New owner operator, problem with truck/trailer financing

I know nothing about car trailers. But that's the best way to do it. Buy from someone you know.

 

The first thing you have to understand is that while a decent FICO score is helpful........getting a commercial loan is an entirely different animal. Buying a car is totally different that buying a truck, trailer or even trying to finance some extra equipment for your truck.

There are some solid finance companies out there that will allow you to lease or lease/purchase equipment with some money down. The up shot is that your payments are tax deductible. Under no circumstances do a lease purchase that is sponsored by a carrier!!! EVER. There are plenty of lease and lease purchase programs available where you have the title and you control the truck.

The other aspect you need to consider is to have money for unforeseen problems (breakdowns, tires etc etc). I dont know how much you know about trucking but be sure to know the business first. Merely buying a truck and driving up and down the road does not make one an owner operator. Its a business. I would forgo the trailer for now and get with a company that will allow you to use their trailers. You will have your handful enough with just the truck. (Baby steps). Plus alot less maint to worry about lol. Also insure your own finances are in order when beginning this endeavor. A truck is a multi headed hydra and all the heads must be fed

 

you can get into a new Freightshaker or Volvo for $9000 at lonemountain

 

Buy a truck with cash. Save up $15-25k while your a company driver and buy the truck while your still bringing in those company pay checks. Spend your weekends and off days on home time working on that truck. Redo wiring and hoses yourself. Treat all the rust and familiarize yourself with all the systems. It will pay off big time when you encounter problems OTR. Get a truck at a real good deal as if you were buying it just to flip it for some profit.

Once you feel that truck is solid from bumper to flaps start your paperwork and when you get close to that day your ready to roll, give company employer notice and finance a trailer.

 

Exsqueeze me? Uh baking powder? The leased truck requires an ELD??

 

I'll second buying the truck cash while still employed elsewhere. Also, I'll add to that, you can occasionally find absolutely awesome deals at auctions, if you've got cash. A coworker of mine recently bought a trailer for $12K at auction, and wound up selling it for $25K with only minimal refurbishment (it didn't really need anything other than a thorough cleaning and grease job).