Average rates for O/O

Here’s my take
The posts so far seem to be saying the same thing

If you want to stay friends then do the loan with the idea it’s a gift and if he pays you back it’s a win

He’s looking at trucking with starry eyes and there’s no problem with that but it’s not just a per mile rate thing

Many other owner ops on here are making $$$. It’s doable but like a Dairy Queen, not everyone should own or operate one
Doesn’t mean there’s not $$$ pushing ice cream but it’s a mindset and business thing at the end of the day

Look around. Guys with nice gear. Making $$$ and having a decent home life etc but that’s a learned art not a per mile scratch paper formula

Personally I like helping people out but after getting burned out of a business I owned from bringing in family members and burned helping a guy I carried the note for on a cheaper semi I will never use anything else other than words and advice unless like I mentioned. You loan it as a gift with zero expectations of getting it back

 

There are no average rates in this business. They change often and sometimes for reasons you'd never even dream of. The failure rate in this business is pretty high. He can wait another couple years to fail on his own dime instead of yours. Credit reports clean up after a few years.

 

Thanks to everyone for the advice. Can’t argue with experience and one thing I have learned in life is things rarely go as planned. He’s making a decent living now so I think it’s best he save up for a few years and make a decision for himself at that time.

 

Never loan anyone money. If a friend is going through a rough spell offer him a couple hundred bucks to help out ONCE and only ONCE. This is not a loan it is a little help for a friend on a ONE time basis only.

 

My husband helped his brother with his business. He put the money to buy a pick up an some equipment (in my husband name). 25K cash. His brother never make the payments to my husband ( 300.00 a month). After 9 months my husband sold the pick up and the equipment. We lost about 7K. The brother lost the business. He told another brother his side of the story and both were mad with my husband. The second brother passed away 2 months ago on a motorcycle accident. Husband cried for a whole week because they never spoke again.

 

Good choice.

 

Do not ever loan money to family or friends.

 

Best reason to wait is right now ANY year of truck you buy will depreciate heavy and you’ll be upside down on truck in a year or two . Trucks are so overpriced right now . In a year or two he has some money saved and trucks are cheaper .

 

The best way to end a friendship is to loan a large amount of money with expectations of getting it back.

Credit is easy to repair. I took a 540 to 730+ in less than 2yrs. If being an O/O is really his 'dream' (it was/is mine) it will mean more to him to achieve it on his own. Right place + right time helps, but this isn't the time for risky ventures.