Lease purchase or authority for new owner ops

You'll need a good truck and trailer, and a butt load of cash in the bank to do your own authority. I don't hear a many good things about lease/purchase, but I'm sure others will chime in on that.

 

Leasepurchase is almost always bad. Why not buy a truck and lease on to a carrier? Save money first. When trucks break they cost thousands to fix.

 

Yeah maybe team up and lease onto a team oriented outfit. Only buy a new truck though. Teaming is no game to you nor the carrier or shipper. Breakdowns are not acceptable. If your happy after x amount of time and built up some money then go out on your own. I’d save up 40k+ first though before going on your own as a team.

 

Just stay a company driver for a while more.

 

actually I don't think it would be worth it to get your own authority unless you have an opportunity to get your own loads and you didn't mind the extra Hassel ..... and in today's buisness economy you would be foolish to lease on to a carrier that pays a flat rate they will just be Makin a whole lot of money on you .... I haven't heard of anyone that pays even close to what the rates are for team loads with the high rates over the last year ..... my suggestion would be landstar or mercer or even Schneider I am familiar with the landstar system and the team load rates are 50 cents to 2.00 a mile higher than solo loads but the kicker is when you are in an area that's dry for team loads theres a lot of solo loads that run straight through with drop and hook on both ends and being leased on you wouldn't have to buy a trailer until you get established and maybe never depending on what you fall into in any event you will easily find agents that work team loads ..... my wife and I teamed for a couple of years and the ability to pick where and when you run is great especially if you are use to a load,planner scedules. we planned our home time when we wanted to be home and road trips to where we wanted to go and take a day or two off where we wanted .. it takes a bit of time to get good at it but it is not rocket science. . but for the most part you decide how much you run .... now it's best to have $50000000000 in the bank and another million or two in your pocket for maintenance. ...... actually that's for the guys that quote the 40 or 50 g in the bank ..... I know quite a few very successful owner ops that started on a shoe string .... the biggest thing is if you're used to living pay check to pay check and spending it as fast as it comes in your not going to be successful it's takes a little self control. . the more money the better to start but with a newer truck ... I would buy a year or twoold truck to start .....still warranty but has the bugs worked out. .. and just have a set % or mileage to put away

 

Why?

Read your first post. You can learn what you need to learn but take your time.

 

My wife and I bought our own truck and went owner operator back in February. We leased onto the company that employed us as company drivers and made excellent money. If our you I would shop around and find a reputable carrier that pays you a percentage of the load if your current company doesn’t. Rates are high and you deserve to share the bounty.

 

I have been waiting for someone like you to ask a question like this.

My timeline as a CDL holder and pay scale.

2008 - Get CDL and CR England company driver - $400-$600 weekly

2009 - 2011 - CR England Driver Trainer - $2500-$4500 weekly

2012 - 2015 - F- trucking... Venture into the unknown - $200,000 over 4 years, anyway I can

2015-2016 - Scneider and K&B Transport solo company driver - $1000-$1400 weekly

2017 - MBM solo local company driver - $96,000 annual salary with best benefits ever before McLane buyout. Salary reduced to $38,000

2017-2018 - Celadon solo Lease Operator keep 70% linehaul - $1500-$3500 weekly

2018 - Owner Operator Solo with Own Authority - $5000-$10,000 weekly - THIS IS MY TAKE HOME, NOT MY REVENUE

WITH JUST A TRUCK, I DON'T OWN OR LEASE ANY TRAILERS.

That's take home profit not revenue. With just a truck. I don't own a trailer. Work anytime I feel like it. Semi- difficult to get started. Had a shoe-string budget to start with. Not easy to get started off the ground, but can never go back to being a company driver with the knowledge I now have.

Hope this helps narrow down your decision.

Also, just know I am a shrewd negotiator on the phone with the brokers. My rate usually shocks the brokers ear when they hear my offer. I make tons of calls. Maybe 50-100 a week.

My rule is simple. If my offer doesn't offend a broker and make the gasp and choke when they get it, then I asked for too little.

On average, I ask anywhere from $1000-$2000 more than what ever price they give me.

Example...
BROKER: yeah, we got $1800 on this load...
ME: Really?...OK... (pause for 5 seconds) so yeah can you do $3,300 on that?
BROKER: I'm sorry, what was that?...
ME: $3300, I really want about $3500, but I guess I can do $3300
BROKER : Would you so it for $2500?
ME: I'm gonna be honest Johnny, I don't really wanna take it for under $3000.
BROKER: Well, if you can meet me half way, can you do it for $2800
ME: If you can do $2900, I'll go ahead and do it... You know what, let's wrap it up at $2800

and the alternate ending as well...
BROKER: Was that $3300. Yeah good luck in that. Have a good day.

another alternate end, pretty rare though...
BROKER: ...(says nothing, just hangs up the phone)