Thinking Of Becoming An O/O

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Tony O.'s Comment
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Thanks for everyone’s input. Robert B. You got it. That’s the intent. To buy a truck out right (no loan payment) and signing on with a company. Because Home Time won’t really matter much since all the kids will be grown and gone and with the wife as my ride along partner we would be in a situation that we could run as much or as little as we choose. We’re in our mid 40’s with still having time on our side (hopefully) We want to be able to still spend time together and make enough to make ends meet. The plan isn’t to get Rich, it’s to be happy in life and make a little while we’re doing it.

Hey there Tony. As you've noticed, the vast majority here are opposed to it and for some very valid reasons but let's clear a few things up because I think some of the responses didn't completely understand your plan. Fortunately, the profit margin has increased in the last few years from around 3% to between 6 and 7% which is a nice increase but doesn't make it any less difficult in a competitive market. Leasing a truck from a carrier to pull their freight is a very dicey decision to make but that's not what you mentioned in your opening paragraph. Your intent was to purchase a truck and then lease it on (huge difference) with a carrier which is what the vast majority of owner operators do. The advantage is that you run under their authority, under their insurance (saves money) and gives you access to their fuel and maintenance discounts. That being said, it's still a difficult road to travel with plenty of stumbling blocks along the way.

My suggestion would be to start out on the company side so that you could be making money and learning freight lanes, rates etc and then after a while, if you still have that itch, at least you're more prepared and have gained more education into the markets you're potentially wanting to run in. Dry van is by far, the lowest paying freight. There's a ton of it and lots of competing companies fighting over every penny. The most successful folks tend to steer toward more specialized freight that pays quite a bit more and they don't have to run as hard. However, those folks didn't just jump right into it either. They built their reputation and in a sense, earned their way into that side of hauling. OOIDA has a ton of information regarding everything owner operator , including seminars, webinars and business classes tailored for the trucking industry. It would be your most valuable resource.

Hey there Tony. As you've noticed, the vast majority here are opposed to it and for some very valid reasons but let's clear a few things up because I think some of the responses didn't completely understand your plan. Fortunately, the profit margin has increased in the last few years from around 3% to between 6 and 7% which is a nice increase but doesn't make it any less difficult in a competitive market. Leasing a truck from a carrier to pull their freight is a very dicey decision to make but that's not what you mentioned in your opening paragraph. Your intent was to purchase a truck and then lease it on (huge difference) with a carrier which is what the vast majority of owner operators do. The advantage is that you run under their authority, under their insurance (saves money) and gives you access to their fuel and maintenance discounts. That being said, it's still a difficult road to travel with plenty of stumbling blocks along the way.

My suggestion would be to start out on the company side so that you could be making money and learning freight lanes, rates etc and then after a while, if you still have that itch, at least you're more prepared and have gained more education into the markets you're potentially wanting to run in. Dry van is by far, the lowest paying freight. There's a ton of it and lots of competing companies fighting over every penny. The most successful folks tend to steer toward more specialized freight that pays quite a bit more and they don't have to run as hard. However, those folks didn't just jump right into it either. They built their reputation and in a sense, earned their way into that side of hauling. OOIDA has a ton of information regarding everything owner operator, including seminars, webinars and business classes tailored for the trucking industry. It would be your most valuable resource.

Hey there Tony. As you've noticed, the vast majority here are opposed to it and for some very valid reasons but let's clear a few things up because I think some of the responses didn't completely understand your plan. Fortunately, the profit margin has increased in the last few years from around 3% to between 6 and 7% which is a nice increase but doesn't make it any less difficult in a competitive market. Leasing a truck from a carrier to pull their freight is a very dicey decision to make but that's not what you mentioned in your opening paragraph. Your intent was to purchase a truck and then lease it on (huge difference) with a carrier which is what the vast majority of owner operators do. The advantage is that you run under their

Owner Operator:

An owner-operator is a driver who either owns or leases the truck they are driving. A self-employed driver.

Dry Van:

A trailer or truck that that requires no special attention, such as refrigeration, that hauls regular palletted, boxed, or floor-loaded freight. The most common type of trailer in trucking.

OOIDA:

Owner-Operator Independent Drivers Association

Who They Are

OOIDA is an international trade association representing the interests of independent owner-operators and professional drivers on all issues that affect truckers. The over 150,000 members of OOIDA are men and women in all 50 states and Canada who collectively own and/or operate more than 240,000 individual heavy-duty trucks and small truck fleets.

Their Mission

The mission of OOIDA is to serve owner-operators, small fleets and professional truckers; to work for a business climate where truckers are treated equally and fairly; to promote highway safety and responsibility among all highway users; and to promote a better business climate and efficiency for all truck operators.

HOS:

Hours Of Service

HOS refers to the logbook hours of service regulations.

OOS:

When a violation by either a driver or company is confirmed, an out-of-service order removes either the driver or the vehicle from the roadway until the violation is corrected.

EPU:

Electric Auxiliary Power Units

Electric APUs have started gaining acceptance. These electric APUs use battery packs instead of the diesel engine on traditional APUs as a source of power. The APU's battery pack is charged when the truck is in motion. When the truck is idle, the stored energy in the battery pack is then used to power an air conditioner, heater, and other devices

Tony O.'s Comment
member avatar

Thank you all so much for taking the time to respond and letting your opinions be heard. We really appreciate it!!

Old School's Comment
member avatar

One more thing Tony...

Read Susan D's post four or five times and let it soak in - that was some great stuff she laid out. It was all on point, and it has the added value of experience behind it.

Tony O.'s Comment
member avatar

Absolutely appreciate it all. No advice better than the advice coming from the folks that do it day in and day out. We will continue to expand our knowledge so that we make an educated decision.

Rob's Comment
member avatar

Just throwing this out there in case you didn't know, but most companies have a rider policy that would allow your wife to ride with you, even if your a company driver.

OWI:

Operating While Intoxicated

Tony O.'s Comment
member avatar

Thanks Rob. I didn’t know that. Absolutely something to consider.

Just throwing this out there in case you didn't know, but most companies have a rider policy that would allow your wife to ride with you, even if your a company driver.

OWI:

Operating While Intoxicated

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