O/O

you should probably truck a little longer before jumping the gun. and do the research while your gaining the experience.

you've got a lot of questions. that have been discussed time and time again on this websight.

there are lots of scenarios that can be played out. the book is a mile long.

research most of the threads in the owner operator section. you'll learn a LOT. and have lesson questions to ask.

 

Listen to these guys, Look up this thread and you will see why I said this Coastie Goes O/O. My time as an O/O.

I can be done but it hard for someone new to the business to make it, but it can be done. But with more experience it will be much easier still hard but easier for you to wait.

 

yep, i looked at the threads 3 years before i came OTR again. lots of good stories but the posters are no longer around. i came back out 2 years ago and haven't seen them posting since. but i have read the posts continually.

thought i was well prepared. and now that i'm in the game again. i've got questions and lessons i never had as a company driver.

 

Every day is a new set of lessons as an O/O.

If anything, NETWORK with a bunch of folks you can learn with/from. I have a few folks I talk to on the phone now and work with as well. We share what works and what tests our mettle. We learn from each other and help get through those times.

And we aren't afraid to share our rates/loads/brokers and who's pulling what.

 

Insurance question...... I am an O/O with 2 trucks but I am the only driver. I am based out of KY. One of my trucks is inoperable. It has electrical problems and the expense to try to repair is about to exceed the value if the truck. My insurance company took cargo coverage off but I still have to keep the truck insured because the policy says "any trucks owned or operated. That is a bitter pill by itself but this year I have been told my premium will be increased 25% or more because I have 2 trucks and 1 driver. I see a big can of worms with DOT putting a driver on a truck that I couldn't even push out of the driveway. Anybody have a walk around on this. Explaining common sense to the. Insurance company sure didn't work. They told me to just find somebody with a valid and clean MVR and add them. And if they have a fatality in their truck or DUI I should just tell them he was just made up and not really a driver. I am seeing nightmares from CSA doing that and the word fraud just keeps playing in my head. Help?

 

don't license it and list it as scrap.

 

What Southeastern states have plentiful dry goods loads? Most of um have something, if your long haul you can a;ways get tot he good freight lanes. O/O is the trucking industry lucrative now in 2013? If you work hard it is Can you give any advise on how to become a successful O/O? Buy a truck, Make sure you have a decent rainy day fund for maintenance and start up. Should I purchase or lease purchase, any suggestions on where to purchase/lease purchase?lease purchase (not to be confused with leasing on to a company) is generally a scam. the company controlls how much you make and can always keep you behind ont he payments. Once you factor in maintenance fees, tires, etc. you will make next to nothing leasing a truck. Should I purchase authority and where? Not to start. You should lease on to a company (not leasing the truck). basically this allows you to run under there authority to get started. Much simpler. Where to get a good insurance quote? Progressive will insure newbies, although if you lease onto a company they may have cheaper insurance you can buy through them. Where to purchase a trailer at a good price? Truck paper has a bunch, although you dont need a trailer to get started if you lease on to a carrier. You can use theirs to reduce your start up cost and buy one later. What year truck should I purchase and how much should I pay for truck? What is the best truck I should purchase? Wow, this is like asking someone what beer is best. 10 different people will give 10 different answers. I like the aero dynamic trucks because they will save you tons in fuel cost. You can find decent trucks for under 30,000. Get an oil sample analysis before you buy and save up t do an inframe. Also get a truck with at least a 1 year warranty on the engine, trans and diffs. Make sure you have enough money saved to fix the other problems a truck can have. What are the best load boards? Should I hire an broker or subscribe to load boards? If you lease on to a carrier you dont need to worry about this. Any other info would be greatly appreciated.[/QUOTE]

To clarify:
Leasing a truck is making lease payment to a company and maybe eventually you can buy it out. Not recommended because they will try to screw you over.

Leasing your truck onto a company is totally different. This is basically running your truck under their athurety. You are responsible for financing and paying for your truck. The company will dispatch you loads (unless you lease to landstar where you pick your loads from their board.) This is recommended.

Getting your own authority involves expensive insurance although you have freedom to choose when and where you work. As a newbie you will have trouble paying the insurance rates. Your also responsible to find freight. I dont recommend this to start out. Getting your own authority is like jumping in the deep end before you learn how to swim and if you don't have a lot of cash flow you can easily run out.

I recommend you have at least 15,000 set aside on top of whatever you pay for your truck. 10K should not be touched unless you have a major maintenance problem. the other 5 is for, minor maintenance, insurance, baceplate (tags) fuel, operating expenses until you start getting paid etc.

As for trailers, that is an unnecessary expense to start. You can use a trailer of whoever you lease on to and buy one yourself later.

For the truck, I recommend something with decent fuel economy. I like frighteners for a few reasons. They are work trucks. They are designed to be cheap to maintain. they dont have the thrills of a volvo, or the beauty of a kenworth or pete, but when it comes to the bottom line, they will be less expensive to operate. i just bought a Freghtliner Columbia and love it.

On a used truck, make sure you get a warranty for the engine trans and difs. If any of those break you wont be able to afford to replace them on your own. (turbo to if you can) The rest of the stuff you should be able to afford to fix if you have to. (this is wear the 10,000 comes in) Get an oil sample analysis done so you can see how the engine is doing. Once you start making money, put some aside each month so eventually you can afford an inframe when it needs one.

 

Off topic from original poster, you should probably post your own thread. If your not planning on fixing the truck sell it or scrap it so you dont need to pay insurance on it.

 

Turn the tag in and take insurance off the truck, update your MCS-150 to reflect one truck and you should be good to go....insurance rate increases are going up whether you have 2 or 20 trucks. Sounds like you need a better agent and one that can better relay your situation to an underwriter. Some companies offer a pretty big discount if you need to keep an inoperable truck on though some companies ( mine included ) have done away with that discount in the last couple of years.