So you want to "own " your own company

I probably would not spend the money at this point, either. The cheaper version might work well for you when the time is right. I would also check out some of the other trucking software, such as Truckers Helper and Easy Trucking. It is good to compare before buying. I know one owner operator who likes playing with computers and he only uses spreadsheets. I didn't mean to sound pushy with Trucknpro. I would suggest you take your time and take it slow. There is no need to jump into buying a truck until you get more driving experience. You have a great opportunity to learn from your Dad. He must be doing something right if he has been able to survive the last few years.

 

Hi, everyone! I'm new here. My long time friend Ralph and I want to start a trucking business in South Texas as investors/owners in order to participate in and benefit from the oil boom out there. We are in totally different lines of business (health care and legal services), zero trucking biz experience. We have close to $100K to invest. We know it'd be many times better to have experience in the industry (as drivers or employees in a trucking company, etc.). Well, we don't. And we can't leave our current business because we live off them. We know it'd be harder to do this than if we had that experience or a full time to oversee exclusively this new venture. Again, we don't. We assume, however, that, with much dedication, oversight, perseverance, etc. it should be POSSIBLE to survive and, in time, to grow and become a solid, profitable business. Would you please kindly share with us tips from your experience about how we should go about pursuing this? (1) At the present time in oil boom related geographies like South Texas or North Dakota, what's the most profitable class of trucking business that a start up like us should choose? (2) What specific type of truck should we buy, how old (we assume we shouldn't go with a new one, right?), for about how much, where (and being overly mindful about which most crucial factors)? (3) Should we target to get work through brokers, or leasing to big companies, or talking directly to drilling enterprises in the region, or..? (4) Any "bible" for starters in this business to read (or workshop/seminar to attend, DVD to watch, course to follow, etc.)? (5) Any other general, most fundamental issues that we should focus on addressing and making sure we get them right (apart from all of those brilliantly presented in the 11/16/06 by NightWind)? We thank you very much in advance for every advice you'll share with us! God bless you all, Steven

 

so end the end can you make a good living in this, or is it a dead-end cycle for little profit?

 

You can still earn a decent living in trucking. You need to be more diligent than ever. If you plan on only buying one truck and then put a driver in it, there is not going to be much profit. Too many drivers will abuse your equipment and some will steal your fuel or anything else that is not nailed down. I would not encourage anyone to buy a truck and put a driver in it without first having some driving experience.

 

G/Man, was your last posting a reply to me or someone else? If to me, what would you suggest me to consider instead if I would want to somehow, by venturing into some type of business, take advantage and benefit from the oil boom in South Texas that demands a lot of trucking support? Thanks!

 

I was replying to you and StanHolmes. It is difficult to advise someone how to invest their money without knowing them and their goals. I have owned several corporations over the years. I find that it is much easier to make a business work when you have at least some knowledge about that industry. There is more to starting a successful trucking business than just going out and buying a truck. Most find that the start up costs are much greater than they might have imagined. I am always curious as to what motivates people to want to buy a truck. If you want to get into the oil and gas industry, I would suggest that you spend some time investigating potential opportunities. If you have $100,000 to invest you could buy 4 or 5 trucks and then be able to afford to hire someone to run it for you. If you wanted to take on some debt, you might be able to buy more by using part of that money for a down payment on trucks. Some of these oil and gas companies may furnish trailers for you to pull their equipment, but many may not. If not, then you will need to count on buying your own trailer.

There could be brokers or carriers who have contracts involving these oil and gas companies. That could help transition into the industry. There could be other support services that they might need. If I were you, I would do a little more research. There is no need to get in a hurry. I expect the economy to have some problems this year, especially if fuel goes up as expected. If I am right, there will be some excellent investment opportunities for those with cash in hand.

 

Since you have no idea of the regulations or the knowledge base needed, I'd stay away from trucking. If you want to earn money off the boom, learn from the goldrush days. The miners very rarely made money, but those that supplied them with necessities made out like bandits.

If I were you, I'd probably try to buy a couple trailers and lease them to independent truckers. You'll be insured for damage, have an asset, and have cash flow. I'd take that cash flow and pay off the trailer asap though and then reap the benefits, since we all booms fizzle out. Try to figure out what's in high demand, and do it. Trucks come with so much regulatory and HR BS that a greenhorn could easily lose everything with only 100k to invest. My .02 and I've owned a trucking company and recruited, hired and fired.

 

Thanks! Very informational!

 

You know the bubble is ready to burst when people that have never been in the business start looking at it as a good investment. Final stage will be when we hear ads on the radio sell this great investment.

Estaban, you are already late to the game. Haliburton has been slowing down in ND and backing out of some contracts and renegoiating others. I am hearing $70-$90/hr for truck and driver in ND. That is down from $125-$140.

 

BigBadBill - are you out there working or just hearing that its slowing down?? Who you hearing it from?? Just curious. My brother and I are looking into heading out to ND and after reading some of these posts if it is going to make sense. Thanks