I would like to know if it is profitable to lease multiple trucks on with a company (triple crown, dart, landstar, etc.) and hire drivers as sub-contractors paying them a percentage of the miles run? I come from the expediting side of things where this is quite common and can be profitable. Is this feasible in non-expediting freight??
Fleets?
Discussion in 'Ask An Owner Operator' started by Gearhead, Feb 16, 2011.
-
-
Trucking Jobs in 30 seconds
Every month 400 people find a job with the help of TruckersReport.
-
Generally you will find that in order to keep a driver as a sub-contractor you will have to pay them a higher "per mile" wage than average. Very few drivers that know what they are doing will work for percentage as a sub,especially with general freight. Without benefits and stat holiday pay.........you need to "sweeten the pot" to keep them around and productive,that will mean a good per mile rate.
I think back in the 90's this style of company was in vogue for many owner operators or "fleet operators". Unfortunatelly with the price of feul, rates contracting and having to deal with disgruntled drivers and the company they pull for, many have gotten out of it.
Hauling general freight with Sub contractors in your trucks can be risky. It can be hard to find a reliable driver to care for your equipment and that will do the job at hand well. One bad driver can easily wipe out a months worth of profit from the truck(excessive idling,overfeuling(feuls in every state they pass through),late deliveries/pickups,tickets etc).
If you want to peddle freight with subcontractors as drivers......stick to expedite. The higher rates will help keep you afloat(especially if driver leaves or you have idle equipment for whatever reason) and the bigger paychecks will keep your drivers happy too.
General van freight is a tough gig. Especially for a fleet operator. -
Do you know your cost per mile with driver pay? Dart pays by the mile so it would be easy to come up with the answer.
Trucking Jobs in 30 seconds
Every month 400 people find a job with the help of TruckersReport.