O/O vs. Fleet Driver

Taxs,
Expenses
insurance
repairs

that a few you will have to deal with. And some companies you lease to will pay you less than if u were an company driver. So be ware

 

When freight slows as a company driver, your wages are cut and it's tough and you worry about the car payment, the doctor payment, the house payment, etc. As an o-o, your wages and you deal with all those same issues as a company driver, PLUS you lose sleep wondering if you're going to be able to make the truck payment and/or the truck insurance payment, or if something major costly is going to break, especially if you don't have significant cash reserves in the bank. So much of how the business side of trucking (o-o) depends on where you end up and how you got there. This all goes without saying, but many going in plan on the most optimistic scenarios running 12 months a year, and can't imagine all of the huge downsides that can come, and when they come, they often come in multiple waves.

 

Plus your only been driving under a year, I would wait and gain more experience also... Some have made it with less but it not easy

 

You will be a business owner.

 

Most people think being a O/O they will double there income.....it's not that easy

first- you need to be really good with money most people are not good at this to start with

2nd- you have to have money to start out with just because you have $10,000 in the bank don't mean your going to get a truck and start making money the next day, most places require good credit and $5,500-$8,500 down payment after finding a truck.

3rd- if your going to be a true O/O you will be responsible for IRP,DOT/MC numbers, IFTA, insurance, 2290, UCR, MS150, B0C-3, and so on.

4th- where is your loads going to come from?

5th- how long can you afford to wait to get paid I spend a easy $2,000 a week in fuel alone what if you need a $600 tire? Or you have a brake down.

6th- what are you going to do about a trailer or any gear your going to need its really hard to buy a trailer after you just took on a new truck note.

7-you have to be good at bookkeeping you don't get paid until you turn your paper work in or bill someone. Not keeping good records will get you in hot water fast no paper work no right offs means you owe the IRS money.....

It's not what people make it out to be some years like 2008 I made $24,380 take home that was my full income for the year I grossed $64,k that year. I know people that make more than me as a company driver after all my expenses and they don't have to worry about brake downs or unexpected expenses they brake down they jump in a different truck and keep going....

Good luck and do lots of reading on here there is lots to learn!!!!

 

Keep a spreadsheet on Excel based off all the numbers you do currently have access to ( miles, gallons, cost of said gallons ) and any other info you can get your hands on. Then create a list of conservative number to plug costs into categories that your current company will not give you access to. As fuel is the largest cost keep track of it and you should have a snapshot of what you would be looking at were you to switch.

 

I think maybe this will answer many of those questions and more...There is link to the book it was quoted from in the comments section as well.

http://www.thetruckersreport.com/lease-operators-19-tips-to-avoid-a-rip-off-truck-lease/

 

Join OOIDA; check their website. It's designed for 0/0's and small fleet owners.

 

ooida has done exactly nothing for me except talk about all the things they supposedly do for me when they call wanting me to renew my membership. the only one I can see benefiting from ooida is the people on their pay roll.


three is good money to be made as an o/o if leased to the right carrier. absolutely steady away from any lease purchase type deals. they are all rigged.

I'd suggest saving your money and buying the cheapest, well cared for, truck you can. plan on looking at 50 trucks before finding the right one. and have the carrier your planning to lease to lined up and pre approved.

edit to add: ignore bayou, his koolaid was tainted