Is this doable?

Your authority or theirs?

 

What is the fuel surcharge based on? And the running under their authority like big john asked and is that loaded out and empty back or loaded both ways?
The insurance will be doable but I can't recall what load insurance was. You will be paying yourself company driver wages at about $1.2? to 1.30 a mile but you will need to build a repair fund real fast with any profits so that doesn't stress you. You will be suprised at all the squeaks rattles and smoking that starts when you deplete your repair fund.

The part that bugs me is the fuel surcharge. What is it based on and when can it be renegotiated? We have not hit the bottom of the economic collapse yet so what happens when fuel goes down to $2.00 a gallon then back up to $5.00 a gallon a few years later? The fuel surcharge pays for fluctuations in fuel prices and is not designed as a profit generator so I would feel a lot more comfortable if that base rate was better.

 

Sounds interesting. Seems like a good place to start w/ a customer but now you need to work up real numbers on cost of going into business. You need details on exactly what equipment you need and where to get it. What type of tractor is best? What trailer? Talk to other o/o's at this co. or others like it for these answers and details as to the business arrangements and requirements to operate (profitably.) Margins are slim and you need to find out how much it's going to cost and how much to budget for maintenance and replacement of equipment. How much income you can expect, etc. What are your exact requirement for income? You have to set aside for retirement, for taxes, etc. Health insurance? What insurance will the carrier require you to obtain? Accidental injury? Liability?

 

You have to tarp that lumber? I have seen some outfits in Arkansas that are hauling directly for the mill or the lumber company also is in the trucking buisness. Flatbed freight is slow and building is slower I would talk to some of their owner operators and see what their doing.

 

There is a standard formula most carriers use for the FSC . Some just use the given formula and some adjust it to be more appropriate for their trucks . I believe the formula is based on a truck getting 5.5 mpg . If you get better mileage than that it's to your benefit .
I know some hotshotters that get 9 mpg or better . They calculate a fuel surcharge on that and use it as a sales tool . They show customers they charge less FSC than carriers using class 8 trucks .
The only thing about FSC is as a rule it is only paid for loaded miles and not on deadhead miles .

 

Sounds pretty good to me. One of the biggest pluses is you keep running if that's the case.