Quick question about buying first truck

Put the money into an IRA so if you go bankrupt you will at least have something left that no one but you can touch. On the positive side add max annually and keep steady at it .

 

Car lots borrow 30 day money to buy cars if they’re not sold quick they blow them out “This weeks special” in order to avoid a penalty after 30 days Still making a profit. Furniture companies buy furniture on credit and sell it for 3x for 0 dn O% for 1 yr etc meanwhile they sell the contracts for 70% value to investors get the cash and repeat. Most Major Corps. Will be paying their employees tomorrow with $ borrowed from next weeks projections.Really it’s true. A good business plan is buy a paintbrush and a roller get a job make some money then get a sprayer make more money then a truck and employees and so on.Trucking has such a large up front investment a lot of folks would never consider it . Different if you’re a Truckdriver already and probably will stay being a Truckdriver. We have a different actual point of view and interests at stake.Its a risky venture with a lot of uncontrollable unforeseen costs.Im just saying Keep as much cash as possible to best insure your success. If you’re able to save more then pay extra on your Truck.

 

It's difficult right now for new O/O's to get small business loans. If you want anybody to give you a second look, your credit score better be over 800 and you should be currently employed. My score is perfect, but the failure rate is so high for new O/O's that few will give them a break. I wound up selling off some stock to pay cash for a new truck and trailer, and to cover everything else for the first couple months in business.

 

If your buying a 140k truck then I'd finance. I've never spent more than 25k on a truck then usually 10k to get it in good working condition. But I like old trucks. This last one was 18k then 30k for engine and other things it's a great truck now. I just hate to have debt hanging over me.

 

That's about where mine is, but I still wound up financing myself. From financing to insurance, the odds are stacked against us when we decide to be an O/O. But if you beat the odds and play it smart, it's well worth the effort.

 

Mine was 810 but I still had to borrow money at 13%. Banks and credit unions don’t like newbie O/Os.

 

No midnight, credit scores are meaningless.

 

As I discovered. The next truck will be bought with cash.

 

The best Credit score is cash in bank. The whole score thing is a joke. Get buried it goes higher. Money for Trucks is always volatile Lot of theives. I went through around 8 that wanted to “ help” me finance a used trailer 2 yrs ago. Like all things they can and will say anything like 10% do the math and it’s 23%.Got to watch the money traders.