O/O Question

If the money is that good at a $1,000 a day I would squeeze every dime out of it till it's not profitable anymore then re-group and consider your options of possibly leasing onto a bigger company. The less people with their hands on your money is the best policy.

As far as buying "NEW" trucks I would consider used first, you can pick up some really sweet deals on used vehicles now esp if you have the cash. New trucks are great but I would be scared to be on the hook for several new equipment purchases esp if your business starts to slow then you have to rely on someone else (another company) to keep your trucks rolling and being profitable.

 

If the money is still there, keep going as it is. But in the meantime, look for the next opportunity, and look for the signs for when you will need to make that change.

Now here is the important part. Walking into this, you are taking over something that is already established. I am sure that there is equity in the real estate and trucks, money in the bank, and credit.

My advice to you is to think small at first. Make some kind of a SMALL movement that will bring you into the next phase of this business. Many, many businesses have been lost by the children/ grandchildren taking over. Often the kids think there is unlimited money, and instead of putting money back into the business, they blow it on women or drugs. Or, instead of buying one truck and getting it paid off, they try to buy 10 with the credit that they have and end up going broke.

I am not saying that you are anything like what I wrote above, but I have seen it happen. Learn EVERYTHING that you can from your grandfather NOW. He won't be here forever. Learn the business, learn accounting, watch how he handles the day to day business, etc. Grow slowly with good, solid financial decisions, and take on as little debt as possible. If you can, take some business classes.

Your grandfather is a success story. Try to learn his philosophy on business, WHY he makes the decisions he makes, and what brought him to this point of success. Then you can adapt that into your own way of doing things. You have an opportunity that most people do not have. Make him proud. Good luck.

 

If you know for sure the money is there.....then get It...when the money not there any more...move on to something else...as long as you have your own truck then you can make a profit if you get out there and run hard...keep the doors shut and wheels turning

 

That's not necessarily true. Some companies are like that, but when the trend started of truck owners buying pre emission trucks a few years ago to avoid all of the government intervention into the mechanics of the trucks, there was an increase of well maintained older trucks because drivers started buying them and fixing them up. I know a lot of experienced owner operators that would rather run an older truck now, and the companies that lease them have to adapt in order to get them to sign on. I'm with Landstar, and I know they don't have an age restriction. I know there's a lot of companies that don't have that requirement. So don't just rush into buying a newer truck until you check some companies out. You may regret it.

 

My 2¢ is I heard the same old story over and over. Man buys truck. Man buys more trucks. Man ends up back at one truck.

Depends what you really want to do. Do you want to drive a truck everyday or do you want to be on the phone all day finding loads, fixing trucks and babysitting drivers?

If it were me I'd be content to have a shop and a truck and a good gig. You can change gigs anytime the good one goes sour. Save your money you'll be making for the hard times. You can even live at the shop if you don't have kids and an ol' lady. 10 years you can pay cash for a nice house.

 

A older guy I know here in town owned several trucks back in the 60's told me one time that ''when you have more than you can drive you have some to sell''.
I ran two a few years ago,i drove one & had a driver on the other one.He was a good driver,took care of the truck but it was more headache than I wanted so I'm content to run&drive the one I have now.
Those of you that want more than one I'm happy for you but I am happy where I'm at with the one.

 

If you have an established business and your own authority I would never even consider leasing on to somebody. Hit the street and start knocking on doors. If the business has been around for 15 years you and your family should have local connections to get some other type of work going besides the coal.