C.V. Business Plan (Start Up) Ideas Wanted

[Scottrucks]

Hello,

First off, I'm new to the board and a Canadian, so my questions and my looking at this business will be different then some of you. I currently have about 10 years as a Warehouse Supervisor/Manager and have experience seen things from the "customer's point of view".

My plan is to get into my own CV and lease on to a Canadian Company or a Mulitinational Company, as I do not have a "US Green Card" it will limit my oppertunites somewhat.
This will become my main stream of income, so yes, this is not going to be a hobby or a part time affair, but with my intention of learning the business and making money. There are other factors, but I will keep those to myself for now.

My number one goal right now is to write "my business plan".
My expediter business will be done as a Cdn numbered Company (Incorported) and I will be its only F/T employee.
I will have a team of experts to help guide my Company as required: accountant, lawyer etc.

Yes, I have gone over the posts/threads here and it was a great eye opening experience. Yes, I have reviewed the EO Business Plan articles too. I understand each business plan is a written document that is custom to each company for various reasons, goals etc.

So now I want to know about "your business plans" or even expedited Business Plans in general...
First off do you have one in writing? If not, why not?
Are you will to share some of it with me as a p.m. or with us as a group?

I am looking to hear from anybody who is a "Professional Expediter" or "Fleet Owner" who is willing to talk about this subject.

IMO this is the first step to becoming not only a "Business Owner" but a "Professional Expediter".

Thanks for sharing your thoughts,

 

[blizzard2014]

Do you plan to buy your van for cash or are you going to make payments on a van? Are you going to buy a used van or a new van? Remember; there are a lot of start-up costs involved in running your own cargo van. Also, you have to plan for unexpected emergencies. I just had my second deer hit in 2 years. I have to wait around now for the insurance company to cut me a check and then figure out how to fix the van up. Things like this can set you back bigtime; they can even cause you to go under and lose your business. You are going to need a good bank roll behind you before you come out on the road.

I had to come out on the road with less than 2k in the bank and it has taken me 2 months to save the 5k I got now. I had to spend 1500 in unexpected van repairs in the past several weeks and now I have to get the front end of my van fixed. You can make a good living out here if you are frugal and know how to manage your money; but it is not as glamorous as some on this site would lead you to believe.

You however have an advantage; you live in Canada. There are quite a few automotive manufacturing companies that operate out if Ontario. There are also fewer American companies who are willing to cross the Canadian border which should provide you with more load opportunities. You should do fine if you come out and work hard for a few solid months. Also make sure you tie up all of your loose ends at home before you come out on the road; having to deadhead home for family emergencies will surly put a dent in your profits.

 

[Scottrucks]

Blizzard,
Sorry to hear about your unexpected deer hunting adventures...hope you are all fixed up soon.

You make some very interesting points, thanks

While it would be great to just sign on the bottom line for a
NEW Sprinter converted into an expediter with a bigger sleeper etc, I don't see that as a reasonable option for my start up Company. The 2010 Sprinters 3/4 Cargos are over $50,000 Cdn currently and then adding the conversion amount, way TOO high. IMO, any NEW rig would be pushing it to start off with.

I think starting off with a used van, still within the 5 yr requirement of the Expediter Companies up here...
Most likely a Ford E350 extended Cargo Van, set up for a 9' cargo bed and whatever is left as a mini sleeper...the cost for
a used sprinter is somewhat high and the GM CV offering
is a bit too small (again IMO) for my companies use.

Financing would be my preferred route, keeping most of my funds as operating capital, to fund the bits and pcs you require which I know will add up fast...load bars, tie downs etc...
and actual living money until the pay checks start to come in.

I should tell I am married and I have 1 daughter starting high scool in September. You comment about family loose ends in understood!!! My wife has a good job with full benefits which covers the family too, so that helps a lot!

Still lots of details to handle before
I even consider hitting the road.

Thanks Again,

 

[ebsprintin]

I wouldn't get too hung up on having a formal written business plan, especially considering no one is going to want to see that you have one (unless the state of canada requires it). We're talking about cargo vans here. You aren't trying to convince anyone to invest in your business, unless the wife is asking to see one. If you have a good solid budget with an escape plan that should suffice.

eb

 

[blizzard2014]

You have a wife with a good job; this is excellent. So, making wads of money during your initial start-up period is not going to be a do or die situation. In that case, i'd suggedt that you contact a good fleet owner and run for someone else just to see if you dig being an expediter. You're only going to see a 20-23 cpm difference in pay if you work for someone else. I'd lose the little bit of money and get out there and see what expediting is truly like before getting yourself committed to the business long term.

 

[Scottrucks]

Ebsprintin - Good point, the formal Busniess Plan is only really "required" if I go the financing route, banks etc will not even talk to you without one...the Gov't up here really don't care as long as they get their cut of the money!!!

Blizzard - I understand what you are suggesting and starting out as driver signed on with an owner does make the best sense to feel out the business and get to know it from the inside, but options with signing on with a CV owner would be more limited ??? and that would suggest moving up into a S/T with a CDL ("D" class here in Ontario then an additional "Z" endorsment for Air Brakes)...

Still more to consider...Hmmmm....

Thanks for the input much appreciated!!!

 

[blizzard2014]

You can find a good cargo van fleet owner to work for. If you go into the driver wanted section and see a guy who has an opening for a cargo van leased on with Fedex, you should give him a try. I used to work for him a few years ago and always got paid on time. He is based in Romeo Michigan.

I am just trying to emphysize that you are going to have to make a big investment to come out here on the road. Also, if you trick your cargo van out the way it needs to be done and then decide that this isn't the kind of job for you; it is going to be hard to sell it with all of the modifications that you will have to do to it. You need to be absolutely certain and 100% dedicated to make this work.

I am in the process of getting the van fixed and some major dental work. Once that is all done, I am gonna hit the road non-stop until December 25th. I was originally planning to work the first 3 months straight; but circumstances beyond my control have prevented me from doing so.

Remember, the learning curve is not very forgiving in expedite. There are things like a deer hit, an accident, or an unxepected problem that can wipe you out in an instant. You are also going to have to go through several months of company deductions and other start up costs that you simply will not have if you elect to work for a fleet owner. But if you decide to get a van and come on out here, I will always be here to give you solid advice.

I wish you good luck in whatever you do my friend. Just make sure you are ready to take the plunge!!

 

[Jack_Berry]

I wouldn't get too hung up on having a formal written business plan, especially considering no one is going to want to see that you have one (unless the state of canada requires it). We're talking about cargo vans here. You aren't trying to convince anyone to invest in your business, unless the wife is asking to see one. If you have a good solid budget with an escape plan that should suffice.

eb

state of canada? suprised ken has not jumped on you yet.

 

[davekc]

I wouldn't get too hung up on having a formal written business plan, especially considering no one is going to want to see that you have one (unless the state of canada requires it). We're talking about cargo vans here. You aren't trying to convince anyone to invest in your business, unless the wife is asking to see one. If you have a good solid budget with an escape plan that should suffice.

eb

I would agree with this. I don't know of any place that would have this requirement on a cargo van unless maybe you are trying to finance a lot of them at the same time.

 

[Scottrucks]

Yes, the Business Plan would be for "formal type" finiancing.
if that's the final route I take.
I had had many very good PM's on the subject so far and really, really
appreciate all the suggestions and real world advice!!!

 

[skyraider]

Yes, the Business Plan would be for "formal type" finiancing.
if that's the final route I take.
I had had many very good PM's on the subject so far and really, really
appreciate all the suggestions and real world advice!!!

I have a friend cv driver, I just copied what he did to his van, one bed horizontal behind front seat, window unit air conditioner, now we use one of the new stand alone units. and a cooler ( electric or ice unit, ur choice), 2000watt generator and that's it, kiss,,,keep it simple please. Watch out for impulse buying, it will kill ur budget. I write down daily in a drivers log sheet for budgets,,all I spend, it is an eye opener how much money u can waste out here. Get a grip on impulse buying on nick nacks. one 4x8 plywood floor, and tie downs for ur freight so it wont move.I would go to a truck stop and talk to other cv drivers if u don't have a friend in the business, and see what others are doing. I lead a spartan life style in my van, not many thrills and gadgets, it cost money. Ur fuel alone will eat u up and eating out( do not eat out if u can help it) , but u will have to learn a lot of things the hard way, Any breakdown can eat up ur cash fast. Been there and done that, as in 1 tranny, radiator, waterpump, computer, fan clutch, fan blower motor, flat tire in the middle of nowhere, blown radiator hoses, it can be exciting and rewarding............