Wanna finance new truck;...help please

Same question every other day. I want too buy a truck.

 

Should keep the auctions and used truck sales in business.

I know thats awful to say and seems negative. I've been in newer trucks. I own an older Pre emissions truck. I'd love to own a nice new truck but they scare me to death.

I just had an inframe done in mine. Expensive yes,.. but since Sept,.. other than a blown lower radiator hose back in Nov, I have had zero down time and zero mechanical problems.

Hurst

 

So I was already at 60 cpm for fuel ,maintenance ,and plates, permits, ins.

Another 30 thousand a year for truck payment is another 30cpm on a 100 thousand mile year.

So now we are at 90 cpm with out paying the driver.

Explain the profit margin to me like I am 2 years old ,when freight is moving for a 1.10 to. 1.50 a mile.

 

I have my own truck and trailer and have my own authority. Paid cash for it all. I Primarily haul my own heavy equipment around that is why I bought it. I do hauling for hire though as a side gig. I don't see how people could make it doing just hauling for hire if they had a huge truck note. With all the other fees, taxes, insurance, tires, repairs etc there is very little left over and that is without having to make a payment.

It is hard work I really admire you guys that do it everyday. I make a run for a few days hauling loads and am beat when I get home. Granted I try to make my trips five days or less and eat up my 70 on those days so I am running hard but driving 10-11 hrs a day, spending 3-4 hours a day loading and unloading and chaining crap down and then trying to find a place to park for the night and get a shower and food doesn't leave time for much rest.

Anyway to your question the bank wants to see a detailed plan that shows you understand all the potential costs and expenses and that you have realistic income projections that will cover those costs. It doesn't have to be fancy but needs to be thorough. I would do it on a monthly basis. Haul for X miles at X rate and get paid this amount. Then list all expenses for the month including fuel for the X miles above, repair budget, oil changes, tire allowance, truck payment, annual costs such as insurance, registration, etc divided by 12, etc

 

Like I said, individual situation and not for everyone.
If you really pull freight for 1.10, well there is part of the problem.
I don't have enough information about your operation to pick it apart, however, my fuel cost is under .30 cpm. Are you saying you have high maintenance cost on a paid for truck?

 

Like I said, individual situation and not for everyone.
If you really pull freight for 1.10, well there is part of the problem.
I don't have enough information about your operation to pick it apart, however, my fuel cost is under .30 cpm. Are you saying you have high maintenance cost on a paid for truck?

 

Like I said, individual situation and not for everyone.
If you really pull freight for 1.10, well there is part of the problem.
I don't have enough information about your operation to pick it apart, however, my fuel cost is under .30 cpm. Are you saying you have high maintenance cost on a paid for truck?

 

I sat down with my accountant gave her all the numbers she put into a spread sheet for me. Took it to my bank "credit union" and had the money in four days. Accountant bill was $700.

For me it works out to about 40% fuel 30% driver 30% goes to the owner of the truck. Since I am the owner and the driver I pull 60%. Last month fuel cost was 34% of my income.

I haul dangerous goods pull super b fuel tanks. I get paid the same for every mile turned empty or loaded. It is a good steady run and I have lots of work. Most drivers do not want to run the ice and snow up here in the winter.