Have 80K to invest and want to start a trucking company looking for advice

One truck cannot support a hired driver and the owner. The money isn't there. I'm calling BS on anyone who claims to profit $4,000 a month off that arrangement. If you're going in with one truck and want to make money you better be behind that wheel making sure it happens.

 

Thats .30 to .50 cpm profit using 10k miles per month as an estimate, if my math is correct. figure close to $1 a mile just for fuel and driver (for a good driver) so the loads have to pay you at least 1.30-1.50 per mile plus whatever you set aside for maint/tires etc. I look forward to hearing about your journey. This is just like planning any mission you did in the Army, plan, plan, plan then plan some more. Work real hard to identify all your risks then put measures in place to mitigate those risk as much as possible. Understand that just like in an op, anything can and will go wrong at the worst time. Get everything in writing, hire a good driver and pay him well, take care of him just like you do those privates. You will be ok, Good luck and keep us posted.

 

It's possible but before paying the driver. So what's left for the owner?

 

I think the op originally stated that he plans to work while he is getting this up and running so he isnt planning on paying himself initally. Sounds like his focus right off the bat is getting the company up and running before he plans on making anything. If thats the case then it can be done. It probably wont be easy but it can be done.

 

It won't make anything that much is for sure. How does a one truck owner not driving the truck compete with carriers paying on W2, offering a fair wage, offering retirement options, and health/dental benefits? I mean the kind of driver pool he's looking at are bottom of the barrel rejects that probably couldn't hold a job at a decent company and have the resume to prove it. The key to the entire thing here is the driver and this plan seems to assume a driver that will do a good job as a given. Looks like a recipe for disaster to me.

 

Ask him to show you some detailed information on loads, miles, deadhead. He should have that info if he keeps good tabs on his operation. To me his comment is a red flag. A vague" I get $2 a mile on everything" means. If his loaded miles rate is $2 a mile then he is hauling cheap freight and probably averaging about a $1.50 all miles in. You better be getting over $3 a mile consistently if you want to cover deadhead, joyrides your company driver might take on a whim out of route, etc, etc and average $2. It is easy to get $2 a mile freight it's a little more challenging to keep an average above that.

 

2.00 on ALL miles? or LOADED miles? will make a big difference. His cut will also come out of that, even if it is only 10%, you are down to 1.80 ...

I have been kicking this around also, for when the day comes that I will want to get out of the driver's seat and leave the driving to someone else. It is a long way away ... I figure it will take at least 5 trucks running at full capacity in order for me to make what I make now, and not have to do any driving. By the time you put the money out for truck/trailer payments, insurance, pay the driver (me) a good wage, pay for repairs, pay all your IFTA, tolls, OR, NY, NM, KY, then take into account the time you loose from things beyond your control, there is very little left for the company ... I am lucky to have a paid off, old truck, gets decent fuel mileage, and is next to indestructible (knock on wood)... I am paying off my trailer at an accelerated rate because of this. Just because I don't have a new truck payment, doesn't mean that I never will. Also - if I tried to put a driver in what I drive now, hah, good luck ... an old freightliner doesn't appeal to the company driver, but it does to me because IT MAKES GOOD MONEY.

I keep coming to the same conclusion, an AVERAGE of 1,000 to 2,000 per month, per truck, someone else driving it, would be about as good as you can do ...