I Want to Start an LLC and Buy a New Truck, but...

Discussion in 'Ask An Owner Operator' started by MrAffinito, Aug 20, 2018.

  1. MrAffinito

    MrAffinito Bobtail Member

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    Hi Everyone!

    I really have enjoyed the information I have read here, but I wanted to present my own situation and openly accept any advice or information you may offer.

    I'm not a trucker (and I've never even been inside of a rig). I am always amazed by the trucking industry, however. And, since I have a little money saved up, I would like to invest in creating an LLC company and buying a (new) truck.

    My goal would be to get an CDL, but not to drive the trucks myself (actually I'm terrified of those big trucks). So, I'd like to hire a team (2 persons - husband/wife or 2 friends etc.) to keep the truck on the road as much as possible . Is this still a viable option? Are the risks too great ?
     
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  3. Justrucking2

    Justrucking2 Road Train Member

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    If you want to make a million dollars in Trucking, start with Two Million. I see this as a waste of both time and money. You would be better off day trading or buying a restaurant. Just my opinion, and we all know what folks say about those.

    Your ROI would be minimal compared to the time and investment. And you having zero knowledge of the industry simply puts you further behind the 8 ball. Not a good or wise investment, to many variables and many things that can, and do go wrong.
     
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  4. TallJoe

    TallJoe Road Train Member

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    I sometimes think about doing very similar. The only difference is that I would like to try to be a fisherman, get me a boat and sail on a sea far away from these nasty trucks. I have not found Fisher Report Forum to ask what my chances are yet.
     
    D.Tibbitt, not4hire, roshea and 8 others Thank this.
  5. TruckRunner

    TruckRunner Heavy Load Member

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    Truckers are the worst people to deal with.
     
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  6. REO6205

    REO6205 Road Train Member

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    Take the money and invest it in the stock market. You'll get a better return with less aggravation and risk.
     
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  7. MrAffinito

    MrAffinito Bobtail Member

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    Aug 20, 2018
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    Wow, this seems so wild because all I see is opportunity for money. I had downloaded a Load Board App and it looked a very different picture of the economic benefits of getting into trucking business.



    Money.PNG

    NY to KY.PNG

    KY to OR.PNG

    OR to AZ.PNG

    AZ to FL.PNG

    GA to NY.PNG


    This is just for 1 week of work..... it looks deliciously attractive! So, I think you guys are right. There's so much I don't know that this $15,800 would be gone in no time!
     
  8. jammer910Z

    jammer910Z Road Train Member

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    The only person thst will operate that business to fully take advantage of making every opportunity the most financially lucrative would be YOU.

    If you are really lucky you could find a great team that took care of your equipment and maximized every single penny for you.. no idling, driving slowly, watching tire pessures... (so many more things I won't bother to list).. you'd have to pay them so well it, in itself, would eat into your profit.
    You have to be behind that wheel, paying yourself a salary, and watching it like a baby.
    Those operations... with a smart businessman AND a savvy trucker.. can be extremely profitable.
    Since you have no experience in the business you are very likely to lose your investment.

    Tread carefully.
     
    Justrucking2 Thanks this.
  9. MrAffinito

    MrAffinito Bobtail Member

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    Yes, someone told me this before. I've heard it's mostly because a lot of truckers don't really understand the business side of things, as the skillset for that side is not required for being a good driver!
    Stock Market ??? Run!!!!!! It's doing good these days, but you never know when something will happen. TESLA stocks tumbled out of nowhere just a few days ago! Tech stocks are going to hell soon because of this whole privacy conversation. Defense spending will slow down significantly when Trump gets out of office in 2020 (it's inevitable...I'm republican but there has not been even a single day of peace since he's entered the Oval).

    Typical investment return: 8-10% is generous. I'm sad to hear that investing in the trucking industry would represent even lower annual returns.
     
  10. jammer910Z

    jammer910Z Road Train Member

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    Those rates are just what you receive when finished.
    Lots of times those brokers are on a net 60/90, so you might not get paid for 2-3 months.
    You have to pay for fuel out of that.
    Those were around $2/mile.. fuel is $3/gal ÷ 7mpg give or take. 40c/mile.
    Gotta pay the driver... minimum 40c mile. I won't touch it for that. Maybe 50-55
    I average .70+ with all included now.
    Tires, insurance, taxes, permits, TRUCK PAYMENT, all of that adds up to a cents per mile that is not cheap.

    Have we got to the profit part yet ???
     
    Tb0n3, Justrucking2 and bryan21384 Thank this.
  11. MrAffinito

    MrAffinito Bobtail Member

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    Virginia
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    @jammer910Z - Thank you for responding. I just have a O/O question for you. When did you first drive a big rig? Did you have any trepidation and were you afraid that, for example, you might hurt someone if a car in front of you stops short or you may have to swerve to avoid some hazard? And, if so, how did you overcome those fears? I have a great job and I'm off around 3months per year. I think it would be great if I could hop in a truck and just drive while I'm off - just to see how things go. I'll get my CDLs.
     
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