Own Without Operating?

Discussion in 'Ask An Owner Operator' started by semiserious, Nov 7, 2015.

  1. semiserious

    semiserious Bobtail Member

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    Nov 6, 2015
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    Hey everyone, I'm new here. Enjoying all the reading. Lot's of good info here and have learned a lot.

    Quick Question: I have a full-time job that I'm happy with. I have some money ($25,000) to invest. I'm considering starting a company, buying a truck, getting all setup, and hiring a driver. From what I'm learning on this forum, with all costs considered, and paying a driver, it's possible to run approx 100,000 miles a year, for approx $200,000 in revenue, and possibly come out with $10,000 - $20,000 "profit" if all goes well.

    Obviously, if I didn't have another job this wouldn't work because nobody can live on $10,000 a year. But I love the industry (I used to pull doubles in the midwest about 12 years ago), and I have a lot of sales and accounting background so I'd be good at the paperwork side of the business to keep the driver out there running. And wouldn't mind jumping in the truck from time-to-time.

    The downside I see is the high-risk. The upfront investment, a loan to pay the bills while the checks are coming in, and running a $200k/year business for $10,000 profit may not be good return on investment. Seems like one accident, or a bad driver, or repairs on an old truck, or tight margins if I have to use brokers too often, could sink the ship.

    I'd really appreciate any advice or tips from everyone. Like "Go for it as long as you ______", or "Don't do it unless you ______". Or "Run away while you can". haha.

    Thanks in advance for any help.
     
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  3. truckon

    truckon Swamp Thing

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    Like I'd tell you!
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    Dont do it unless your looking for a way to lose money.
     
  4. Blu_Ogre

    Blu_Ogre Road Train Member

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    Chasin the $ out west
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    $25k up front is not enough money. You could by a truck or a trailer (most likely not both) but you have no mistake room. One repair or a set of tires and you are negative on the balance sheet.

    Which takes the priority when the truck is having issues? The truck (a side business) or your real job?
     
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  5. duckdiver

    duckdiver Road Train Member

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    That's a ton of work and headache for 10k. Keep in mind quality drivers work for themselves or companies that pay them well and give them benefits.
     
  6. semiserious

    semiserious Bobtail Member

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    Nov 6, 2015
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    Thanks. The $25k would be for some start up costs and truck payments, etc. I would buy/lease the truck and trailer and have payments.
     
  7. Skate-Board

    Skate-Board Road Train Member

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    No, you can't to your first question. $2.00 for all miles!!! NO WAY!!! How are you going to pay for fuel and a driver if your invoices are out 40+ days. I could go on and on about your plan but no way!
     
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  8. Superhauler

    Superhauler TEACHER OF MEN

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    keep stroking.
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    there is a running joke. how does a truck driver make a million dollars. start with 2 million dollars.
     
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  9. bubbanbrenda

    bubbanbrenda Road Train Member

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    "Run away while you can" (NO haha)
     
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  10. Accidental Trucker

    Accidental Trucker Road Train Member

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    What are you going to do when your truck is in Miami and your driver quits?
     
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  11. rank

    rank Road Train Member

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    You have some money to invest? If you have only $25k, you have nothing. You need $100k...... That's before the divorce. Forget it.
     
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