Lets talk numbers, profits, and losses.

Almost... The slower you drive, the less money you spend on fuel.

 

Which equals more money made. A dollar saved is a dollar earned.

 

Seems to me that much of the discussion so far on this thread is assuming that the L/P agreement is with a company that has a FIXED payment per mile. With an arrangement like that in order to increase revenue you have to increase your miles, there's no other way around it.

Typically with fixed mileage pay rates that I've seen for companies that offer L/P the revenue per mile is barely enough to keep your nose above water, barely ahead of a highly compensated company driver. That's where we see L/P drivers "running their tails off" in order to get above the magical 3000 miles per week. Meanwhile those additional miles are accelerating their fuel and maintenance costs.

If I were to jump into a L/P program I'd rather go with a company that pays by percentage of load AND that has high load values. Then it would be possible to get ahead of the game, to actually pay yourself a salary AND bank a profit. After all, isn't the point to have a BUSINESS rather than buying a job?

Speaking from my older brother's recent experience getting back into trucking over the course of the last three years, he bought a used truck out of auction, but then leased on with a company that paid a fixed $1.35 per mile without fuel surcharge. He STRUGGLED to keep the truck running, having to borrow money from the company whenever a major repair came along (no maintenance account), and when it came time for the CARB deal to go down in California he opted to bail out and drove his bobtail to OKC to try and lease on with another company. After three weeks sitting in the truck stop he finally got on with an outfit servicing the oilfields, paying by percentage of load. Now in a typical week he runs about 2100 miles, but generates an average of almost $9000 in revenue. Suddenly he has a BUSINESS and is starting to think about what to do with that growing bank account, like purchasing a second truck to hire someone. Oh yeah, then you have a GROWING business.

Run smarter, not harder.

That's a good mantra to consider.

 

I am an LP on a fixed rate. I have no problem covering all the expenses, quarterly taxes, personal payroll, and still average $350/week profit to the truck.

 

Im a lease operator . I avg 1200 wk take home on 2300 miles . Every lease is different i currently make 1.46mi fsc included. I avg 7mpg in the winter ,in the summer i avg 8.5 .

You can run hard point to point if you want doesnt really seem productive if the reciever isnt open or if its appoint only load . Take your time plan your trips