Estimated First Year Running Costs - Sanity Check please??

I have to agree with everyone else. It's impressive to see such a thorough breakdown of the numbers. I do local delivery so I can't say whether your numbers are right but they seem in the ballpark to me. I agree with @Rideandrepair that many O/Os aren't particularly careful with numbers as they should be or you might expect. As you said you also can't fall victim to paralysis by analysis, at some point you have to dive in and check the numbers looking back.

The only thing I will say is (and I think about this a lot as it applies to me too) $43k a year for running 100kish miles and dealing with the headaches of running your own business doesn't seem like especially good money. If you were to hire out the driving I'm not sure there's anything left over. Either way, you seem like the kind of person that could never go in the hole doing this. I think worst case scenario you end up working too hard for the money you make. Best case scenario, this is a great success and becomes an inflection point in your life. If the numbers work for you, I say go for it!

 

$43.000 /year not enough.

I was thinking to do HotShot or Intermodal.. looks like none of them are good.
My numbers as a company driver without any headaches:

5 to 6 Days/ 11-12 Hour day (2,938 Hours/Year at $22.30)
Gross Pay: $71.605
Pre Tax Medical : $6.906
Taxes: $14.951

Net Pay : 49.748

 

Hello All, This is Tony with my own company. I'm a definitely at the "Flea or Fight" crossroad with this hotshot opportunity. I bought my 3500 Dodge Ram 2018 in Sep 18, then just got financed for a 2019 35/5 ft basic 40ft trailer with the mega ramps. Now I've got my DOT # and MC # but waiting on the insurance with the best agent that quoted me around 17,500 a year, with 4,500 down and 1500 approx. monthly. I am now reconsidering just going back to my old big truck job and trying to turn the trailer in since I actually haven't drove it off the lot, but we know that's a challenge in itself. I have talked with many other hotshotter's who has given me positive feeling, but now as I get close to pulling the trigger, I'm getting wet feet. I have drove big rigs, w/ tankers, dry van and flat bed experience. So as you might see, I have the experience, but just thinking about all the negatives have me shook. Any advice or encouragement would be greatly appreciated. I can send my email or my personal contact phone number for better direct guidance. Now I do still need to get my truck/trailer inspected and other permits like the IFTA/IRP completed to be ready to roll, but I need to make a decision like yesterday.

 

That's way too much for insurance.

 

Don't worry about the miles worry about what the trip pays.

 

I did the hot shot thing for several years hauling cars and paid over 2 grand a month w $300,000 cargo rider.
The weigh stations pushed me out. They target the hotshot dually guys. I'm much happier with a hellofa lot less stress driving for a company OTR.

 

I know the feeling. I have been hot shot two years . About to go back to big truck . Insurance, freight rates,. DOT hassle ,I get pulled in about every other week, and they always find some little something . Take your money on a 2 week vacation. Somewhere nice warm and dry. Lol. Good luck.

 

You’re smart to take your time and think this all through. So many guys don’t, and then fail within 6 months to a year.

Something to think about, you can have all the numbers figured out to the last penny and it won’t mean anything unless you fully devote yourself, and have some luck working for you. You’ll need to put in a serious effort to make this business work for you. And there’s no guarantee the effort you put in will payoff. Most guys never stop to think about how tough their new career move is going to be on them, or their family. And then they’re surprised. You’re no longer just a driver, you’re the entire company and you’ll have to take care of everything associated with running your new company. I’m not saying this to worry you, I’m saying it to help you be prepared for it.

 

Oh yes