Lease companies, "NOT Lease purchase"

Discussion in 'Ask An Owner Operator' started by Craymarris, Mar 21, 2021.

  1. Craymarris

    Craymarris Light Load Member

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    I managed to save enough to afford buying a truck out right, repair it, and operate it for 2 months without further income. I've looked into getting my own authority, but after crunching the numbers, it doesn't make sense for just 1 truck, and startup insurance is insane.

    Are straight lease companies just as bad as these L/p's
     
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  3. slow.rider

    slow.rider Road Train Member

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    Nah you can do OK on percentage pay. A few bigs and tons of smaller outfits out there. Look into USA Truck, Schneider, Mercer, Landstar and JB Hunt for starters, then work your way down into smaller outfits until you find one that fits.
     
  4. noworrez

    noworrez Light Load Member

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    All depends on ones situation. I too bought a truck for cash, fixed everything that was needing done and when I ran the numbers, it was better to go O/O with my own authority than paying someone a % of gross. Even paying a company to handle all my compliance and IFTA which I will take over later, and having a dispatch company. A lot of Luck is also involved as their are so many things that can go wrong in this business. The key that tips the scales is Insurance. Mine was around 10k for the year. 58, clean driving record, live in NW. I know a lot are double that number and if that were the case for me, I most likely would be leased on with someone.
    I think there are a lot of good lease companies out there and can be found with research, don't believe everything your are told as they also have recruiters, get everything in writing and make sure you know what you are signing when that time comes. You might check out Silver Trucking LLC smaller company that I have heard good things about. For sure Landstar, Mercer and Schneider as @slow.rider mentioned. Good luck.
     
  5. Craymarris

    Craymarris Light Load Member

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    Thank You, I'm renting a truck and trailer right now for $185 a week, and paying the carrier 25% off the top. it was good at first with dedicated runs but they have since lost those and the fuel prices almost makes me want to be a company driver again......... almost, I'm loving the freedom even as a lease op.

    I crunched the numbers where i'm at and with the freight rates not keeping up with the fuel cost I won't be able to keep this up much longer, the repairs on their truck is starting to eat me up.

    Would you please tell me what I need to do to get my own authority and about what it cost up front, I know the insurance needs to be paid up front, I'm paying 10,500 right now, but it will go up when i go out on my own.
     
    Last edited: Mar 21, 2021
    Reason for edit: new ideas
  6. slow.rider

    slow.rider Road Train Member

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    What fuel card are you using?
     
  7. Hayfieldmn

    Hayfieldmn Light Load Member

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    I got my own authority in November last year and my insurance about 14k a year, that's with 500k in cargo insurance as I do lot of oversize stuff, but I only had to give them 3k up front. It's alot of paperwork to start, and a waiting game but so far I love it. Some brokers want 90 days old. I got a few direct customers so I do ok right now. It's a pay cut at 1st but takes time to build up reputation and learn the dispatch side. Best of luck.
     
    slow.rider Thanks this.
  8. Judge

    Judge Road Train Member

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    I did pretty good with Landstar, even using their trailer,
    Had thought of buying one, but then you’d lose out on a ton of drop and hook loads.
    So after a while I just got my own numbers and bought a trailer and do my own thing, but insurance is 15K year. :(
     
  9. slow.rider

    slow.rider Road Train Member

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    I would start with company van and then see how many drop and hooks you do per month. But the big advantage in getting one's own dryvan might be in being able to add stuff that the company vans don't have. Ramp, liftgate, side door, belly box with pads and a pallet jack, &c. Then at least the nice paying d&h loads are replaced with other nice paying loads that would otherwise be unavailable, but now you're getting the extra percent across the board too.
     
  10. Brettj3876

    Brettj3876 Road Train Member

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    Find a smaller company to lease on to that pays percentage. Lots of good smaller companies like that will treat you good. Don't settle for mileage pay
     
    slow.rider Thanks this.
  11. Craymarris

    Craymarris Light Load Member

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    Fleet one
     
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