good business plan?

I came across this site today, first time poster. I was looking for some opinions on some business ideas.History about myself- drove otr and local for 4 years with a perfect service record then joined the army as a truck driver. I have over 600k miles and also did 6 months as a lease operator until they broke contract. My army contract is up in 2016 and have in my opinion a good set of business plans. They are complete down to a 10 year plan for the business. I plan on trying to get a va small business loan for $72,000 which would cover all start up costs and running and living costs for 3 months. What sets my business apart from the rest is that I plan on renting trucks on a daily, weekly, and monthly basis. That way if theres no loads or one of my drivers wants to take a week of home time theres no truck payments hanging over my head. I plan on running locally while I hire drivers to run otr. Id start off with buying 3 trailers and renting a daycab for me and a sleeper for my hired otr driver.why rent? Because you can run up to date new equipment vs buying something old thats gunna have issues, you virtually have no truck maintenance and repair costs, and no pending truck payment. Its also cheaper than a truck payment on a month to month basis. Obviously you dont get to keep or customize the trucks tho as if you were buying them, but the saved money would go towards paying off the loan, expanding company, and saving to buy a new truck outright. My cpm currently averages $2.00/mile. Thats with a great driver salary, all overhead, paid medical benefits, and company profit. I plan on doing all the book work and load booking and hiring atbs for my taxes. We plan on getting loads off of online load boards and establishing a good broker base. Please give me your opinion on whether or not you think this would be a good plan. Thank you in advance!

 

Yes, $3,698/mo daycab averaging 9,000 miles month and $4,220/month for a sleeper averaging 10,000 miles. No truck maintenance, repair, or tire fund needed. Would this be worth it? My credit currently isnt the greatest and I fear that id only be able to buy non road worthy trucks.

 

Thanks for the heads up on the headache. My question would be why wouldnt I be able to haul freight for less than $2.53 mile if my cpm is $2? The way I figured my cpm had fixed rates including loan health insurance, accounting, all insurances licenses, phone fax internet and rental; and variable costs to include fuel def reefer trailer maintenance and tire fund washouts scales all taxes and company profit; and also includes driver salary. Fixed= .471/cpm, variable=.897, driver pay (high end) .625 = $1.993 total cost per mile based on 8,000 miles average a month (bad month) per truck. What are current average freight rates these days? I recently saw dedicated contracts for own authority for $3.00/mile with back haul. This $1 extra a mile would all go towards profit?

 

Good call! Thank you! I dont know how I did it but I got all my rental rates mixed up... and thats exactly why I posted on here because it sounded to good to be true... new numbers to come soon. Out of curiosity what is an average cpm and what is a good cpm to strive for? Obviously every business is different and unique in its own way.