OTR Driver .45/plus monthly profit share

I find it interesting that there is a one year provision prior to ownership outright of the tractor. That's should be a nice reward for the right driver aspiring to own a tractor someday.

Although I did not want to be mistreated as someone stupid if I should ask the one question as to why the owner has decided to title the tractor over to a good driver after 12 months together.

 

My guess is he's in a 5 year lease purchase with one year left. If he turns in the truck now he loses everything in the maintence/escrow account. If he can find a sucker to drive the truck for a year he thinks he'll be money ahead.

Yes, it sounds like a nice idea for someone looking to get into O/O, but a deal like this is fraught with pitfalls. There are so many ways both parties in the deal can get screwed. When I was thinking of investing in real estate I was reading a "book" by a "succsesful" real estate "guru". One of the few unique or helpful things he said was about understanding the motivations of the seller. If a multifamily property is owned by 4 doctors, or 4 lawyers, or 4 ____(fill in highly paid profession)_______, you can almost always "win the deal" because they don't/didn't know what they're getting into or how-to do it well.

It's like the home cook who always gets great compliments trying to open a restaurant. It's a whole different way of cooking, buying, etc. Sometimes it's better to stay in your wheelhouse. Nothing ventured nothing gained, but putting everything on a toss of the dice is gambling, not venturing.

 

Thank you very much for your well written thoughts.

I have managed by reading this post expanded my thinking to cover the issues your brought up and I have somewhat changed my position for all parties involved in this oppertunity.

It might not be the best way forward.

 

No, I'm just really not as skeptical as you seem to think I should be.

 

Stacking the deck in your favor.

Stacking the deck in your favor Pt 2: Getting started on the right foot.

Double Yellow's Company Driver to Independent Thread

THE ADVENTURES CONTINUE - DFO gets a truck and hops on Schneider's IC Choice Program



Give these a read before you sign on the dotted line

 

Nope. Not trolling. I'm just checking in to see if Phil responded to anything yet.

 

Define "Other expenses please. 500 seems excessive."

 

First, kudos on doing some leg work.

4,000 miles a week in a solo truck is pushing things. Hitting $2/mile is very doable if you're running flatbed or reefer, not so much van. But even with the best case you presented (running really hard for great rates) you're still going to be making justt a little more per mile than I do as a company driver hauling a dry van. In your worst case you'd be making less. Remember to take out 3% self employment tax and health care.

Save up $10,000 and get your own truck, sign on to mercer or landstar. You'll have more control, less risk, and a higher net.

 

500 actually sounds reasonable to me - plates, insurance, maintenance. Total expenses are right in the ballpark, not broken out how I'd do it, but the total math works out, if a little light, but I tend to plan for the worst.

From everything I've seen one truck owners tend to run .80-1.05 per mile for all fixed and variable expenses, median seemingly .90-95.