fast.
And here’s the kicker: most technicians can produce the same revenue in a cheaper vehicle.
If revenue stays flat but capital required drops in half, your return on invested capital just exploded.
Constraint Forces Discipline
Big vans create a hidden problem: excess inventory.
When there’s space, it gets filled.
That leads to:
Obsolete parts from 8 years ago
Multiple duplicate SKUs
Lost refrigerant
“Just in case” stock
Shrinkage no one tracks
Smaller trucks force you to:
Standardize truck stock
Build tight seasonal lists
Centralize parts
Turn inventory faster
Constraint improves operations.
“But What About Installs?”
This is the usual objection.
The solution isn’t bigger trucks.
It’s separating the chassis from the payload.
Consider this model:
Smaller, fuel-efficient daily trucks
Dedicated enclosed install trailers
Swap trailers per job type
Centralized equipment staging
A trailer is essentially a reusable box truck without the expensive engine attached.
It lasts decades.
The truck does not.
Run the Math
Before buying your next vehicle, answer these questions:
What is the fully loaded monthly cost?
How much incremental revenue does it create?
Could a cheaper vehicle produce the same output?
What is the opportunity cost of tying up that capital?
What else could that money fund? Marketing? Hiring? Equipment? Acquisitions?
If two $27K trucks can generate more revenue than one $60K van, the decision is obvious.
Action Steps
If you want to tighten this up immediately:
Audit your full fleet cost per vehicle
Compare fuel and financing across models
Set a maximum purchase price policy
Standardize truck stock by season
Pilot one install trailer before committing fleet-wide
Don’t default to what everyone else is driving. Default to what makes financial sense.
Your fleet is either accelerating your business or dragging it down.
Make sure it’s doing the former.
Trade-Trained. Ready Day One.
Growth hides a lot of problems. Revenue climbs, the team expands, and yet cash flow still feels unpredictable.
CFO Made Easy helps home service businesses doing $4–12M turn messy financials into clear forecasts, stronger margins, and decisions you can actually stand behind.
You work directly with Tyler Martin, a former operator who scaled and sold a $25M service business. That’s the experience you need on your side.
Those trucks look good in the lot. Do they look good on your balance sheet?
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👊 John
Disclosure: Some of the content and links in this newsletter are sponsored or affiliate links, which means we may receive payment or earn a commission if you click through or purchase. However, all opinions expressed are entirely my own.
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