New start up O/O

Discussion in 'Ask An Owner Operator' started by farmtruck, Oct 10, 2011.

Page 1 of 2
  1. Oct 10, 2011 #1
    farmtruck

    farmtruck Bobtail Member

    12
    0
    Oct 9, 2011
    BIG D
    0
    Would like some input from the members here and thanks in advance for your posts.
    This forum is the most informative I have seen and I have been reading a lot of it.
    I got tank&Haz also twic recently in planning to start new O/O company.
    Not sure if they will be needed, but just in case.

    Never been OTR , just local farm work with 2 ton and goose neck. Usually about 20 to 30k loads.
    I have had other business but not related to trucking.
    I live in a rural area (farming and oil).
    Ideally I would like to stay with in 500 mile range, just do not know it that
    will be doable.

    Wanted to set up complete operation with one truck and trailer(most likely step flat). set up budget would be 50k max. So i estimate 40k for equipment.
    I just want to learn this business and not lose my butt. Office expenses etc. would fall under other business that are operating.
    Maybe hire an experienced driver, but in my area there are slim pickens.

    So will probably drive myself.

    Looked at about 20 trucks, all kinds. So far my favorite is 07 9400 with
    automatic--- 620k miles $27k. a fleet truck governor at 67mph.
    But still I do not have the experience yet, to make a decision.

    I have got quotes for insurance, and authority agents.

    Has anyone started this way? Or am I loco.

    I know one thing for sure! The economy is on shaky ground, But I have
    Faith in this country and being in business I see how important the
    trucking is.
    So that is my reasoning.

    thanks
     
    farmtruck, Oct 10, 2011
    farmtruck, Oct 10, 2011
    #1
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. Oct 10, 2011 #2
    FLORIDAHEAVYHAUL

    FLORIDAHEAVYHAUL Light Load Member

    88
    48
    Jul 7, 2011
    High Springs, Florida
    0
    I have a few minutes, so I will share some of my thought with you. First of all, welcome to the forum. I have been in this business for 30 years and I still learn something everyday I go on here. I am in much the same position as you. With some major exceptions. I plan to get my own authority the first of the year, IF, and its a huge IF, I feel certain that Obama will NOT get reelected. I do not see the economy improving enough for me to "take the leap" if he is still in office. In fact, I would be lucky to keep my current position if he is reelected. Now, back to your "plan". I really dont know if a 500 mile radius is doable. I really just don't know. It sounds like you may have family commitments that would keep you close to home. Generally speaking it has been my experience that in this industry you can make money or be home on the weekends, not both. That being said, have you explored the possibility of leasing on to someone that would let you operate in that restricted area? Also, if you plan on spending 90% of your money on equipment, and you havent mentioned securement stuff like chains, ramps, tarps, straps etc. Not to mention operating capital til the money starts coming in. Were you thinking of factoring? I guess the bottom line is to take a good hard look at what the economy is going to do, and perhaps do a LOT more reading on here. I hope we BOTH can make a good go of it. Cheers. Robert
     
    FLORIDAHEAVYHAUL, Oct 10, 2011
    FLORIDAHEAVYHAUL, Oct 10, 2011
    #2
  4. Oct 10, 2011 #3
    farmtruck

    farmtruck Bobtail Member

    12
    0
    Oct 9, 2011
    BIG D
    0
    Thanks for the time Robert.
    Well I do have a farm(small), but fortunately it runs it self for 5 months in winter.(if we have one this year). I may use the equipment some during growing season(unless it does not rain again next year).
    I think farming may be like trucking just a little. :biggrin_25525:
    I could be on the road 3 or 4 months straight.

    Anyway I am 53, but do not want to stop trying. When I use brokers for my hauling I pay $3.5 to $4.5 PM.
    Last load was $4 at 350 miles. I do not use trucks enough to justify acquiring one, just for the farm.
    This endeavor is completely different and if it works for the farm part, that would be a bonus.
    The 500 mile radius is where the insurance break is. But if the best loads are over that, then I will adjust.
    I do not know the whole picture or direction yet, but this is the best place I have found, to find out.
    Thanks
     
    farmtruck, Oct 10, 2011
    farmtruck, Oct 10, 2011
    #3
  5. Oct 10, 2011 #4
    Long

    Long Bobtail Member

    11
    7
    Aug 27, 2011
    Maryland
    0
    I am researching this as an option as well. I can say from what I have been reading, that $3.50 - $4.50 mile is not even close to what is expected around the rest of the country. Guess that would depend on what you are hauling. What is on a load for that price?
     
    Long, Oct 10, 2011
    Long, Oct 10, 2011
    #4
  7. Oct 10, 2011 #5
    Kansas

    Kansas Road Train Member

    2,541
    2,585
    Apr 14, 2009
    aircap, Ks.
    0
    farmtruck go for it...

    You probably already have tons of contacts in the farming and oil field world. Your location to Dallas and Houston makes your 500 miles radius an actual possibility. Just make sure you have money in the bank to fix the truck as it breaks down. I think that's where a whole lot of folks short themselves.

    BTW, expect as a truck driver to be quoted under $2 a mile. Anything above that is a blessing.
     
    Kansas, Oct 10, 2011
    Kansas, Oct 10, 2011
    #5
  8. Oct 10, 2011 #6
    FLORIDAHEAVYHAUL

    FLORIDAHEAVYHAUL Light Load Member

    88
    48
    Jul 7, 2011
    High Springs, Florida
    0
    I would suggest that you perhaps PM BigBadBill. From what I have been able to gather from his post's on here, he is also a farmer. I know he is a wealth of information on the business/profitability side of this business. Of anyone on here, HE is the one I would go to for some straight talk on operating in the limited fashion you plan on trying. I totally get the 500 mile thing now. I hadn't thought about that, as the experience end of insurance quotes is not an issue for me. with the rates you were paying I am assuming that they were refer loads coming out of your fields. That is a side of this business I have absolutely no experience with. Been a flatbedder and for a short time a food grade tanker yanker. Been doing strictly heavy haul for over 10 years now. Hope that helps.
     
    FLORIDAHEAVYHAUL, Oct 10, 2011
    FLORIDAHEAVYHAUL, Oct 10, 2011
    #6
    BigJohn54 and BigBadBill Thank this.
  9. Oct 15, 2011 #7
    lowjo

    lowjo Light Load Member

    81
    7
    Nov 19, 2009
    arkansas
    0
    yeah,go for it,best of luck
     
    lowjo, Oct 15, 2011
    lowjo, Oct 15, 2011
    #7
  10. Oct 15, 2011 #8
    BigBadBill

    BigBadBill Bullishly Optimistic

    4,599
    4,439
    Oct 2, 2010
    Chattanooga, TN
    0
    Have wanted to respond but in middle of harvest. If I get some wait time in fields today will share some thoughts.
     
    BigBadBill, Oct 15, 2011
    BigBadBill, Oct 15, 2011
    #8
  11. Oct 15, 2011 #9
    d o g

    d o g Trucker Forum STAFF Staff Member

    24,720
    54,317
    Sep 20, 2010
    Texas
    0
    This is a perfect year for somebody with your farm background and in your location to get in the flat/step business. You're in a great location to really take advantage of the drought in Texas. Haul oilfield freight from Houston to the Bakken, and haul hay back to Texas. Use a broker for the oilfield stuff (if you don't have the contacts) and buy/sell the hay.

    You've already missed a lot of the hay movement, but it will still be going on all winter. If you can get hooked up with the right people on the hay (both ends), you can go a long way toward paying for a cheap truck and trailer between now and Spring.

    That's what I'd be doing if I were in your position. Good luck!
     
    d o g, Oct 15, 2011
    d o g, Oct 15, 2011
    #9
    farmtruck Thanks this.
  12. Oct 17, 2011 #10
    farmtruck

    farmtruck Bobtail Member

    12
    0
    Oct 9, 2011
    BIG D
    0
    Thanks for the input, it is much appreciated.
    I have realized that the prices of equipment are much better the further north you go at the present time.
    I have to figure out where the price point will be for a tractor that would be reliable for a few months until I get some loads under my wheels.
    I know that will be blessing know matter what age/mile truck I pull the trigger on.
     
    farmtruck, Oct 17, 2011
    farmtruck, Oct 17, 2011
    #10
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

    • Page 1 of 2