Crime,inc

Your solution to be successful is to sell everything you own and live in a truck? I’m glad it worked out for you but your business plan is not realistic for most people.

Have you read the article that link goes to? Here is a couple quotes,

The court also asserted that New Prime was dragging the case out, saying that the trucking company’s “conduct reflects dilatory litigation tactics at their worst.”

In June 2015, New Prime moved to compel arbitration of Oliveira’s claims under the Federal Arbitration Act. The district court denied New Prime’s motion. Then the trucking company lost appeals in the First Circuit and to the U.S. Supreme Court.

Prime took this case to the Supreme Court!!! Prime is a bully with way to much money. If their business practices were on the up and up they wouldn’t doing what they’re doing.

I don’t disagree the guy made a mistake leasing with Prime. But his attorneys obviously have something with all the shenanigans Prime is pulling.

 

Show me where I said I sold everything and was living in my truck. I moved back to my hometown. I chose to haul cattle and run my butt in the dirt because I had a hole to get out of. If how I did it isn’t realistic for most people then how do people have the realistic expectation that somehow with bad credit and no money down they’re going to lease a brand new truck for $4k a month and make it work?

Yes I’ve read the article. And I’ve never said Prime is correct in how they do things. All I’ve said all along is that there has to be some personal accountability here. Two parties signed the contract. “Some weeks he had to pay Prime to work there”. Well guess what? If I hit a slow patch or take time off I still have to pay the bank and the insurance company.

 

I got started by putting 7500 down on a truck and trailer from a third party leasing company. I then leased my truck and trailer to a carrier.

The reason I did this was because I took the time to educate myself on the best path for me to become an O/O.

Alot of education on my decision was from this site and others, as well as taking the time and talking to people that were successful O/O.

If I had not been able to lease my truck to a company when I started I'm not sure I would be an independent O/O currently as I took alot of time to make the jump from lease operator.

Is it the role of government to tell me I can't do this? I don't think so.

 

I guess it’s a news flash to me that if you sue someone it creates government regulations. I was under the impression if you sue someone it is based upon current laws.

What percentage of Prime Leasee’s do you think complete their lease? 10%? 20%? 50%?

If 50% complete their lease, that means 50% fail. What bank, lender, or any other business could stay in business with 50% failure? Not only stay in business but thrive. Have you driven by Prime? From the highway I can see 200-300 trucks sitting waiting for the next sucker. They make so much money they have five million dollars worth of equipment just sitting there.

Yes, the guy shouldn’t of signed the lease. But at some point it turns into deceptive practices. A huge company ie Prime gives you the impression of success when probably 90% fail they’re being deceptive. Some court is going to make them pay and I don’t mind one bit.

 

I suggest start watching Dave Ramsey.

 

The people who would benefit from Dave Ramsey are exactly the people that Prime targets. Anyone considering starting a business needs to be more money savy than what Dave is going to teach. IMO.

 

You don't have a firm grasp on the Dave Ramsey financial path. Dave Ramsey would never advise signing a vehicle lease or lease purchase at any time, which he refers to as "Fleeces". He also advises not to borrow money at all, with the exception of a house.
And when the topic of starting a business comes up in his books or on his programs, he always advises not to borrow money for the endeavor, using his own failing example when he was in debt to his ears in real estate and lost everything.
His method for entering the trucking business, which he is not enthusiastic about and neither am I, would be to get enough cash together to buy a modest used truck if you have the skills and motivation. Getting to profitability is job one, saving for a better truck etc.
The average Prime lease candidate would break every rule Dave Ramsey has laid out. Prime targets anyone, an individual following Dave Ramsey's "Total Money Makeover" would just ignore the ad.

 

A friend of mine was responsible for a Liquour shop that sold lotto tickets and some of the routine situations happen on paydays among the poverty clientele who come in and dump the entire pay check into a lotto stack that takes a hour to print and hand back.

Draw numbers and "Poof" all gone. Next!

Next week they are back again this time piled for battle with more dollahs hoping to get their losses back.

Same old story.

 

I think the methods he lays out are solid, wise, sorely needed by many. My point is that once you fully grasp his ideas, you're at high school graduation finance wise.
To be fluent in interest and taxes and depreciation and all the various costs of doing business, to succeed at o.o. I think you should really be at more of a college level understanding. It should be a little more automatic. Running a business AND being the worker of said business is a monumental undertaking, learning the nuances of money is the last thing you need to be spending time on.

 

Wow; what an interesting read, one of the best threads to be on here in a long time!!
My compliments to all engaged in this serious back and forth debate/discussion.

My small example is my purchase of seven non-CDL 26,000 GVW Rollbacks since 1983.
Each time I was employed full time, and saved up enough to buy cash outright.
Always used and maintained, (myself,) to keep truck profitable and resale value up.
Each was a progressive step up, in either value of unit or more accessories.
Started with a road roach, Chevy C-70 for $2500 that I totally rebuilt.
I currently have a Freightliner M2 106 I would value at $70,000.
I'm proud I built all these up to current truck - up into my "savings Account."
So - my point?
Hard work, all of it. (I don't do Television, or video games)
Determination. Set a goal and do it.
Educate yourself before you choose, that's all on you.
Don't be afraid to stand up and say, "I was wrong."

Just pray you're right more than you're wrong.