One Truck Operation?

I guess it depends on the type of operation that you have.
For mine it wouldn't work to lease on with a bigger company.My truck sits some through the summer because we are in the hay business here & that takes up most of our time.
In the fall & spring we haul trees and haul hay as needed the rest of the year.

 

Not meaning this to be rude, but it depends on how good of a business person you are.

My expenses are low, so that helps me. Truck and trailer are paid off, insurance is $467/month, and I dont haul cheap freight.

There are several other threads here posting complaints of $1.00-$1.15 a mile freight, well I don't see cheap freight there... I see a starting point for negotiations. Whats the worst they can do?? say no?? I consistently leave the northeast for $2 a mile pulling dry and reefer freight. Its all about negotiation and sticking to your guns.

Leasing on to a big company pays what? $1.30 a mile? Work on your negotiating skills, and you can average $1.90+ all miles.

 

I have my own authority and let me give you a couple examples of the advantages. Last week I hauled a load which was 2 steel coils, 40,000#. It was a double brokered load and I still made close to $3/mile on it. It also goes right past my house. Now when I delivered I talked to the reciever awhile and he gave me contact info and told me they need 16 loads per week for the foreseeable future. Now, you can see where that creates opportunity for me that you can't get leased on. I also have contacts and am considering hauling drilling mud in TX this winter for a few months instead of dealing with the ice and snow in the midwest. With my own authority I can do that if I want too. However, leasing to a good company has it's advantages too. I'll never be as good at booking loads as the guys who do it 10 hours a day everyday, but their time is split between 20 or 30 trucks too. so it's all pros and cons.

 

Think what you could get hauling those coils if you cut the middle man out. Going right past the house? Yep, I would be on that like flies on stink.

 

Having my authority is working well for me. I can choose the type of freight I want and I dont sit...I like the freedom of having multiple contacts in areas where leasing may hamstring you a bit...believe it or not you get paid faster, and sometimes I revert back to 3rd grade and don't play well with others

 

Not always true, I typicaly get paid within two hours of delivering a load. And I am leased to a carrier.

 

Mercer pays that fast .... Robinson is 48 hrs ... I don't think it is the norm for LARGER carriers to pay that fast

 

Good luck in getting $3/m out of a $1/m tarped load of "sticks" from say CanFor..........They have plenty of NAFTA drivers who line up for miles to load out of their "mill" to get back home to Pacoima.....The rates are where they are for that reason....

 

In my opinion, for a single truck operator it is worth it, if at least 50% or more is shipper or consignee direct freight and you have the finances to do it without paying for factoring. If you are going to be doing mostly, or all broker freight, just lease to a good percentage carrier. The cut off the top is about the same, especially if you need to factor or shell out money for quick pay. Pencil it out.