Man it's like I wrote this LOL. Your GPS is with Transcore IIRC?

 

Good to hear from you. I figured you were still out there.
If I was driving for you I would buy you an Iced coffee machine to get on your good side.

 

Truly amazing, how a person that know's very little about trucking, can be so succesful. It just show's with hard work and determination anything can be accomplished. All the best, Merrick!!

 

I appreciate the kind words, sorry Sideman no iced coffed machine for me; Mcdonalds iced coffee is all I drink.

Rank, the system I use is Peoplenet PeopleNet | Fleet Tracking Management

As mentioned, I don't know how anybody in this business and running a few trucks doesn't have a system like this in place. Out of route miles is a killer and I like I can check where everyone is 24 hours a day.

Ended up buying the 5th truck. Great deals out there now that's for sure.

By the way, I'm an agent for a factoring company if anyone needs any info just PM me. If you don't use it better (I don't factor) but if you need it, I can get you a percentage back.

I just read today that Wabash Trailer might put themselves up for sale; I have 3 of their trailer all 2008 and was about to buy another one. Lots of giants falling in this whole mess.

 

Yep....I have horror stories from both ends of the spectrum...

 

Well as I sit here enjoying the sun down here in South Florida, I have to reflect how did I get into this business of trucking.

Just an update, I have 5 trucks right now running out there. Small by most fleet standards, but was it really just 18 months ago I was driving my own truck out there? I read through some of this thread, and it really is amazing how little I knew or naive I was getting into this. This business is without a doubt not for the faint of heart.

Don't get me wrong, trucks payments are made, driver payroll is done, I'm not factoring my invoices (though I am considering it for other reasons) and all trucks are out there moving. Two coming back from California right now and two more on the way out. I love sending them on those long ones as I don't need to be looking for loads every single day which is not easy in this environment.

As I have mentioned before I run my trucks with those of my friends so basically we are running 22 (he had an O/O whose reefer broke and they are done.).

Actually the more trucks there is, it seems to make things easier. It makes it easier to recover loads if a truck breaks down, it makes it easier to pre-book and finally it makes it easier to sell your services. Greater capacity that is. It funny I think somewhere in the beginning of this thread I asked what capacity was. Again it's amazing how little I really new (not that I'm Mr. Know it All now)

I never really had the accounting done properly but now my wife has it all under control. It was ugly there for a while. I remember I had at one time $19,000 of billing that I just had sitting there waiting to get done. I wouldn't bill for weeks. This business generates a tremendous amount of paperwork. I think they have things like electronic billing but I'm not there yet. I'd have to say the easiest people to deal with as far as billing is JB Hunt. Don't do much with them but just email the bills then that's it. TQL is on the email things now too. Don't do much with them either though.

I did end up setting myself up as an agent for a large brokerage but I haven't done much with that. I feel much more comfortable selling the trucks than selling brokering service. A lot of people don't want to seem to deal with brokers. Of course the reality seems that brokers end up with it all, but all I can say from my personal experience, when I call they tell me they don't want to deal with brokers.

Of course you have companies like Classic Carriers who go in and sell their trucking service then turn around and broker it out. Actually a lot of companies do that.

Also as mentioned I believe before, I have set myself up as an agent for a few different factoring companies. Actually that I like doing. You either need it or you don't but like health insurance or auto insurance, you may not need all of it. That is There are little things and fees that can be added or deleted from the contract that could really cost someone. So I read those details over and make sure people aren't getting screwed.

Anway back to the trucks, one good thing about running the trucks with my friend is I see his operation. His was never really set up right, he has a bunch of new trucks with massive payments. His accounting is still not being done right. He has massive overhead. Basically it is one big lesson on what not to do. I have been reading a lot of Chris1's posts here. I don't think he was here before but he seems very knowledgeable on this business. I think in a recent post he mentioned that you should be able to run new equipment. I don't know, I have 5 trucks and really the payments are about equall to one of my friends new truck. ( did pay down a bunch on the first two before the prices of equipment dropped and now they are cheap to buy). Really seems like his new trucks break down more than my Freightliners. As of yet I do not see how to make money with $2,000+ payments.

Also I have learned of one big trick in this business. You are making money, you have a ton of money owed to you so you think you are doing great, and then a breakdown happens and you put it on a personal credit card. You figure you will pay it back in time. This happens over and over, whether it's paying for repairs, paying the down payments on plates and insurance or buying new equipment. You never seem to pay it back as there is always another thing to do.

My friend is steeped in debt. In truth I am too, but the last few pieces of equipment I bought were with cash. I will no longer feed the business with personal money. The money is supposed to go from the business to the personal not the other way around.

I had to put the plates and down payment on the insurance on a credit card this year. I bought too much equipment too fast that I wasn't prepared for those expenses. It cost a lot of money to run these trucks every day. But I opened another account at the bank and every week I put aside money for next year.

As for the freight out there, well we do keep the trucks moving. I secured a big account that has really kept us busy. Actually we had another one out of Florida but that seems to be winding down, but it realy was good while it lasted. Considering we are in the worst environment for trucking in our lifetime, I guess we are doing ok. Of course I am impatient by nature and and always am thinking that I need to be doing better.

I think it could get pretty good if this economy ever turns around. Just think, my friend a couple years ago, got one million dollars of equipment with just his signature from GE. Now he can't even get a $12,000 trailer. He may be in debt but truck payments are always made on time. I wonder how many other people have their access to capital restricted as well? Must be tens of thousands. What happens when it turns around and their is not enough capacity?

I have read that a lot of trucks parked are now gone and sold to foreign countries. Those trucks are gone forever. However I have also read that a lot of the trucks are just parked or mothballed as they say. JB Hunt, Werner etc have had massive reduction in fleet size. Who know really knows the truth.

The trick of course in life is to have multiple streams of income. Someone on this board, has been buying houses with the money he makes from his trucks. I think he's from Alabama. Now would be a good time to be doing that as houses prices have dropped quite a bit.

So as I look toward the future, not sure how many more trucks I am going to get, I will buy more I'm sure. This is why I am now considering to start factoring myself. Banks aren't going to lend me much more. I usually have between $50,000 or $70,000 owed to me on the street. (I have never been beaten on a load, once. Check credit, check credit, check credit before you haul anything.) If I could pull all that money in at once I could buy more equipment.

 

Wow, great thread. I was wondering something toay. Is it crazy to maintain my current job with Sysco, buy a truck, and hire a driver to run it OTR?

 

It is difficult to make money with one truck and a driver, especially when you are not around to keep a check on things and keep him moving. Finding decent paying loads is a full time job in itself, especially with this economy. If you plan on buying a truck I would suggest you drive it for a while yourself before putting a driver in it. There are two things working against you with drivers in your truck. The economy and drivers. With the down economy rates are low. There are a lot of drivers who will not take care of your equipment. Some will steal from you. Finding a good driver is a challenge, regardless of the size of your company. You will learn much when you drive your own truck for a while. You will also be able to check it's general condition and the fuel mileage. Some drivers are dumb enough to sell your fuel. It is so easy to catch them. But you are still out the money and inconvenience. Unless you drive the truck yourself it will be difficult to make any money with it. In order to make money having drivers you need to have several trucks and play your averages.

 

Thanks for the advice GMAN, you the man.

 

Thanks for the update merrick, sounds like you really jumped in the business and are learning a lot. Don't be a stranger.