The Perfect Lease Purchase Contract!

Sign me up!## That is as long as you don't treat me like a retard and don't think I'm responsible enough to run the speed limit in all 48 states.

 

My L/P is pretty good. TEL leasing. The carriers credit not mine (although mine is 750). 600/week new volvo 780. 600/month for insurance and permits so..... 750/ week fixed costs plus .06 tires/oil/maintenance 500m warranty. On 3000 mi/week looks like this
Revenue at 1.50/mile= 4500.00
Minus fixed costs -750.00
Minus maintenance -180.00
Minus fuel/def @7mpg-1100.00
NET to truck 2470.00
Now figure 35% for self employment taxes and income taxes
NET LAY IT ON THE TABLE FOR MOMMA:$1,605

Try to give her 800 and keep the rest in reserve
NEEDED TRICK: drive 3000/week/52 weeks. Only tough guys need apply. I ran my own construction business for 35 years so I have a pretty good handle on figuring costs.

Why in my case a L/P? WALK AWAY!!!!! I don't want my widow to be stuck with an unpaid for truck after the big heart attack. Make sense?

 

I got something 625$. Week truck payment
No forced maint*
Lease company is separate from actual company the freight is with
The company I run freight with is 1.19 all miles no matter what're 180$ for short hauls anything under 50 miles, you pick homtime aberage length of haul 1800 miles some trips even 2700 miles fuel on a 5800 miles week cost me 600$ after company discounts I made 4800$ on 5800 mile week, actual take home after fuel an expense, this is a team truck bear in mind. But still it's a 2017 kentworth t680 MPg7.6-8.2
No loads over 30k pounds, 85% drop an hook detention pay after 1 HR 30$ HR no maximum of driver assist with unloading 50$ an HR, of driver unloads on his own 150$ $ HR.
Have a 20,000 mile a month anything over 20,000 miles pays .10 cpm into my balloon payment at the end payment is 2500$ a month, just started 1 month ago, an have 3 months worth of payments already paid .

 

- no trailer fee fixed cost for running under the carrier is 233$ a week.

 

That's my bob tail, physical damage etc...

 

Sheepdog,
I have been in trucking for about five years, active for three out of the last five. I had to come off the road and am now getting back to it.

I looked at many lease programs and what I found was that most were just that, a lease or aka, rent the truck and bail us out of our costs to operate.

I found what I was looking for with Western Express. The lease is a lease to own program. The trucks are 2016 Freightliner Cascadia or Volvos. In the Flatbed division, its the Cascadias. The payments are $980.00 a week and this is all inclusive. It includes everything except fuel, tires and a few other things that a driver in that capacity should expect to pay. It also includes plates and permits, etc.

Freight rates are either $1.05, $1.85 or $3.00 a mile. I can live with either of these. For me, this program works, many will knock it but I don't base my life off what others say, since most I will never know or cross paths with.

 

What company are you driving for????

 

Let’s look at a carriers perspective who offers lease purchase options.

1. They pay the same fixed cost you will as a LP.

2. They pay the same fuel

3. They pay the same lease or payments if it’s a company truck.

4. They pay for the same maintenance.

5. They pay for the trailers/maintenance etc.

How does a carrier survive????

A LOT more trucks to do it with.

We all know freight moves at different rates; ie: east cost/west cost and vice versa but imagine if you had 10 trucks not 1. Strength in numbers. Say you have 3 trucks moving not so great paying freight and 7 that hit a grand slam, you have constant revenue coming in. Pay them .40 cpm and you still make enough as a carrier to show growth. Anyone who has done LP knows you have good weeks and bad weeks, there is virtually no consistency in the freight market, even if you own the truck which is WAY better than having that added expense your still going to have off weeks.

My first thought about LP is whether or not they let you lease multiple trucks. If they do, then you can progress forward with your own drivers and LLC and run under their authority. Also the freight, how consistent is it? What is their ratio of LTL. LTL will typically save money and still pay decent.