SHORT TERM LEASES, (6 month)

Discussion in 'Ask An Owner Operator' started by Nahbrown, Oct 7, 2023.

  1. Ridgeline

    Ridgeline Road Train Member

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    You lack the knowledge to make a go at it, you've been doing this for how long, less than 6 months, there is a lot more to it than just leasing on with a company.

    Look I see it this way, the more prepared you are, the more successful you will be. The failure rate, in the industry is above 90%, close to 95%, and many of these are drivers who waited, learned as much as possible, and still failed.

    But as DD said, you have your mind made up, so ...
     
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  3. Nahbrown

    Nahbrown Medium Load Member

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    First of all I am not a fool so if you gave me specific reasons that applied to us then I would absolutely hold off. You refer to generalities but nothing specific that we need to learn. You are absolutely correct we are new. Only graduated CDL school the first week in April, so just over 6 months and by the time we make the transition to O/O we will probably be at a year.

    i know this though if I stay a company driver I will not learn anything about the business side of trucking. You stay comfortably numb to anything other than what it takes to drive, deliver and reload. Even if we fail I will get one heck of an education of the specifics of why we failed.

    If our company didn’t have contracted rates with many companies I wouldn’t even consider this right now. Our Owner Operators make their money out but often are slim margins on the return load.

    If our personal financial situation was like it was in our 20s and thirties then I wouldn’t even consider it right now. Its not, being debt free with a military retirement gives us options to take some risk.
     
  4. Siinman

    Siinman Road Train Member

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    Just buy new or buy one with very little miles on it if you are a team. Also if you plan on only driving team for 5-10 years then it would be wise to buy something with 100-150K since you will turn those miles out fast. Also make sure you get something that gets great fuel economy. If you are ready then just pull the trigger.

    I don't believe you have a chance at all of getting a rental or 6 month lease truck to be honest without being in business for 3-5 years.
     
  5. Siinman

    Siinman Road Train Member

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    I went on my own out the gate on my own authority with NO Driving experience. Don't let the nay sayers talk down on you. If you have common business knowledge you will do just fine. The driving part is the easiest part of the whole business.

    Only thing I would say is track your numbers on the company truck and see if it makes sense to run your own truck after knowing the numbers with them. Get with the other O/Os that work there and see if they will share the cost side from the business like Insurance and whatever they charge to run under them.
     
  6. Big Road Skateboard

    Big Road Skateboard Road Train Member

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    I want you to succeed, and I'm sure everyone else here does too.

    I'm like @Siinman, i started with zero experience in freight, or trucking in general. But i had thorough knowkedge of truck and trailer repair, and a 20 year old CDL i hadn't used.

    And while I am 100% behind anybody who has served. That discipline doesn't always make great business owners.

    Great luck whatever you decide
     
  7. Nahbrown

    Nahbrown Medium Load Member

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    Im going to talk to 2 or three companies that rent/lease to see. I was hoping someone here had a recommendation but this seems to be an off the wall idea. I don’t know if a large deposit or paying 3 months upfront would matter. Either way this option is my least favorite because the money is lost and not applied to any principle however it’s the least financial risk if you are just starting out.


    When we make the move it will probably be to purchase a low mile used truck.
     
  8. rollin coal

    rollin coal Road Train Member

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    What everyone is telling you, it's a dead end. You're not an established business none of the places that do it will talk to you about it. It's expensive even when you can do it. And honestly you two haven't figured out how to take a shower every day and not interfere with a schedule? A team on ELD's?
     
  9. Rllnlion

    Rllnlion Bobtail Member

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    When you say made 140k is that gross or net?
     
  10. Constant Learner

    Constant Learner Medium Load Member

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    If they rent a truck to you, and they probably will because they don't have any business, you will have to pay them $1000+ weekly plus 20 cpm.
    If you drive 5000 miles per week, you'll have to pay $2000+ every week...
     
  11. Long FLD

    Long FLD Road Train Member

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    Back in July my truck was down for a week in KC for an injector. I was loaded for Phoenix and already had a reload coming back. I checked with PacLease in KC because they had trucks available. I will tell you that it made zero sense for me to try and rent a truck to do my round. The office moved some things around and a guy coming back from TX grabbed my trailer and went made all the drops. I don’t remember the exact terms but it wasn’t worth what they wanted to get paid for a truck. I rented a car and came home for a week.
     
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