I've been surfing this board for a few months now, and would like to jump in and post something for consideration. I'll keep it as short as I can, I'm thinking about going for it with my own authority (2 of us together actually) and need to purchase a truck. Here are my rough figures or business plan if you want to call it. I think if you don't know what it's costing you to operate, you're screwed from the get go, which is why I've laid it out like this. The "Company Investment" is a $ amount that we've agreed to try and put away for future expansion and is totally optional at this point. I understand there will be some deadhead miles, but I'm hoping the better paying loads will average that loss out.
ASSUMPTIONS:
2500 MILES/WK AVG
FUEL--$2.50/GAL
FUEL ECONOMY--5.5MI/GAL
LINE HAUL RATE--$1.20/MILE
EXPENSE COST PER MILE
TRUCK PAYMENT (743/MTH) 0.074
TRAILER LEASE (300/MTH+MAINT) 0.05
FUEL 0.45
TRUCK MAINTENANCE 0.1
INSURANCE (8000/YR-W/2500 DOWN) 0.04
LOAD BOARDS 0.01
FACTORING(@ 3% OF INVOICE) 0.036
INTERNET 0.01
TOLLS 0.016
FUEL TAX 0.002
HIGHWAY USE TAX 0.004
BASE PLATE 0.012
COMPANY INVESTMENT (5% OF GROSS) 0.06
OPERATING COST PER MILE 0.864
LINE HAUL RATE 1.2
PROFIT PER MILE 0.336
WEEKLY GROSS 840
Three Questions:
Do these numbers look reasonable?
Have I missed anything?
Alot of guys I talk to are scared of the VED12 & the Cummins ISX engines. WHY? The truck I'm looking at has the ISX.
I know freight is down right now, and I feel I've been conservative on my estimates, but would like some opinions from others if I may ask. I've been a company driver for about 2years, but this ain't the same animal.............and truthfully its less per week than I'm making now, but I pull automotive and my route is going away in October with no new prospects from my current company.......
Any and all opinions are welcome for consideration as to aid me when I make my final decision.
Warmest regards to All,
Tadpolly66