Lease Purchase Programs only for "single drivers"?

Discussion in 'Lease Purchase Trucking Forum' started by cangarooo, Jun 2, 2021.

  1. cangarooo

    cangarooo Bobtail Member

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    Jun 2, 2021
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    Hi everyone. Here is Mike. Before writing my request, let me say that I’m new to the trucking industry so please, be gentle with a rookie, especially if the questions I’ll make may sound stupid or if the terms used are not correct at 100% . Thank you!

    I’m based in Europe and studying the different models of Lease Purchase Programs available around the world and so far, the US approach is definitely the most advanced.

    The standard model requires a “single driver” which owns a CDL to Lease the truck for a certain period and to drive under the Leasing company authority.

    Anyway, there’s an approach which I’ve not been able to find any information on (and I don’t know if this is an existing common practice).

    Instead of having a “single driver” Leasing the truck, would it be possible for a registered company (without Authority and with available drivers) to access to a Leasing Purchase Program?

    I just saw offers for “single drivers” that need to anyway run this under 1099 status so, I was wondering why it would not be the same to have an LLC (as example) to Lease the truck and made it available to their drivers?

    Hope I’ve been able to express well my request and I really hope to have your valuable feedback on this.

    Thanks in advance for your help.

    Mike
     
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  3. Brandt

    Brandt Road Train Member

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    Most of the lease trucks in USA are from the trucking company you work for. You agree to work for them. They will lease the driver or team drivers one of their trucks. That's were the problem can be. Because they tell you how much the lease payments are and they control the rates you get per mile and the also have control how many miles you can drive, they control the loads. The trucking company takes drivers that don't have any money or credit and lease them a truck. They usually charge very high lease payments.

    You could go and lease a truck from a real leasing company but it would be much or difficult because most drivers don't have good credit or any money.
     
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  4. truckdriver31

    truckdriver31 Road Train Member

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    yea but you telling everyone at the petro. you are a owner op is priceless
     
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  5. cangarooo

    cangarooo Bobtail Member

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    Jun 2, 2021
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    Thanks for the reply Brandt.
    So, if i got it well, the option of accessing to a Lease Purchase Program as a Company is doable, am I right?
    Do you have any example of Companies offering this option?
    It would be great to have the chance to discover more.
    Thanks again
     
  6. Brandt

    Brandt Road Train Member

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    Prime Inc in Springfield Missouri is does a lot of new driver leases. They are walk away lease. You can turn truck back into company anytime you want and just walk away or quit. The catch is they charge something like $1,100 week for truck payment. Almost nobody finish the lease. Most driver fail or quit.

    They lease you the truck, not to a company. You can setup your own company if you want for taxes. You are the one responsible for the truck payment every week. The take the lease payments from your paycheck every week. So they get paid first. If you have a slow week they get paid first and you might not have any money left over for yourself.
     
    Last edited: Jun 3, 2021
    Jarhed1964 Thanks this.
  7. Brandt

    Brandt Road Train Member

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