The guy was looking for some advice, to factor a load might help him with his cash flow in the first 2 or 3 weeks.
Your comment wouldn't help him pay his truck payment.
It doesn't matter anyway if he's not going to have his own authority.

 

Running a business on factoring is ridiculous. If he doesn't have the proper cash flow when he is starting out, he has failed before he even started.

You should have 2 months operating expenses (including salary) MINIMUM when you start out.

 

A good rule of thumb is start with $2 million if you want to make a million dollars in trucking. I couldnt resist :wink: :wink:

 

No, it is not! :P

Do you like gambling? Than it's OK!

If you want to run a business, than it's not!

And it doesn't really matter, how fast, you'll get your first check, breakdowns is very expensive, and those 3 grand, might not be enough.
Don't forget, your income, stops with the truck! :sad:

 

Englishman, I have seen owner operators just leasing on to a new carrier who didn't have funds to buy tires so their truck could pass inspection. The problem is planning for contingencies. If everything goes well and there are no major breakdowns, you will probably be fine. If there is a major breakdown or expense, you could be out of business before you start. There are some who suggest having at least 6 months of operating expenses before starting any new venture. That includes funds for your truck and home. If your expenses are $2M/month, then you would need $12M. I would have 3 months expenses, minimum.

 

I think I had about 10 grand when I started out and I factored a few loads, not that I needed it I was just feeling out the brokers I was working with and finding out how quick they were with payment.