Case Studies

Scott Equipment

New and used equipment, sales, service and rentals in Southern California

Scott Equipment has been in business since 1972 when Richard Scott Sr. opened his first heavy- equipment dealership in San Diego. Over the years, the business has grown and adapted to changes in the regional construction industry. The dealership has adopted new brands and developed a strong niche in the heavy construction and earthmoving segment of the equipment market, seeking along the way to cater to the changing needs of contractors.

Not long after establishing the dealership, Richard Sr. also opened an equipment rental operation, Western Rentals. His sons, Richard Scott Jr. (Richard) and Gregg Scott now run the family business.

“My brother and I have been operating the business since the early ’90s,” says the younger Richard. “We grew up in the business and are proud to be carrying on as the second generation. We have a great team of employees who have made it possible to take care of our customer base all these years.”

The company has a staff of 62 employees, including sales professionals and service technicians, among others. Between Scott Equipment and sister company, Western Rentals, the team has been able to offer a full-service approach to the equipment needs of contractors throughout California, offering sales, parts, service, and rentals to all applications in the industry.

Scott EquipmentSales and service

The company’s niche is in the underground market. Scott Equipment is known for having a variety of excavators, wheel loaders, skid steer loaders, water trucks, back hoes, articulated dump trucks, rollers and asphalt equipment. The business serves contractors in the utility, new home building and government construction markets among others. The dealership represents recognized and trusted brands such as Doosan, Kobelco, New Holland and Atlas Copco.

The business operates primarily as a full-line service dealership, offering sales of new and used equipment as well as parts and service. While contractors can trust Scott Equipment for high quality new and used machinery, the Scott Equipment team continues to hold onto relationships throughout the life span of a piece of equipment. Scott Equipment’s technicians are factory-certified by represented manufacturers and partake in continued training to ensure best practices and growing knowledge of the technical intricacies of the equipment they service.

Helping contractors grow

Scott Equipment’s customers face a number of challenges in the California market. While the construction industry is on the mend throughout the country, margins are still not where they were ten years ago. The private sector is still in recovery and contractors face new expenses with changing regulations. “The tiered emissions issue has been a big concern for our customers,” Richard explains. “Having Tier-4 Final inventory for sale and rent has been big. We know that these machines are what our customers are looking for so we have committed to carrying this equipment in both sales and rentals.”

Approximately 75 percent of Western Rentals’ inventory meets Tier-4 Final standards for low emissions. This has been a significant component of the division’s growth and Richard reports that the rental business has had mounting success over recent years. Many state jobs and school jobs require this equipment, driving contractors that work in the public sector to either purchase or rent more Tier-4 Final equipment.

“Public work has absolutely contributed to that growth for us,” Richard explains. “Throughout the rest of the country, when new low-emission machines are sold, contractors do not have to get rid of old equipment. Here, people have had to get rid of Tier-1 and Tier-2 machines. These regulations force the hands of business owners to rent or purchase new machines at great expense. Rentals allow more affordability without the maintenance and insurance costs required by purchasing new or used machines.”

Getting into the environmentally-friendly equipment market has been a big investment for Scott Equipment, though Richard reports that it has been well worth it. The company has a growing market share in California and many machines end up throughout the Southwest, owned by larger contractors working out of state. Scott Equipment is building on a generations-strong reputation and word is spreading about the company’s strong line of products and services.

Richard takes great pride in the business and is excited to grow alongside his team. “We have a really great staff,” he notes. “We have employees who have worked with us for decades. Many of them have children who work for us too.”

Backed by a loyal team and strong relationships with manufacturers, the business is set to keep growing steadily over the coming years. Throughout this expansion, Scott Equipment will continue to put customers first, with the construction equipment and maintenance services that contractors need to stay ahead.

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Spring 2018



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