I am currently a company driver with 5+yrs of driving experience with the same company. I am looking for information resources on the basics of going O/O, how to get started, with the intent of running as a Lease Operator with this same company - as others at my particular terminal have done. I have an opportunity to buy the company truck I'm in now and have had since it was new, ('07 model yr, made in '06.) I will be joining OOIDA soon and will be scouring their website.. Any additional resources available would be greatly appreciated. Thanks..

 

First question, have you talked to the company itself to see what they say and if you are qualified to transfer to the O/O,L/O program.

You do realize that you will loose whatever benefits the company offers.

What is your reasoning behind becoming an O/O?

 

For 'information resources' have you tried the search button on this site? Try searching for authority or insurance or "truck payment" etc and you'll learn plenty.

 

I don't know how or what your company pays, or how much your lease will be, but check this post out http://www.classadrivers.com/forum/o...-backhaul.html

This would be a good place to start, the numbers used are pretty accurate from my own experience as an O/O with my own authority and at the ugly end as a lease op with free and clear equipment, flat beds. I honestly would not recommend doing what you are thinking of doing, because quite frankly, the money just isn't there anymore. When fuel hits $5+ this summer... Never mind... Good luck!

 

It had been my experience when I was a company driver, I kept hearing stories from the L/O's that oh they were rolling in the dough. But, when I started pushing for details they started changing their tune. Many of the companies will restrict them to where they can get their maintenance done (even though they still have to pay for it). They also tend to still enforce the idling restrictions.

 

Here is a good starting point....

PIB | Overdrive - Owner Operators Trucking Magazine

 

How much money have you saved to buy and run a truck? Unless you have money set aside you are taking a very high risk. Have you kept a log of maintenance costs on the truck you are currently driving? What about fuel, tires, etc., How is your credit? Have you tried to secure a loan from a commercial lender or your bank? All of us who have owned trucks for several years can tell you some real horror stories about trucks breaking down at the worst possible times. Why do you want to become an owner operator rather than remaining a company driver? These are some of the questions that you need to answer for yourself before moving forward. Leasing a truck from your carrier is usually not a good idea. Not only will you usually pay much more than the truck is worth, you can't leave the company until the truck is paid off unless you have the cash or can get a loan from an outside source. There are a number of reason why so few make a lease purchase work. There are a number of hidden charges that some don't realize until they sign the contract. One of the most important things you need is a decent amount of cash in the bank before taking this step. You might be surprised at how quickly you can go through $5,000-$10,000 or more. When the truck is in the shop you are also not making money. These are just a few of my personal thoughts. I would encourage anyone who wants to be an owner operator to do so as long as they go about it in the right way. You need to save your money for a good down payment or just pay cash. If you don't have the discipline to save then you probably won't have the dicipline to make your business work. When you buy a truck you go from being a company driver to company owner. It is a different mindset for those who are successful.

 

second dat!

 

In answer to the first, it's a L/O program and I am qualified. To the second, there are few benefits to lose - I have the higher level of health insurance available, paid through deduction. I will continue to pay this through their program. To the third, the new Prostars being incorporated as fleet trucks have numerous "restrictions" that, in my opinion, make it more difficult for the driver to perform assigned tasks/ runs, (e.g.), fuel tanks are reduced to 80gal ea. vs 106's - requiring fuel management that's already proven difficult under current scheduling parameters. Speed is now governed down to 62MPH from 65, which seems trivial, but when faced with increased highway speed limits - becomes a safety factor where too many of us are already intimately familiar with the "ClusterTruck" effect, (turtle races), and the 'back off' option puts already crammed delivery schedules into high stress mode.. The new trucks are running the Super Singles.. a win for the bean counters, but with a significant number of routes run on backroads we're already experiencing horrendous costs where you cannot stop soon enough after a blowout - this includes routes through major metropolitan areas in rush hour where we're also losing both tire and rim... The real answer to going L/O is far more complex than we want to answer here, as it should be, but suffice it to say that, at present, the pros outweigh the cons. And thanks for your response.

 

Before all is said and done, I will be all Over this site - chasing data. There is an incredible amount of useful information right here! Thank you, sir.