Owner Operator Min Mileage Requirement

Discussion in 'Ask An Owner Operator' started by Holtkamp Logistics, Oct 24, 2017.

  1. nax

    nax Road Train Member

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    I get that and I understand that.

    But why should a company that I "hire" (since they are charging me a fee for the service) dictate my desired schedule?

    They should have a sliding scale billing system, for services rendered, and be able to factor their FC out of the deal.

    OP is claiming that fees paid by these "non-productive" O/O's are not able to cover his FC. Maybe he has his setup wrong.
     
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  3. xsetra

    xsetra Road Train Member

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    When I had trucks leased on. They paid all expenses. I took % for office work.

    If the op has the leased operators responsible for all costs,( they should be paying it anyway.).
    They either leave, or work more to cover costs and make a profit.
     
  4. gokiddogo

    gokiddogo Road Train Member

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    Op:
    How many owner operators do you have?
     
  5. whoopNride

    whoopNride Road Train Member

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    Landstar / Mercer, they are big enough that they are self insured. They do not care if you only work 3 months out of the year, doesn't cost them anything.

    I have never heard of insurance based on mileage. But I do know you can pay Liability/Cargo Insurance based on "Gross Receipts". No Gross, No Insurance charge. I guess that's still around, my granddad had a 30 truck fleet on that setup 25 yrs ago.
     
    rollin coal Thanks this.
  6. Holtkamp Logistics

    Holtkamp Logistics Bobtail Member

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    Sep 15, 2017
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    After reviewing everyone's post...I feel we are set up wrong.
    Yearly Expense
    My new Trailer I furnish is $32,000.00, Cargo / Liability Insurance $12,000.00
    Trailer on 4 year note is $166.00 / week
    Insurance is $230.00 / week
    That totals almost $400.00 / week
    I charge $150.00
    Out of pocket so far is $250.00
    O/O does $2,000.00 gross week I get $400.00
    $400.00 - $250.00 = $150.00 / week
    Tires, Interest, Depreciation, Fuel Tax, Dispatch, Ink, Paper, Phone ...In the hole
     
  7. nax

    nax Road Train Member

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    My suspicions confirmed (did I say I used to be a consultant?)

    I'll expect my check in the mail. Thx.
     
  8. SheepDog

    SheepDog Road Train Member

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    Nov 30, 2008
    Sand Lake, MI
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    Houston, we have a problem....
     
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