Just a quick question about the current state of trucking and going owner/op. Right now as thingssit with fuel and truck prices rising by the day and with freight getting a little tighter, what would you current owner operators with level heads and reasonable advise tell someone that was curious about the possibilities of getting into the game. I mean, what kind of cash on hand would you recomend a person have and what kinf of freight would you suggest. Woukld you tell a person to go flatbed or van or reefer? Just curious. Would you say"stay away and dont try it now" or would you say "hey go for it, if you do it right you can make good money considering fuel surcharges and all". When teh higher than hell fuel first started hitting after Katrina I heard a lot of owners say that had never done better once they started factoring in surcharges and what not. I know this is on an individual basis and has a lot to do with what you are hauling and a good customer base and all...i am just looking for what advice to someone that is curious about just branching out on there on....is this a good time to just stay on as a company driver and just say to hell with the headaches? Just curious to see what the overall advice and opinions are from the more levelheaded ones. Whats happening out there?

[BigDiesel]

From now until the 2nd quarter of 08 the Herd will be thinned out and business will improve....

[pepe4158]

Hmmm didnt know it was down...seems up for me for the next month and a half till the x-mas boost is over, yeah feul being up so much is a concern, time to lease maybe so i can quit getting ripped on not getting the sur-charge?

[Hiway61]

Originally Posted by BigDiesel

From now until the 2nd quarter of 08 the Herd will be thinned out and business will improve....

I suspect that's correct. I was speaking with a small fleet owner who told me it's breaking his heart: Great Rigs being offered cheap, but he can't figure out how to pay for them should he buy one. :cry:

[LOAD IT]

The shippers have the work, you have to find it yourself==get your own authority and your own shippers. If you arent ready to run your own business, not just a leased truck, stay a company driver. I got a call from an Owner Op yesterday looking for someone to work on his specialized trailer. He had been leased to a couple companies doing specialized work and one of those companies said get your own authority and we will pay you 85-90% of gross you pull our trailer for $1200 per month. He got his own authority about 5 weeks ago and hasnt made any money because of this trailer and probably his attitude. I think he thought I was a mechanic, he starts telling me about his investment in his chromed out working show truck and what the authority and insurance cost and he has an INVESTMENT and he needs to make money, well he got his authority and went in to business with someone you could call a crook, however I know guys over there making money, so this guys attitude is probably part of the problem. I told him where to go to get his trailer fixed right, I went by there last night and they said he never showed. My point is if you have the right attitude and you are ready to do it all on your own only relying on direct shipper freight and you plan on growing a small fleet of a few good truckers, you could be the next J B Hunt or Harold Ives or any of the other old timers that did it without buying out someone elses company.

[GMAN]

I am not sure if you are talking about buying a truck and leasing to a carrier or getting your own authority. You should have enough cash to take care of any major breakdowns. An engine rebuild can run from $10-18,000. That is the largest single expense you will have on a truck. You will need more cash when you run your authority than if you lease to a carrier. There are a lot of owner operators who are losing their trucks. Many more will lose them during the next few months. Dealer sales are very slow. If you have the cash, it is a good time to buy a truck and take advantage of lower prices. Rates are lower during winter months and fuel is at record highs. If you keep overhead low and get decent rates, you can still do well. There will always be those who do well during slower economic times. Although freight still seems to be plentiful, rates are lower. They are likely to be lower until spring. If you finance a truck just make sure to keep payments low. It is much easier to deal with low payments during slow times than big payments.

[rank]

I think business will be slow until at least spring '08. BUT, it might be a good time to start shopping for equipment.

The type of trailer/freight you pull is often a personal decision and, if you operate as a business with the goal of maximizing profit, you do not really have a choice. For example, these are some factors that will determine the best trailer for you:

-Your physical condition (are you even capable of loading decks)?
-Do you have a family (will you be able to follow fright and stay out for months at a time to follow the harvest season etc)?
-Where would you like to be based (tough to make money in FL with a flat, easier when you're near a port or a manufacturing center).

Talk to some shippers and consignees in your area and see what trailers they need, how often they need them, what they are currently paying for trucks, if they are happy with that service. Don't try to sell them anything...just ask some questions. Do that a few times and then you will start to get a picture of what is best for your area.

[solo379]

Originally Posted by Hiway61

I suspect that's correct.

My guess, it's gonna take longer than that, due to slowing economy, and steady stream of "wannabes"! :roll:

[no_worries]

Middle of 2009 is my guess for meaningful movement in rates.

[GMAN]

The important thing to remember is that you need to have money set aside to weather the storm. You also do not want to have any more debt than is absolutely necessary. When you are debt free it doesn't take nearly as much to survive. I don't like to sound like the voice of doom and gloom, but we are in a slow down and this is likely to continue for a while. When housing and construction slow, it affects most aspects of trucking in one way or another. You can still make a living, even in a slow down, but may need to operate more efficiently. Things are always a little crazy around the holidays, even in a good economy. I usually take off between Christmas until after the first of the year.