Want to buy my own truck

If you need to get the truck off the lot you will need bobtail insurance on it. Then go to the tax/tag office and get a temp tag for it. You can't run loads with it but you can bobtail with it. You can use the tag to get to the company too if they haven't sent you tags in the mail.

 

What's a ballpark figure on insurance? $100,000 cargo and $750,000 liability.

 

Its best to call around and find out yourself since you have your own particulars.

Depends on your record, drive time, year of truck, inter-state or intra-state, credit score, etc..... figure $6000-15,000/yr..
Its a big ballpark. LOL

 

Thanks. I think I will start calling around next week. When you lease on to a company, do you have to have insurance already, or do they provide EVERYTHING for you and deduct it from your pay (settlement)?

 

You want the UCR, IRP, and DOT Authority to all be in your home "base" state, the place where you have your "terminal".

I'd avoid the lease contracts with a big trucking company that sell you a truck, but otherwise treats you like a company driver (managing your authority, insurance, etc.). It's really worse than being a company driver because you can get screwed out of a lot of money. Also, think about it do you really want to be an OO leased to a company that also dispatches company drivers paid a pitful 26 cents a mile? The best profit coast to coast loads will go to the reliable company drivers making at most 42 cents, while the OO gets the multiple drop, unload yourself, screwy fuel burning loads.

 

Hey, that's cool, but won't you have to, in many states, pay sales tax on the truck? One can avoid sales tax with a tricky IRP process, so I'm told. How does that work?

 

It can be any or all of these. I'm new to this business too, but note my other comments. I'm find that "leasing" onto a company is like become an indentured servant of sorts to their bookeeping system. That settlement check can be pretty small.

This is my current strategy, that anyone is welcome to improve upon:

It's better to suffer the headaches of learning ALL the paperwork yourself--you only have to learn it once. Believe me, as soon as you press "submit" when getting your DOT and MC numbers, a million companies will suddenly starting calling you to offer help--at a price. Just hold steady, read the requirements carefully, avoid the scare tactics and con games, and find help, if necessary, at the lowest possible price--use your credit card to pay for everything, and keep all receipts. Your truck sales dealer will refer you to local folks that can provide a checklist of things to do, then you can research these yourself on-line, and do most of them directly on-line with the state or federal agencies.

Then start working with a company that has ONLY a lot full of trailers and a broker. Maybe a few extra services, like a basic mechanic at a low price. No company drivers, no qualcomm... This is a highly regulated industry, but by doggedly browsing the internet on every topic you can imagine, you'll figure out how to get insurance and your own authority. Of course, with this comes responsibility to avoid any sort of infraction of law or society that might screw the whole thing up.

I have just one year of driving experience and was able to get insurance and authority. I'm buying the truck in cash and figuring expenses need to be lower than I could pay off driving just 1,500 miles a week. That includes creating a maintenance escrow account that will pay for repairs and ultimately purchase the next truck.

 

sounds like you have done your homework i would like to be updated on your progress as you go if you don't mind starting a thread for it. i am trying to do the same thing you have just talked about within the next year.

 

Thanks alot. That was very useful information. Keep it coming!

 

Leasing on to a company isn't as bad as everyone makes it sound.. It depends on WHAT company your refering to...

Yes, bad things happen when people go to some of the mega carriers like Swift, US Express, JB, SNI, ect.. but there are companies who specialize in O/O. Like Landstar, Bennett, Mercer, Pacer, to name a few.. they do NOT have company trucks to compete with. You are NOT an "endentured servant" to these guys.. you are the captain of your ship, you make all the decisions, and accept or reject loads. Nobody forces you to do anything you do not want to do..

Leasing also offers some benifits.. Like: insurance discounts, national tire accounts, fuel discounts, and they file all the nessessary IFTA fuel taxes.., you do not have to wait on your money.. ect. So there are benifits..

having your own authority is not for the squeemish.. Not everyone is cut out to handle all the behind the scenes work.. (Accounts receivable, accounts payable, quarterly taxes, sales, marketing, insurance, maintaince..) I firmly belive that you will NOT make it living off of load boards as an independant. You need personal contacts, and accounts that you cater to. The broker boards are good for filling in the blanks and slow times... IMO.. (I am leased on to Mercer..)

I'm content here and don't plan on going anywhere. I'm going on 5 years here.

Gotta go 4 now..