Simple question, l wanna start business as a truck owner and hire a driver so l can haul for some copmpany, do yall have any suggestions what l should be aware of and what is the best way to do it? thank you so much
What do l need to do to start my company but not being a driver
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One truck?: only if you have another WELL PAYING job to cover your living expenses and have enough in savings to cover up to 25k dollars in breakdowns for the first six months. Also, every penny goes back to the business.
Pay the driver very very well, an include him/ her as a part of the growth of the company if applicable. Don’t lease a truck, purchase one. You’ll pay 40% down as a first time buyer and no CDL.
Then, contract to a carrier that accepts “small fleets” and basically handles everything, but learn all of the things they are doing for you.
Prove that your business model works, then get truck number two and so on.
I drove from 1993-2004 and with todays regulations I had to completely re-educate myself. It’s tough, frustrating, but it’s do-able.
Remember driver happiness leads to driver retention and loyalty.
Always think of the driver first. From buying the equipment to paying them in rough times.
Don’t expect a profit. It looks good on paper but 100% goes back to the company for as long as you can.
5-700 per week after the bills are paid? Sure but one tire is “how much”? Full service with filters?
I did exactly what you're trying to do. I bought a truck, leased on to a company, I'm doing local work. My intention was to put a driver in the truck withing 3 months. Doable right? It sure seemed like it! NO. The company I leased on to sucks. Most companies you lease onto will suck. I'm making decent money but I'm driving myself while I look into other options, own authority, what loads to pull etc.
Long story short- IF I could not drive this truck and HAD to put a driver in it I would be out of business by now. There would be barely any money left over for me to make a profit after paying for everything.
One piece of advice I can give you is... Do the numbers. Dont sugar coat them. Increase expanses, lower the income and see if you're ahead.
I dont know if you have any experience in this industry. If you do have two years in, great. Try it. Its always worth a try. If you never drove a truck you will be out of business by the second truck payment. Driving the truck and blind side bumping a dock in NYC is the easy part of this business.
In addition to what xairx is saying, I forgot to mention that you will need to interview many many many drivers and hire one. Then hire someone to tow or get the truck when he abandons it. (Exaggerating but it happens).
Yes companies suck and getting 1.75 or more a mile after they take their percentage will seem like a good load for you.
Once again I emphasize, have another full time well paying job to support yourself!!!!! One truck is just to prove your business model.
Don’t quit that well paying job until it’s proven and you are profiting 2Xs what you were getting at that well paying job.
Why would anybody even think about starting a company with a hired driver and lease out, is beyond me.
I take it the op has some freight lined up, and wants to start a company, if that is true.
You will need to file and get your authority.
INSURANCE is a killer the first few years and dictates who you cab hire for a drive too.
Next you need a driver lined up, a real driver, a wannabe or even an average driver will not do for a one truck company. Now this driver is probably 1 out of a hundred or more of qualified, and already has a good paying job with bennies. You will have to sweeten the pot, to ever get one, and even then will be etremely lucky.
Now you will need a trailer, maybe more than one depending on what kind of deal and freight you have lined up.
Now here is the kicker, unless you know something not another soul does, that freight you have lined up is probably not paying enough, or they would not need someone to come on board and haul it, companies would be lined up trying to get in on it and cutting throats if will pay expenses, and their expenses will normally be much less than a start up co.
Now, if you do somehow come up with a great paying gig, swear yourself, your driver and somehow the shipper to secrecy, because in no time at all, their will be someone their cutting the price weekly.
OH yea, what you need to start is money, plenty of it, and luck, plenty of it too, a little faith may not hurt either.stillwurkin Thanks this.
I doubt there is any statistics about failure rate for someone who:
1. buys one truck
2. puts a driver in it
3., leases it on to a carrier ----- hoping for a guaranteed and firm income like it is some annuity.
but I would not be surprised if it is 99.999%.Last edited: Sep 4, 2019
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