So you want to "own " your own company

I started with little money and no knowledge of trucking. I thought "Hell I'm a college Grad. I can figure all this out" well from my point of view you need more that lots of cash you need huge piles of it and then some gold bars stashed somewhere in Jamaica. This industry is full of companies that do nothing but prey on drivers and business owners. I have owned more that one business in my day and this industry is like no other. After hauling cars for the 1 1/2 years now I will give the Frac. sand hauling a try. To all of you just starting out like me GOOD LUCK. At its best the industry is not for the weak. Many of these compaines know full well the mindset and type of person entering this field. They are indeed just waiting to sign you up to steal your dream,money, and drive you straight into the ground. I have seen it at so many truck stops....the broken,hopeless look!! Just like the poor saps at any big casino. Sad, scared, broke, wondering what the next move is. Want a real look at trucking just visit a big truck stop and watch them roll in. It's a horrible truth!!! I hate to see it. Poor, uneducated people who want to get out and see the US...and they do but many,many,many return the same way left. Now, however, they have one more job they can say "I remember when...." Just be careful guys/gals and most of all GOOD LUCK

 

This is one of the most factual and needed posts on this forum.

..Sadly, many don't take the miles of posts on here and information and LISTEN. I think that many have that thought: "Oh it won't happen to me..." and you watch them post here and then 6months to a year....POOF GONE. I presume they were in debt before they started, thought trucking was the 'answer' and then end up WORSE off than they started.

How much can we post to try and warn people?

Leases are the absolute WORST thing you can do, especially leasing from the carrier you run with. That almost always eventually spells certain disaster....

Thanks for this post dude....

 

That is the thing I see most of. Someone goes into trucking in major debt, goes to a big carrier with a lease program and they do it thinking they will make more money doing it then being a company driver with no expenses. Well those are the guys who are always advancing money and they can never catch up because they want to spend all there money and then some before they even get paid. I guess they have to have that fancy Connex radio and lights and chrome everywhere. That stuff does not work to well when you dont have the money to fill the truck with fuel.....

I can proudly say that in the last year that I have been trucking again and in the year I did back in 05-06 I never advanced any money.

 

I would say the biggest thing in having your own authority and not leasing on is learning the good freight lanes and knowing where and when to go to certain areas. I know that if I was to own a truck the area I live in is a good area for freight both in and out. I would not buy a truck without having much much miuch more info and knowledge of those types of things.

 

Pretty pricey. 2% - 4% would be more reasonable.

 

Without direct freight you are way over priced. Good smaller companies with some direct freight will take less than 15% and you get dicounted insurance, paid weekly, higher paying freight, fuel cards, etc. And no authority hassel.

And the compliance side is a big one when starting out and would not trust that to anyone if it was my company. So what Big John said, 2-4% at best.

 

I agree with you except...

YOu have the volume in your area but not the rates. The only reason I would send a truck to your area is to get the to better paying loads up north or south in Central IL.

 

O I agree Bill. There is only 2 places that I have pulled out of in the Chicagoland area that have good rates(over 2.00 per mile). You go down towards St. Louis and there is some good rates pulling a flat out of the granite city area.

Like you said though the freight is here but the rates are fairly low. Not to the point where I would just dead head out like some spots in the NE but they are low. Atleast you can still make a profit into a better paying area instead of just barely breaking even or loosing money buy hauling freight out of the NE.

 

That is true and if you are pulling a flat you can do decent enough not to chock on your breakfast as it comes back up. Dow up there can get you a decent rate if you take it from the right LS agent.

What company are you with? Are you thinking of going O/O?

 

I drive for TMC and I would like to but I am in the process of buying a house and everything right now so not anytime soon and that is IF I decide to. Not going to lie, I would love to be one but the initial start up is just so much money to save right now in my life while I am trying to save for a house.

I also would want to pull a flat but I would think I would have to start off with a van though which is why I would think the best route for me would be going with a place like LS and pulling a van for them until I had the money to buy a nice tri axle step setup and then pull that for a bit until I get to know the better freight lanes and get hooked up with some good agents and brokers so I can make that better rate by knowing the right people and areas.