Hello! More Newbie Questions...

[Rabbit]

Hello!

I'm so new I haven't even started yet!

Seriously...

I currently work for GM, and am eying an early-retirement package about a year or two down the road. I've been laid off enough recently to know that I'm too young for a rocking chair, but I never want to work a "conventional" job again. I've been reading the forum attentively (researching well _over_ a year back, thank you very much!) and have some questions that I haven't seen addressed elsewhere.

1) What does it mean to have one's "own authority"? I gather that the term refers to some sort of licensing-insurance-registration arrangement, but details are hard to find. Can one be leased to a company and _also_ watch the load boards and hope for a load there? What costs are involved? Must I pay insurance twice? Is there a website that's dedicated to this kind of information?

2) Are there any accounting firms out there that specialize in small-scale expediting? I have so many business/money-type questions that I don't know even know where to begin.

3) Who does customization of vans for this business? (I definitely wanna stay under 10,000 GVW.) How can I find out whether, say, an APU or permanently-installed RV-type generator is worthwhile on a vehicle this small?

4) As a retired auto worker, I'll get a substantial cost-break on brand-new vans (though I recognize that used may still be the way to go.) How much can you alter a vehicle and still maintain warranty eligibility? Has anyone here ever had any difficulties along these lines? And, how much debt is too much, given that I'll have a second income that takes care of all my basic needs/house payment/etc.?

5) If I understand correctly, a GM 3500-series extended van will carry two standard pallets. While doing so, is there still room for a cot and such?

6) How much does such a van actually weigh? This has proven surprisingly difficult to find out. What's the true, legal (under 10,000 GVW) payload? I may want to add some weight for personal gear-- how much room do I have to play with before losing loads?

7) I see a lot of what looks like good common sense regarding what an excellent idea it is to insulate a van. How exactly is this done? Are there any on-line articles on the subject?

8) Also, are extra cargo tie-down points really necessary, or are they needless cost-adders?

9) This one's really, really bugged me. I see lots of people advertising 95% or 99% no-touch freight. Yet, I've spent a good few hours unloading trucks in factories myself. Obviously you can't get a fork truck into the back of a one-ton van, nor even a pallet-jack. So, how is loading and unloading accomplished, if not by hand? Or, is the driver simply not required to help?

(BTW... As a GM worker, I see every day how mistreated the expedited drivers are. When I can, I go out of my way to help them get unloaded. The root problem is that small, irregular loads aren't anyone's assigned jobs in GM plants, or at least the ones I've worked in.)

10) No, I'm _not_ crazy, considering going into this business when things are so slow. My goal is to have most of my learning curve accomplished, my financial groundwork laid, and my van selected, bought, and ready on the day that I retire, a year or two from now. By then, things oughta be picking up again, and a lot of marginal operators (sadly) will no longer be competing with me.

I've been picking the brains of a recruiter or two as well, and studying everything I can find. THANK YOU to this recruiter, to everyone who's put so much data up on the 'net for public consumption, and to all of you who read this and take the time to answer!

Again, THANK YOU!

 

[Moot]

1) What does it mean to have one's "own authority"? I gather that the term refers to some sort of licensing-insurance-registration arrangement, but details are hard to find. Can one be leased to a company and _also_ watch the load boards and hope for a load there? What costs are involved? Must I pay insurance twice? Is there a website that's dedicated to this kind of information?


Authority is "Operating Authority" issued by, it at one time was under the ICC, but now I think it is the DOT. Jeff or somebody want to help me out here.

2) Are there any accounting firms out there that specialize in small-scale expediting? I have so many business/money-type questions that I don't know even know where to begin.

Probably not many accountants specializing in expedite. But do look for one with knowledge of trucking.

3) Who does customization of vans for this business? (I definitely wanna stay under 10,000 GVW.) How can I find out whether, say, an APU or permanently-installed RV-type generator is worthwhile on a vehicle this small?

Most owners customize their own vans. Alumibunk makes an expediter van. Check out Caldwell's ad here. They show a Sprinter set up for expedite.

4) As a retired auto worker, I'll get a substantial cost-break on brand-new vans (though I recognize that used may still be the way to go.) How much can you alter a vehicle and still maintain warranty eligibility? Has anyone here ever had any difficulties along these lines? And, how much debt is too much, given that I'll have a second income that takes care of all my basic needs/house payment/etc.?

A 36,000 mile warranty will have expired before you known it. I would refrain from hacking up the frame, altering the exhaust or messing with the computer though.

5) If I understand correctly, a GM 3500-series extended van will carry two standard pallets. While doing so, is there still room for a cot and such?

A standard pallet is 48" inches long. So two equals 96". A long box GM will give you something like 145" of usable floor space.


6) How much does such a van actually weigh? This has proven surprisingly difficult to find out. What's the true, legal (under 10,000 GVW) payload? I may want to add some weight for personal gear-- how much room do I have to play with before losing loads?

I have a 2004 long wheelbase gas Chevrolet that weighs in at about 7100# full of fuel and set up according to my personal needs. The GVWR is 9600#.

7) I see a lot of what looks like good common sense regarding what an excellent idea it is to insulate a van. How exactly is this done? Are there any on-line articles on the subject?

Rlent wrote about setting up and insulating his Sprinter. I'm sure he will direct you to his post or try a search using the words "great stuff". Great stuff is an aerosol foam insulation that has been mentioned in several posts. I used foil backed foam board.


8) Also, are extra cargo tie-down points really necessary, or are they needless cost-adders?


Absolutely necessary. Most carriers require something like E-track.

9) This one's really, really bugged me. I see lots of people advertising 95% or 99% no-touch freight. Yet, I've spent a good few hours unloading trucks in factories myself. Obviously you can't get a fork truck into the back of a one-ton van, nor even a pallet-jack. So, how is loading and unloading accomplished, if not by hand? Or, is the driver simply not required to help?

Most places have a ramp or ground level door for forklift use. Sometimes you may have to hand load or unload.

10) No, I'm _not_ crazy, considering going into this business when things are so slow. My goal is to have most of my learning curve accomplished, my financial groundwork laid, and my van selected, bought, and ready on the day that I retire, a year or two from now. By then, things oughta be picking up again, and a lot of marcompetingginal operators (sadly) will no longer be with me.

If you are not crazy then you really have no business getting into this business.

I've been picking the brains of a recruiter or two as well,

Sounds messy! Did you find anything?

 

[dhalltoyo]

I'm so new I haven't even started yet!

Seriously...

I currently work for GM, and am eying an early-retirement package about a year or two down the road. I've been laid off enough recently to know that I'm too young for a rocking chair, but I never want to work a "conventional" job again. I've been reading the forum attentively (researching well _over_ a year back, thank you very much!) and have some questions that I haven't seen addressed elsewhere.

1) What does it mean to have one's "own authority"? I gather that the term refers to some sort of licensing-insurance-registration arrangement, but details are hard to find. Can one be leased to a company and _also_ watch the load boards and hope for a load there? What costs are involved? Must I pay insurance twice? Is there a website that's dedicated to this kind of information?

Go to Federal Motor Carrier Safety Administration for additonal information.
A few carriers will allow you to run under your own authority.

(MC # issued by FMCSA) and be leased to them.
$300 + $30-50 for BOC3.

Insurance will be markedly higher because you can not utilize the coverage the carrier provides (cargo insurance) as the FMCSA will want proof of full coverage.

Watching for loads while you are driving down the road...well, you get the picture.

I'd suggest being leased to a carrier for no less than 2 years before even considering getting your own authority, especially if you are going into van.


2) Are there any accounting firms out there that specialize in small-scale expediting? I have so many business/money-type questions that I don't know even know where to begin.

Ask Frank via Tax Topics here on EO. He does a great job!

3) Who does customization of vans for this business? (I definitely wanna stay under 10,000 GVW.) How can I find out whether, say, an APU or permanently-installed RV-type generator is worthwhile on a vehicle this small?

There are several older posts regarding APU's, generators, etc. Try the search function first. You can mount an ONAN generator under the GM van, but they will suggest it be inside an enclosure to protect it from the road spray.

4) As a retired auto worker, I'll get a substantial cost-break on brand-new vans (though I recognize that used may still be the way to go.) How much can you alter a vehicle and still maintain warranty eligibility? Has anyone here ever had any difficulties along these lines? And, how much debt is too much, given that I'll have a second income that takes care of all my basic needs/house payment/etc.?

GM will cover what originally comes on the vehicle. Insulating the van, adding a generator or Espar heater does not void the warranty.


5) If I understand correctly, a GM 3500-series extended van will carry two standard pallets. While doing so, is there still room for a cot and such?

If you can sleep across the width of the van you will have a small area for a cot. Approximately 120" from the rear door to the back of the seats. Two pallets are 96". 120-96 = 24

6) How much does such a van actually weigh? This has proven surprisingly difficult to find out. What's the true, legal (under 10,000 GVW) payload? I may want to add some weight for personal gear-- how much room do I have to play with before losing loads?

Gasser 6.0 will come in around 5800lbs. Most carriers only require a 2500lb load capacity.

7) I see a lot of what looks like good common sense regarding what an excellent idea it is to insulate a van. How exactly is this done? Are there any on-line articles on the subject?

Several articles on the site regarding insualtion. See my first 2008 for some ideas. Turtle has a great post on insulating too.

8) Also, are extra cargo tie-down points really necessary, or are they needless cost-adders?

ABSOLUTELY!!!! When some polite driver pulls out in front of you, forcing you to slam on the brakes, unsecured freight will push you right through the dashboard. Nuff said? Safe carriers will require e-trac bolted to the floor with a piece of plywood between the two tracks. (See my other 2008 pics)

9) This one's really, really bugged me. I see lots of people advertising 95% or 99% no-touch freight. Yet, I've spent a good few hours unloading trucks in factories myself. Obviously you can't get a fork truck into the back of a one-ton van, nor even a pallet-jack. So, how is loading and unloading accomplished, if not by hand? Or, is the driver simply not required to help?

First pallet will get lifted off the rear of the van. Second pallet requires a tow strap with hooks dragged by the fork lift to the rear for unloading. Most professional carriers will pay you additionally if the load requires handling. I have done one in 6 months only because the skids were stacked too high and the load had to go. They were small empty parts bins weighing about 1/2lb each. The forklift operator tossed them from the pallet into the van and I stacked them. $25 for loading and another $25 for unloading.

(BTW... As a GM worker, I see every day how mistreated the expedited drivers are. When I can, I go out of my way to help them get unloaded. The root problem is that small, irregular loads aren't anyone's assigned jobs in GM plants, or at least the ones I've worked in.)

10) No, I'm _not_ crazy, considering going into this business when things are so slow. My goal is to have most of my learning curve accomplished, my financial groundwork laid, and my van selected, bought, and ready on the day that I retire, a year or two from now. By then, things oughta be picking up again, and a lot of marginal operators (sadly) will no longer be competing with me.

Agreed, in two years the pack should be thinned out a bit.
Personally, I'd put the money into the hands of a reliable funds manager and get a job delivering prescriptions for a local pharmacy. You'll be money ahead. IMHO

I've been picking the brains of a recruiter or two as well, and studying everything I can find. THANK YOU to this recruiter, to everyone who's put so much data up on the 'net for public consumption, and to all of you who read this and take the time to answer!

 

[ATeam]

I've been reading the forum attentively (researching well _over_ a year back, thank you very much!) and have some questions that I haven't seen addressed elsewhere.

It is clear from the kind of questions you are asking that you have indeed been researching the forums and read over a year back. Good job! You are already demonstrating more industry knowledge than a number of people have before they jump in.

 

[LDB]

I only operate straight trucks so I can't answer many of your questions however I can answer a couple. For accounting you can do no better than John Turner. See truckcpa.com for info and listen to him on XM on Wed during Dave Nemo's show. Your warranty on a new van can not be voided wholesale. You are protected by the Magnusson Moss Act. Certain portions of the warranty might be voidable provided it could be proven that a modification done by an unauthorized source was the cause of a failure to a warrantable item. Otherwise all warranties apply. Keep researching. Vans are the toughest segment of the business so be sure before you leap.

 

[highway star]

(BTW... As a GM worker, I see every day how mistreated the expedited drivers are. When I can, I go out of my way to help them get unloaded. The root problem is that small, irregular loads aren't anyone's assigned jobs in GM plants, or at least the ones I've worked in.)

Since I've been in a straight truck I've had no problems getting unloaded. I was the victim of "that's not my job" stupidity when I was in a cargo van quite a few times. A good example was Fenton, Mo. I waited 45 minutes for the "utility" driver to come to take off my 1 skid because it wasn't the job of the guy unloading trailers. What really drove home the stupidity of the situation was when, about 15 minutes into my wait, he came outside for a smoke. About 10 feet away from my van.

I'm not saying that it's that bad at every plant you go to, but some seem to take union stupidity to greater levels. You sound like you're one of the good guys and for that I thank you!

 

[EagleRiverWI]

You should do a lot of checking here to find out if vans are being put on by companies, before buying one. I was considering downsizing to a van because it was hard making my payments on my straight truck. I changed companies instead and am doing very well now.

 

[Rabbit]

I'm very grateful for all the help-- thanks!

Eagle, I intend to stick with a van for four reasons, though of course I still have time to change my mind. One is that I currently own and have driven for years a Chevy K-3500 pickup. Therefore, I'm very familiar with the 1-ton GM product and its maintenance needs. More importantly, perhaps, I'm _confident_ in it. When I venture out into an alien career-world, I hope this will help me succeed. Second, I _do_ intend to do some tourist-stuff, particularly the first year or two, and I get the feeling it'd be a lot easier to park a cargo van at, say, the Henry Ford Museum than it would anything else practical in this industry. Third, I've no place I can legally park a straight-truck during any home-time I may get, while a van is no problem. Though eventually it may become worthwhile to rent a spot somewhere and take a taxi or something to and from it, I would rather try the lifestyle first before going that far. And, fourth, I've read so many contradictory threads arguing the merits of a small cube-van versus a regular one versus a Sprinter that I can't determine that there's a consensus on one over the other. While there are clearly advantages for larger team-driven straight trucks, I don't _want_ to team-drive. I'm a loner at heart, and I'd sooner just not-retire where I'm already at. Or do you drive a straight-truck solo, Eagle? I have found very little info on this option.

A-Team, LDB, and Star, THANK YOU for your kind words and advice as well!

 

[MCBuggyCo]

It is possible to fit three standard pallets in an extended van if you put two of them in "sideways". It makes it a little trickier to get them out but sometimes you have to do what you have to do.
Speaking of which, about a week ago I delivered in Chicago and had to hand unload 72 boxes each weighing 66 lbs. I don't work for a big company so I didn't receive top dollar for my effort but I also don't have to fool with Qualcomms, escrow accounts, and all the rest of the baggage that goes with the big companies.

 

[theoldprof]

Hey, Rabbit. I sent you a PM.