HELP!! I AM A NEW OWNER OPERATOR

[maximus12]

I just bought my own truck (2003) columbia for 24k and it has 534kmiles on it.
After reading several treads, I have decided to lease it to CRST Malone. I don't have any flat bed experience, however I use to work for CRST as company driver.
I have heard alots of good things about malone. I have outlined my questions at the bottom.
1. Malone works with dispatcher and agents. Can i access the available loads from online?
2. This question might seem simplistic but keep in mind that I m asking for AVERAGE (GOOD WEEKS AND BAD WEEKS AVERAGED) HOW MUCH CAN I TAKE HOME? MY TRUCK PAYMENT IS 270.00/WK.
3. My recruiter mentioned; whenever freights are slow, I can always get loads from other carriers by using Malones authority. How does that work out? For instance, I find a landstar load, what is the process?

Thats about it for now.
Thanks
Best regards.
marK

[HWD]

Please hold, and your call will be answered by BigDiesel shortly. 8)

[Double L]

GMAN used to be leased to CRST Malone so he knows how they operate.

[rigidsporty]

I've never owned a truck, although the desire to do so is crossing my mind more and more lately... but it seems to me you should be asking those questions to CRST Malone. If anyone can answer them, its sure to be them.

BTW... congrats on the truck. I hope its a good one for you.

[Jumbo]

You don't have any flatbed experience and you want to know how much on average you can expect to take home? Do you even know what your operating expenses are going to be? Your truck payment alone is $1080 a month. Not to mention fuel, license, insurance, taxes, maintainence and the rest of the "little" things that add up. I found it strange that you broke your truck payment down by the week. Is it a lease purchase?

[GMAN]

I just bought my own truck (2003) columbia for 24k and it has 534kmiles on it.
After reading several treads, I have decided to lease it to CRST Malone. I don't have any flat bed experience, however I use to work for CRST as company driver.
I have heard alots of good things about malone. I have outlined my questions at the bottom.
1. Malone works with dispatcher and agents. Can i access the available loads from online?

As far as I know you still cannot access loads on the internet with CRST Malone. You primarily work with a dispatcher but can call agents to get loads. A friend of mine left the a year or two ago and he told me that they are pushing their owner operators to primarily work with their dispatcher rather than call the agents. When I was there I had a lot of contact with different agents. If you get a good dispatcher they should keep you pretty busy.

2. This question might seem simplistic but keep in mind that I m asking for AVERAGE (GOOD WEEKS AND BAD WEEKS AVERAGED) HOW MUCH CAN I TAKE HOME? MY TRUCK PAYMENT IS 270.00/WK.

It depends on how much you spend. If you are in a lease purchase with CRST Malone I would prepare to spend about $800/week with maintenance account, etc., If you lease to them you will need to buy tarps, chains, etc., It will cost you about $2,200-2,500 for everything. They should finance them for you if you don't have all the cash and take a fixed amount out of your weekly settlement. You will need to pay 10% down. You may be able to buy used equipment from them if it is available. If you could get one of their side kits you may not have to buy tarps if you want to keep the kit up all the time. If you don't have your own trailer you will need to either rent one from an outside source or from CRST Malone. I believe the cost is about $165/week. When I leased to them my flat bed made about $1.66/mile average for all miles. That was several years ago. My friend had a deal working with an agent and he was averaging about $2/mile after they got their cut. He left to get his own authority about a year or two ago. I am sure there are some doing better and worse. Where you live can also impact the rate you get and how frequently you get home.

3. My recruiter mentioned; whenever freights are slow, I can always get loads from other carriers by using Malones authority. How does that work out? For instance, I find a landstar load, what is the process?

Thats about it for now.
Thanks
Best regards.
marK

You will need to call your dispatcher and get a number to put on the bills so that you can get paid. They will need to approve the broker's credit before allowing you to pull a load for an outside broker. If it is a broker that they have been doing business it should not take but a few minutes.

It is almost impossible to tell anyone how much they can clear as an owner operator. Since you are new, it will take time to learn how to manage your business. CRST Malone will train you to tarp during orientation. I enjoyed working with them when I was there. They had a pretty good freight base when I was there. Keep in mind that freight is off somewhat right now. I would ask them what there owner operators are averaging. They were always straight with me. Do you know which office you will be based? Where do you live?

[BigDiesel]

Please hold, and your call will be answered by BigDiesel shortly. 8)

You have reached the CAD Messageboard mailbox of BigDiesel. BigDiesel requests that you search the vast database of CAD for all of your questions regarding the 9,234,755 questions similar to the OP's query. If you have further questions please contact Rev. Vassago at extension 2344. Thank you and have a nice day.

[Kurbski]

Beeeeeeep.

Big D. Hope you are feeling much better. Please advise where you are being treated for the head injury so me and the mrs can send flowers and drop by to say hello to the new and improved politically correct Mr Diesel.

[rgarthman1969]

This should help. BOL

http://www.crstcargoconnection.com/Carrier/Loads.html

[maximus12]

We all have to start from somewhere. I have made my decision and I am not gonna duel on it.
After driving for 1 year for CRST and Werner, buying a truck seems to be the next obvious step. Fuel price was up and I found a dealer that was willing to unload some of his inventories at a deep discount..I negotiated and bought a 36k, 2003 COlumbia with 534k miles for 24k and it also has a 1 year warranty.
Things that are in my favor: I have a tremendous work etiquette, budget oriented and fast learner.
My ultimate goal is to get my own Authority and my wife is planning to get her broker license and we want to capture as much of the profit possible.

-I have a fixed cost and variable cost..i need to reduce the variable to the minimum possible. Guys I am a newbie, I welcome any suggestion.
Especially:
1. On how to negotiate with agents and carriers for freight fees.
2. How to reduce my variable cost.
3. where to get the best trailer rentals ( I will eventually buy my own).
4. Is it better to buy the tarp and other equipment from from Malone?
5. Since I am buying my truck from a third party, will i be subjected to maintain an escrow account?
6. I don't trust recruiters for the obvious reasons. He mentioned my Tags, bobtail insurance and other cost will be held from my weekly settlements.

I am open to any type of suggestion.
Thanks
mark

[GMAN]

I would not worry about negotiating with carrier and agents right now. Starting out I would rely on my dispatcher while you learn their system. Some of them are pretty good at CRST Malone. If you live around Tennessee I could suggest a place that might rent you a trailer. It is difficult to rent a trailer starting out without a track record. Most want to see some financial history or a big deposit. You can rent a trailer from CRST Malone. If it were me I would probably just get a trailer from them. It will be much easier starting out. If you go to orientation in Birmingham, there are a couple of trailer dealers who might rent you a trailer if you want to go to an outside source. If your credit is good you may consider just buying one after a couple of months if that is what you want. The advantage you have buying your tarps, etc., from CRST Malone is that they will finance it for you. I know of one guy who bought all his equipment on ebay. He got a really good deal. It comes down to how much cash you have on hand. If you have good credit and cash then you can get a much better deal.

You are not required to have a maintenance account with CRST Malone, but it is available. Personally, I would keep my own maintenance account. You will be required to have an escrow account. Again, they will make weekly deductions until the escrow is fully funded. You are required to have bobtail insurance, but you don't have to get it through CRST Malone. It may be less expensive to do so. OOIDA has bobtail insurance for members. You will also be required to have either workers comp or an occupational accident policy. I would go with the occupational accident policy. It is less expensive. OOIDA has it for about $140/month. You are required to purchase your own base plates. They will get them for you through the state of Illinois. You can probably get them cheaper through your own state, but if they get them they will finance them for you and deduct a fixed amount each week. These are pretty common for all carriers.

[maximus12]

G-man, I would like to take the time to thank you for responding to my posts.
Wouldn't be logical to assume after paying my expenses (both variable and fixed), would it be reasonable to assume; My net (take home) weekly pay would between 1500-1800?

[BigDiesel]

G-man, I would like to take the time to thank you for responding to my posts.
Wouldn't be logical to assume after paying my expenses (both variable and fixed), would it be reasonable to assume; My net (take home) weekly pay would between 1500-1800?

Hmmmmmmmmmmmmmmmm.................................

Do you have a business plan ???

Do you know what your cost per mile is ???

Do you have cash reserves of at least 10k until invoices begin to be paid ???

[GMAN]

You are welcome. If you finance your base plates, tarps, etc., through them you are going to see a lot of money going out of your check each week. It is reasonable to net the amount you mentioned, but I am not sure you will start out netting that much. Keep in mind that you will have a truck and trailer payment. Your truck payment isn't too much. Your trailer payment will run $165/week or less, depending on whether you rent one of their trailers or buy your own. I would rent until you see if you are going to like pulling a flat. I would think $1,200-1,500 would be more realistic starting out. In fact, the $1,500 may even be a little high to start. You are new to being an owner operator and this is a new company, although you worked for another part of their organization. The Malone division works a little differently than the other divisions. I don't know what kind of rates they have right now. Once you get your equipment and base plates paid off your income will jump quite a bit.

[maximus12]

Gman,

I live in Texas. I will be getting my base plates through them (CRST Malone) and also I will be renting their trailer. You mentioned if i get my base plates through them, they will be registered through Illinois.
Sometimes in the future, once the base plates is paid off and if i decide to quit, do i have to get a new base plate from my own state? Do I have to renew it every year and still use the Illinois base plates?

[NotSteve]

In the future, once the base plates is paid off and if i decide to quit, do i have to get a new base plate from my own state? Do I have to renew it every year?

Yes and yes. I think most states now require you to prove with telephone or electric bill that you actually live in the state.

[heavyhaulerss]

I would probably ask these questions before I purchased a truck.. financing a truck can be difficult. if things dont work out, you may not get another chance to finance one in the future. though I think you can make it just fine. good luck.

[GMAN]

Gman,

I live in TX. I will be getting my base plates through them and also I will be renting their (CRST Malone) trailer. You mentioned if i get my base plates through them, they will registered through Illinois.
In the future, once the base plates is paid off and if i decide to quit, do i have to get a new base plate from my own state? Do I have to renew it every year?

Your base plates and permits will run somewhere between $2,200-2,500 per year if you get them through CRST Malone. They do add a fee to the price for financing them. Most other carriers, such as Landstar will do the same thing. If you leave you will need to turn in the base plate and cab card. They will prorate a refund based upon how long you have left before renewal. It will probably be a quarterly refund. In other words, if you decide to leave the first part of any quarter then you will lose the money for the entire quarter. If you get your base plate in your home state, you will need to renew it each year, just as you would if you kept the Illinois plate. Illinois has about the most expensive base plates in the country. My state had a price increase this year and I pay just over $1,600 per year for each truck. Texas should be about the same. If you lease to a carrier and want to get your own base plate, you will need a copy of the lease and will also need to fill out a form that must be turned in when you apply. You will probably need to go through this process each year as long as you are leased to them. If you want to run your own authority you may want to opt to get your base plate yourself. You CANNOT purchase base plates and get your cab card without having motor carrier authority. You must either have authority yourself or be leased to someone who does. When you get your authority or switch to another carrier you will need to change your registration for the cab card. It should only cost a couple of dollars.

[BigDiesel]

G-man, I would like to take the time to thank you for responding to my posts.
Wouldn't be logical to assume after paying my expenses (both variable and fixed), would it be reasonable to assume; My net (take home) weekly pay would between 1500-1800?

Hmmmmmmmmmmmmmmmm.................................

Do you have a business plan ???

Do you know what your cost per mile is ???

Do you have cash reserves of at least 10k until invoices begin to be paid ???

The silence is deafening..........

Another statistic..........

[maximus12]

Hey everybody, it's my second week driving for Malone. Well here is the low down, CRST Malone is a great company, same can't be said for CRST Van division.
When i m with CRST malone, it's not about the mile, it's about the load. You have a very profitable loads and ones that's not worth hauling.
My first load was hauling steel from Georgia to Colorado (it paid very well) my second was Home depot (beware Home depot pays a flat rate). My first week i was able to net 1300+, second 1200+.
My expenses trailer, truck, permits, insurance..(everything) comes up to 700-800/week. Anything above that is profit
The only downside about Malone is; they don't pay for any permits/or insurance coverage.
I ll keep you guys posted.
if you guys have any advice let me know