What does it mean "to run it like a business" for a solo o/o?

Is about excelling in numbers, staying organized, expending into a fleet, ambitions?
What does it mean for you?
OR Even better, give me an example of what the opposite thing would be... such as in "that guy has own authority, truck and trailer but he does not run it like a business...."

No trolls or smart arse remarks, please.

 

Blow all your earnings instead of investing them.

Yeah, numbers all need kept up with too, otherwise you never know where you make, and where you lose money.

Everybody's ambitions are different. I have no interest in adding trucks or hiring drivers, others might.

I want to do my thing, less stress.

I still need to run it like a business.

 

Duly noted.
Blowing earned money instead of investing
I think it is also dependent on how a frivolous person is with money vs. much disposable income the business affords him. Is a person, who can't make enough revenue to support his daily living due to a variety of reasons, running it not as a business or rather he is, indeed, running it as a business but it is done poorly, OR is the business in itself run correctly but not commensurate with that person's foot of living?

 

OR another common phrase that is antonymous the one in the thread title "Buying a job" as in "He does not run it like a business, he just bought himself a job...".

I grapple with this one too.

Again, is it money earned, is it forced dispatch and too micromanaging from the carrier which you're leased on, is it not having you name on the equipment title, is it not having your own customers, is it running for 1.00 per mile +Fuel Surcharge - but then is running 1.50 dol per mile on the stop market not the same? Is it Money, is it Ethics, is it a certain behavior encompassing all and if so, can it be concretely defined?

 

One person working a job can only earn so much. Even if you are getting paid $5 a mile. Get a second truck and pay a driver $2 a mile you can increase your income.
Buy a house and rent it out, in 15 years it is paid for and you get the rent every month. Plus you can sell it when you retire.
Multiple streams of income will make you wealthy and keep you safe if one fails.
Grandma always said don't put all your eggs in one basket.

 

I believe in running my operation like a business, I do my paperwork every week, take out a salary. invest in a pension fund, either a Gov't run program or through an insurance company. I do my percentages every second week, that alone lets me know if I'm actually making any money or running for the sake of running. My maintenance program includes one day per week to check out any defaults or potential faults in the Rig. I have found that taking care of the small stuff in turn takes care of the big stuff. I'm actually off this week doing maintenance, have run hard for 2 mth's and this week is spending time first with Family then repairing the wear and tear, new rubber on the drives, oil change, filter's changed including my air dryer filter and fifth wheel bushings and the mechanism underneath the plate to keep things tight. Also my air filters will be changed, have driven on some really dusty roads this Summer. Keep the engine breathing easy and should last a long time with the exception of something breaking inside of it. And spend time with the Wife and Family and eat some really good food. Life is good.

 

Does it even make sense to talk about "run it like business" when you're a solo and don't want to hire and expand? If it does not, what is it run as then?

 

No I disagree with all of that.

Running like a business means you have your crap together. When you speak with customers you speak like a gentleman. When you present yourself no offense to anyone, but you're not a slob with your crack hanging out the back and your pants around your rear end and you're wearing pajamas and flip-flops.

Run it like a business means that you make money. You make money you keep track of your money you keep track of your billing you keep track of your customers you run it like a business.

 

So you're putting stress on the etiquette and organizational skills. It is a view from a different angle but IMO personal looks and behavior should always be a part of an appropriate personal culture. But you're right, in trucking especially, it should not be taken for granted, as a matter of fact, it is more difficult to find.
In my view, there are two crucial elements. 1. One needs to separate business from personal life, so that there are no emotional influences, often in conflict with what it is beneficial for the business and then 2. Clearly defined goals, knowing what you want that goes beyond a certain net revenue amount - although this is a litmus paper of the efficiency. The goals are all too important, otherwise, it resembles a headless chicken run.

Doing it as a job may be also very lucrative and convenient, and importantly, not excluding the necessity staying on top of things with ethics, etiquette, ability to account for money, but without ignoring or secluding, sacrificing personal life aspects. For instance, when the rates are good, and the family's wants to go on vacation, you as a business are not distracted and do focus on revenue and how closer it will get you to you goals, or if you need to replace a truck, and your house needs an upgrade, you only focus on the truck replacement. So on, so on.

 

pay yourself a wage, on par with what you would pay a driver. reassess when you close out the year whether (or not) you can take more

keep track of your costs in a dozen or 15 sensible categories

feed that maintenance account constantly so that it is there when you need it

feed the ownership account constantly even if its paid off, so you can upgrade eventually, or do major rebuild

act professionally