Is it Viable to start a trucking business

Discussion in 'Experienced Truckers' Advice' started by aahuja2, Aug 17, 2014.

  1. aahuja2

    aahuja2 Bobtail Member

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    Aug 17, 2014
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    Hi,
    I have been in the tanker logistics business in Asia for 20 years. I am thinking about starting a trucking company here, but I do not know of the regulations and rates provided here. I would be buying two trucks and tankers fully paid, but will not be driving them myself. I find that the reefer business is very tricky in Asia due to the immense heat, is it the same here, I was also looking into pneumatic trailers. How would you go about trying to become an independent company. I know the profit margins depend from company to company, but do the companies that require transportation have public contract bids here, or do we have to know someone in the company to have an in?. Also what is the average cpm of insurance and toll tax, maintenance etc. given that the trucks are around 2012 models and the drivers have about 5 years experience under their belt. I would believe that the maintenance would be lower than in Asia because the roads here are much better.

    So Basically, How would you go about starting your trucking business if you cannot drive a truck here, and would it be viable to do so?
     
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  3. Pahrump

    Pahrump Medium Load Member

    Suggest that you hire a consultant .
    Yes there is money to be made but after all expenses and labor cost the profit margin is very small. A lot of capital expense to start and your business plan must be long term
     
  4. GenericUserName

    GenericUserName Road Train Member

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    May 17, 2014
    Santa Monica, CA
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    I dont know my boss owns 5 trucks and wears a tuxedo daily for some reason and literally has like 7 cars. I saw him in a fairly new jaguar, a brand new hummer, his wife in a 67 mustang mint condition. And thats just what i have seen my co-driver saw the two in different cars.
     
  5. Pahrump

    Pahrump Medium Load Member

    Sounds like you boss is making great money but is he paying his drivers much,,Usually flashy owners are taking too much money and either spending future maintenance funds or paying poor wages,,Good wages are 42cnts/mile or more plus benefits and good equipment,,
    A company down the road has 9 trucks all junker and eye sores and he does not pay great drivers look like they are homeless and the owner lives in a big house and drives new SUVs and Corvettes,,
     
  6. GenericUserName

    GenericUserName Road Train Member

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    Santa Monica, CA
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    I think you're scared of competition and its pathetic.
     
  7. Lucar

    Lucar Road Train Member

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    Look up Ooida website, I dont know anything about tankers/auyo transport but everything else.
    Good luck
     
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  8. Pahrump

    Pahrump Medium Load Member

    never be afraid of good honest competition,,I have never been,,service does count an there are good shippers that the lowest price is not their first choice,
    I have always told customers if you want the cheapest price call someone else because I am expensive,
     
  9. Chinatown

    Chinatown Road Train Member

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    Good advice, study the OOIDA website.
     
  10. STexan

    STexan Road Train Member

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    Longview, TX
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    Where to start ... First, don't make assumptions about drivers with 5 years experience is going to "save you money". And don't assume it's cheap to keep a truck running on US highways. The various state/federal governments are going to beat you up in terms of regulations, taxes, etc, more then the roads.

    Being able to buy your equipment cash up front helps a lot in terms of being able to make it through the first 12 months without large bank notes but don't forget you have to replace and expand that fleet as time goes on so what may seem like a good profit in the beginning is quickly gone years later when costly maintenance kicks in and you realize new trucks have increased in price 20-25% in 5 years to meet new EPA minimum standards
     
    Last edited: Aug 18, 2014
  11. Pahrump

    Pahrump Medium Load Member

    good advise s Texan,, most times a drivers attitude is more important that experience, sorry rookies but I never hired driver with less than 5 years experience and never anyone that had any speeding tickets or accidents in the pas 3 years,,and never anyone that had a DUI,,being a small carrier could not take the risk
     
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