Hot Shot write offs

You need a tax man to help with those questions, but if it is your business, usually all the dollar expenses you pay, like reimbursing him for fuel and insurance, are deductible. If your gross is x and you have to pay a percentage to your friend, that is also an expense, like a fee you have to pay, and comes off too for which there ought to be a receipt of some kind. You really have to ask a tax accountant about these kinds of things. I have a business and my taxes are done for $100 each year. I make a spreadsheet from my receipts, credit card statement, and checking statements, based on how much money came in, and where it all went. He decides how each amount is deductible, what category, even like a new keyboard for the PC or a box of pens, or meals, and won't deduct it if it is not appropriate. He finds every possible deduction. Can't go wrong with a pro. Stay out of IRS trouble too.

 

You do need a CPA or enrolled agent to handle your taxes and you need a contract because what you will be doing is running as an I/C under his authority .
Shippers will have to pay him as the carrier.
You will not be paying him a percentage. He will be paying you the percentage specified in the contract .

 

Loads should be $2 or $3 a mile but many are less than that.
I see a lot of stepdeck trailers . You can haul taller loads and more vehicles than you could with a flatbed.

 

He is going to be running a 1T pick-up, so he's basically stuck with a flatbed type trailer I think.

 

This is what I meant http://www.simpletrade.com.au/uploaded_files/document_uploads/main_photo_frame.gif

 

Def needs a CPA...they find some great stuff for u!

 

That depends on what type of freight you will be hauling. When you say "Hot Shot", in the trucking industry that refers to oil field equipment hauling since that is where the term is derived from.

What type of freight will you be hauling? If it's oil field then the standard trailer for a one ton is a 40' flat bed gooseneck (no dove tail). If you will be hauling other types of freight then the type of trailer you will need is dictated by the customer base you will service.

Absolutely get in touch with a CPA that deals with the trucking industry. Our CPA has dealt with small trucking companies for a few decades now, he is worth his weight in gold.