For the Newbies to Think About

[chefdennis]

We seem to be seeing alot of new names here now. In another thread a fairly new member stated that he had his eyes opened as to the fact that some people in this business could be one set away from being homeless. Those of us that have been doing this for a while understand the need to be able to weather the storms that come our way.

I posted this thread a while ago, but with the influx of new people getting into the business or thinking about getting into it, I thought id bring this thread back again to give the Newbies "Something to think about"...

http://www.expeditersonline.com/for...omething-newbies-think-about-tjps-trials.html

This post probably should be in the Newbie area, but I'll put it here because I am pretty sure it will get more attention here, and it might benefit some that have left the business for whatever reason and are thinking about getting back in.

Most here have at least seen if not followed TJP's trials in the July 2010 Location and the August 2010 Location threads. If not, go back and look. TJ hit a deer 9 weeks ago in a 3 month old 2010 Mercedes Benz Sprinter. Accidents happen, and this example is an excellent tool for those thinking of getting into this business on minimum cash flow.

For reasons beyond TJ's and the owner of that Sprinter, it has been out of service for 9 weeks, will probably be 10 weeks before it is back in service. Now in this time, TJ isn't making a dime as the driver. But there has been 3 payments made, insurance has been paid a deductable will be paid when the truck is picked up and the misc deductions that the carrier takes will be taken from the next settlement and 1 more payment will be made before that unit makes another dime for TJ or the owner...

If the owner didn't have the money in reserves to make those payments, this accident could have had a terrible outcome for all involved,alot of people coming into this business with little or no cash reserves could lose everything that have. Luckily that isn't the situation, here. Yea it is a pain that the truck isn't running and not making any money, but the fact is all expenses still came due and were paid while no income was being generated. Both TJ and the owner will be ok, it will just take time and TJ working his tail off to get back to a good cash flow, but that lost income really can never be made up...

What I am trying to say is, it only takes 1 accident or major mechanical failure to put you out of business if you don't set yourself up in the right position as far as money in the bank when you start. Do yourselves a favor and read here and research what it takes to get started and run a business...it might save you alot of trouble or even financial ruin......

 

[paullud]

Even doing research and having money to pay your bills for a few months does not guarantee success. You can see I was a member here for a year before I gave it a try and had been researching for months prior to joining this forum. I went through a lot of money and time trying to make it work but I made some bad choices, had some mechanical issues, and should've left the company I was with sooner. You will want to pick a quality carrier to partner with and I strongly suggest getting an HCV or Sprinter.

Sent from my ADR6400L using EO Forums

 

[garebel]

the sad part of getting into expediting if your almost homeless, is the fact that you most likely will be unless your very patient and smart..i did expedite w/ tristate as a straight owner in 2000-2003 and it was very diffrent then. ive been reading this forum since 9/09 learning again , planning on buying a sprinter to get back in but my plans are to pay cash for my van and have 20,000 in the bank..and im 7000 away. maybe 2013 will be agood year..if you have ever driven otr it never gets out of your system but patience can make or break you!just my thoughts

 

[jjoerger]

the sad part of getting into expediting if your almost homeless, is the fact that you most likely will be unless your very patient and smart..i did expedite w/ tristate as a straight owner in 2000-2003 and it was very diffrent then. ive been reading this forum since 9/09 learning again , planning on buying a sprinter to get back in but my plans are to pay cash for my van and have 20,000 in the bank..if you have ever driven otr it never gets out of your system but patience can make or break you!just my thoughts

If the income you have now allows you to save up enough to pay cash for a Sprinter and have $20,000 in savings you might want to reconsider getting back in to the business at this time. It sounds to me like you are doing fairly well in these tough economic time.
Be thankful.

 

[garebel]

maybe i need to clarify a couple things,1st-the sprinter i buy will only be a newer used w/records..2nd-the savings i have has mostly came from flipping homes in a better market leaving me with a small house payment.3rd-the job im on ive been there 6 yrs and bring home 350 a week and as in trucking a # and body is all i am there.ive always been told i have gypsy in my blood and trucking seems to fit me better..but i do hope the economy is better soon as that is another thing im waiting on but i do know with the right company i can do better because i did learn 1 thing in the past expedite adventure is-- be there for your carrier and they will be there for you!!

 

[Jack_Berry]

Gracie here: one accident one serious illness and your whole world changes. Just saying...

 

[Rocketman]

Gracie here: one accident one serious illness and your whole world changes. Just saying...

This is true... but it is just as true for many other trades. If your income is based solely on the amount of work YOU are able to produce, insurance becomes a very important consideration.

 

[chefdennis]

Thanks Gracie...You and Jack are in our prayers....God Bless..

 

[kjtransport]

Hi everyone Im new here been reading for a while now. I have a question for u.. I just went online and applied for a MC# as soon as I hit the enter key theFMCSA called me and asked if the Sprinter with the load weighs more than 10,000k if so he would need to get ma a DOT# also. and second he told me that I need to apply for BOC-3 and UCR for $206 did u guys heard of that should I be paying this amount? he said I need this to activate the MC#. Please help....

Thank YOU