Buying a truck to lease!

Don't worry they are not stupid questions, you have to learn somehow. Like you I had similar questions when I started and still don't feel like I know jack about trucking.

You do not need a CDL to buy a truck, what most people do is what is called owner operator but in your case you are no driving it, but you will have a driver, who can split the profits with you. So for example you will both agree on a percentage you will get and what the driver will get. The maintenance and upkeep of the vehicle is all on you.

The driver will be most familiar with where to park the vehicle since this is his profession, you can't park it since you do not have a license to drive the truck.

you do need an LLC/Corporation in order to get the authority to run this business. This authority is given by the DOT like you mentioned.

After you get your truck and all Authorities( you may want to get an agent to walk you through this process) then you can post your add on Craigslist, Indeed or any other job board to look for a driver.

Check on the Owner/Operator Forum for more info.

 

You don't NEED a corp. or LLC but it would be wise to do so.

 

It’s hard enough for someone who buys their own truck and operates it themselves to make a good living leasing on to a carrier.

How do you expect to finance a truck, have a maintenance fund for it, pay your bobtail insurance, pay a driver, and have anything left over for yourself when those who run their own trucks aren’t making that much leasing on to a carrier?

Thiers just not enough cash running one truck under a carrier’s authority to give 2 people a livable paycheck IMO.

 

Companies wont lease your truck like that. They will lease their operating authority to your truck so they can have monetary gains from your earnings. You will make a truck payment, pay all insurance, all fuel, all maintenance, all driver pay, and yes there is more all the while the company leasing your unit takes their percentage for letting you run only for them. What a deal huh. DONT DO IT

 

Like maggard359 said it doesn’t work like that but even if it did the same question would need to be addressed as I am fairly sure any driver you find would like to be paid somehow.

A truck working under a company’s authority can only make so much money. Having one person lease the truck from another will not magically increase the money a truck will generate. There is just is not 2 paychecks worth of profit to be had.

 

Whoa there... OK here are the right answers for you.

But before I post them I have to say something.

I do this, it isn't what you would think as a money maker, it is being done for a specific reason that I won't get into.

It isn't easy to do. Your capital is tied up with a venture that can cost you money and leaving you without control of the truck itself.

Most of the issues you will have is making sure that the truck maintenance is done on time and right - a control issue.

the other part of that control issue will be learning how to find the right people/company for that truck to be used, YOU WON'T be like Ryder or Penske but more or less having an idle truck more times than working.

That said ...

Answer #1 - No you don't but ... you should have at least a year worth of road experience, lots of money to hire people who know what they are doing to help you first set your company up and then pick the right truck for your target segment in this industry.

Answer #2 - You should read answer #1.

Answer #3 - Forget the LLC, it is useless for this, your liabilities are too high on a "sub-lease" so the only form would be a corporation and not an S-Corp.

Answer #4 - NO, you do not. BUT you will need to know exactly how leasing works, it is not like leasing a car or renting a truck from Ryder/Penske.