Leasing a truck from a rental company

well one thing to keep in mind is these rental company's are in the business of making money just like everyone else. so that truck rental will cost you more in the long run. might cost you less on months that you loose a clutch or drop a injector but the fact is there making a long term profit off renting you that truck so that is one more hand in the pie.

 

renting creates 0 equity

 

Rental companies typically do not rent to truck drivers. Their customer base consists of shippers who need to ship their own product. In other words trucking is not how they make money. They make money by selling their own product and shipping it to their customers. You will not turn a profit with the rental truck if all you're doing is getting freight from brokers. Rentals are very very expensive.

 

I have had to rent trucks on a few occasions. It is expensive, but can help in a bind. But, I also have an established corporation. I don't know if they rent to individuals. If you have a strong credit history they may rent you a truck. I believe they may require a significant deposit from individuals. Renting longer term can reduce the rate. I paid a daily rate plus mileage. It has been several years since I last rented a truck, but I believe it cost about $800 for the week for everything. That is a very expensive monthly payment. I would not want to pay that much out on a truck that I would never own. It would be next to impossible for a single truck operator to make money paying that much for a truck. Ryder or one of the other major truck rental companies will take care of the maintenance, but you pay a hefty price. It will cost much less to lease from a leasing company or just buy a truck outright rather than dealing with one of the rental companies. You could easily pay cash for a good used truck in less than a year of these payments.

If you want to lease a truck, you would be better off to find a leasing company that specializes in class 8 equipment. There are several around. You give them a down payment and own the truck at the end of the lease. Monthly payments will be much lower than renting from a company such as Ryder.

Dealing with maintenance issues is just a part of owning a truck. If you don't want to deal with the maintenance, perhaps you would be happier as a company driver. It will be difficult to be profitable renting a truck.

 

so i wanted to finance/lease a truck. im all dandy and then I get a quote for the insurance... $9000 for 6 months all upfront (Progressive). Im a company driver. I just started my LLC to drive under my own authority. Ryder allows to take their insurance (hence no need for $9000 downpayment). So if I can get away driving twice as much as average company driver these days, by my calculations I can still make decent money renting a truck. But no way I have 11k downpayment to pickup a lease and insurance with one lumpsum. Anyone try to rent a truck using company they started weeks ago with no financial activity yet in the company?

 

Have fun making everyone else money. In a pinch, as in your motor goes down under a load, for a few days or week at the most it's an expensive stopgap that will keep your good customer from grumbling.

 

Most want you to have an account with them or a $5000-$6000 deposit and range from $500 a week (Advanage Truck) to $800 a week (Ryder) these are prices I got from them when I checked into when my truck was in the shop about a month ago and these prices was for rental and mileage

 

When you are a large company looking at projects that may not be around in 3-years it makes sense to go into a lease that can be on shorter term. It is not designed for solo O/O's or companies that will have longer term projects.

 

I have 22 leased trucks and own another 10 eventually I will most likely go all leasing within the next year. I have the trucks leased thru Salem, Worldwide Equipment and Ideal lease. I will tell you it is not cheap, in my experience Ryder and Penske are the most expensive in the industry. We pay between $1900 and $2300 per month and between $.06 and $.07 per mile. These are all in leases meaning that tires, maintence, rentals (for when they are in the shop) tags, taxes are all covered. I really do not think that it is worth while for an O/O with a single truck but it does work for what we have going on.