Is it better to lease or buy your truck?

I never leased any of my trucks. My first trucks were company trucks as in I started out a company driver then from there I purchased all of my own trucks from there. How about deciding what you REALLY actually want out of this to start with. Is it to have your OWN truck or is it to to be the most profitable business person ? Sounds like a simple question but most people in this position simply just want there own truck , that’s not a business plan that is just a young person who wants a truck. What do you plan to earn in CPM on a gross revenue basis ? Then what is your CPM on a lease payment ? Compare those 2 numbers.

 

OK, I think I remember that one. The blue T600 that Ardis hotwired that one night, and borrowed from the Petro at Exit 666....

 

Depends on the terms, of the lease.

With the company we're contracted to (we're O/O), on the leasing side:

Lease Option - You will pay for that truck - even though you're nor buying for yourself.

By the time the lease is up, the weekly truck payments for the lease has paid for that truck each year you've leased it. But the company keeps the title and has the right to sell that truck at anytime. They also control PM's - when & Where they are done, but the driver pays for it out their Maintenance account. Driver is limited on any modifications, mechanical & physical, done to the truck.

Purchasing a truck

Option #1 - The TAP Program

Brand New Truck from dealer spec'd to drivers' requirements. Driver can do "some" modifications physically to the truck. Company still can control part of the maintenance & operation of the truck. Usually takes about 4yrs to finish paying off the truck.

Option # 2 - 4yr lease With Buyout

Brand new truck .You have 4yrs to make your weekly payments (which are lower than the Lease Option). At the end of 4yrs, you have a balloon payment to finish purchasing the truck. Driver has complete control of physical & mechanical alterations. Unlike the TAP, the truck doesn't get spec'd up from the dealer though.

 

Bought truck and trailer cash, lease payment is due every month whether you work or not, as is insurance, which is expensive enough starting out, if you are moving your own product or have dedicated customers with multiple loads/drivers I can see leasing, single truck o/o As much time as I’ve spent behind the wheel I’m happier having a truck with no note so I can work less and have an actual life.

 

i will give my example of why its different for everyone.

i rented furniture from rentway, now just saying that sounds like a horrible idea that i would never do but heres what happened...

i moved into an apartment to be near a job that got me home most days where the apt was, i wasnt sure how it was gonna work out so i rented furniture, something i was always against, when i realized i was staying at that job i went into the rental place and asked what it would cost to pay off my furniture, i then checked the price to buy that same furniture brand new, it wasnt worth it to move out mine and move in a brand new set when the furniture i rented was in almost new condition. so i kept it, 13 yrs later i still had that furniture.

the point is i think the idea of renting furniture is a horrible idea but it suited my needs at the time.

 

Buy all the way, if you are in for the long.

 

What is BYOB&CBD ? Ate these truck leasing companies

 

paging @TB John It's a blast from the past, nothing to do with leasing.....

 

Aww ok , I can think over things just thought it was abbreviation for some companies lol