Do Not LEASE from Knight!

As I indicated earlier, it pays to read the contract before signing. I can understand the advantages to the o/o of a lease/contract such as this. However, if they are paying a percentage amount, then each load would pay different amounts.

I have to wonder how many of theses lease operators have even contacted their company and asked to review the original contracted amounts paid by shippers/brokers for each load hauled? This is an absolute necessity when it comes to operating your business.

Really sounds to me as if this company is giving the lease operator the short end of the stick.

 

While your statement may well be true, so also is the following statement:

"If, before you go into a lease or a purchase, you're already looking for the door out, you have already begun to fail."

 

what part of "it some rare instances" did u not understand?

 

The lease states a base rate of .90 for loads over 551 miles, 1.00 for loads between 276 to 550, and 1.20 for 0 to 275. These are the guaranteed rates in the contract. Depending on the rates Knight is getting, Knight may pay more per mile. It's not done on a per load basis, it's adjusted quarterly based on average revenue per mile. Last I saw they where paying .023 over the base rate.

I don't see how this is short changing the driver. They could just be like any other per mile carrier and say you signed a contract to haul for X per mile, so we'll keep the rest even if rates get better.

 

$0.023 per mile? Are you serious? Two cents per mile average would barely cover what you should set aside for tires in a long haul scenario. It will not cover tire wear in a short haul scenario.

The long and the short of it is this: Every trucking company has a "deal" out there. IF you're absolutely hell bent to lease the truck "from" the same company that your going to lease the truck "to", the your only task is to find the one that meets all your other needs. At the end of the day, pretty much all companies that offer this aren't much different in what they offer. I personally don't think it's a wise decision to operate in this manner, but that's just me.

A wiser choice would be to find the company that meets the most of what "you" want, find the minimum requirements for a truck they take on, work out your deal, "then" go to some place like Select Trucks and get a good deal on a used truck. Used trucks are too cheap and too plentiful right now to even think about saddling yourself with a 550 a week truck payment. But, what do I know? I'm just an experienced O/O who's out here making it in this current crappy trucking market.

Good luck to you.

 

I've never said this is a good deal or bad, that depends on each persons external needs and what they expect to get out of it. However, I still can't see why anyone would regard the extra pay over the CONTRACTED rate as anything other then a plus, even if only a small one. You scoff at $.023 (oops! this originally read like you got 2 10ths of a penny) more per mile in an industry where the difference between succeeding and failing is often made by saving a penny here and gaining a penny there per mile. Over the course of a year(120,000 miles) that measly .023 per mile adds up to $2,760.

Again it's up to the individual as to weather a deal is right for them or not, but you sir, pulled 550 a week for a truck payment out of the air. Knight's most expensive lease option is $0 down/399 a week for 3 years on an '06 Volvo 670, miles in the 300k's with a warranty. I met a 0/0 with a Blue '05 Volvo(must have been a Roads West truck) that had a payment under 300 a week.

All of Knight's trucks are available for sale to the public and have there asking prices posted on Knight's website. They really don't seem to care if you lease thru them(they check credit and work history just like an outside lender) or thru a third party lender.

Yes, I've obviously looked into the option of leasing from them, how else would I know the numbers this well. The descision for me was, no, I'll stick to my nice little dedicated run w/ my garranteed 3k per week miles and consistant home time.

 

I thought knight was advertising there new pay on the sat radio for O/O talking about a .03 pm raise and cheap fuel and all the normal crap.

 

With that said "what do you have to lose"?