Newb seeks guidance...

[DT101]

Hello everyone, I have been around this site for a while and have been wanting to enter this field (lifestyle) for a long time. This new year Im buying a van (God willing) and changing careers. I have sooo many questions. For starters I read how some people have multiple companies they contract for, (how does one go about that and is it better than having one company thats dedicated???)

Also,the few companies Ive talked to want newer (at least 2010) vehicles yet I read on here that some people are looking for 2005 vehicles to expedite??? Should I keep shopping around with companies? Price difference is great between 2005 & 2010 vehicles.

The companies I have spoken with also say they wont pay first check for 3 weeks??? Is this normal in the industry. Im not rich and am trying to get a van and the bare minimums to be able to start and am somewhat worried about not getting paid for 3 weeks. I would think atleast a gas advance of some kind. This company also "deducts" insurance, qc, and 1000 escrow. Is this normal, I have found some companies that claim they dont deduct these things but is it better to go with a larger carrier and pay these to get more work or no?

Thanks for any advice!

 

[BillChaffey]

There's a ton of advice here about large vs small companies. I'm not sure the beginning of the year is the smartest time to start. There are list(s) of companies on this site. You may want to start the process of calling or e mailing each one to see what they require from you and what they offer. If you can get an e mail response at least there should be no misunderstanding on what is offered & expected.

 

[highway star]

Bill's right, the first part of the year is tough, and it's toughest for vans due to the glut of them in the industry. Stick with what you're doing until at least the end of March.

 

[danthewolf00]

Your best bet is one of 4 carriers.
1. Load-1
2. Express-1(xpo)
3. Tristate
4. Bolt express
These are the 4 of the top 6 carriers.

 

[ntimevan]

Run Forrest Run. ........lol

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[Mailer]

The companies I have spoken with also say they wont pay first check for 3 weeks??? Is this normal in the industry. Im not rich and am trying to get a van and the bare minimums to be able to start and am somewhat worried about not getting paid for 3 weeks. I would think atleast a gas advance of some kind.

As an owner operator in an expedited cargo van, you have to have $ to cover your personal bills for atleast 6 months. Then, $ to cover the cargo van business expenses for atleast 6 months.

Add both expenses up. That would generally be an amount you should have in the savings before you come out.

It might be a few months before those paychecks start to get big enough to pay both bills. So realistically, if you are concern about not getting paid for 3 weeks or don't have cash for fuel, to be honest, you are not ready to come out just yet.

Do some more research and write a business plan. The business plan will give you more clearer picture of the expediting business especially in term of incomes and expenses.

Best of luck

 

[xiggi]

Mailer makes a good point but many of us have been in a position where saving that kind of money is not possible. When one needs to make money there is nothing to do but cross your fingers and just jump. All I say is beware of the hazards your facing when doing so.

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[Mailer]

Mailer makes a good point but many of us have been in a position where saving that kind of money is not possible. When one needs to make money there is nothing to do but cross your fingers and just jump. All I say is beware of the hazards your facing when doing so.

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LOL xiggi I believe that's called "luck" or "good karma." I have seen it at work and I do believed in it But before you jump, check your good karma credits, to see how many points you have left, LOL. Eitherway, you do have a point there. There's always a good chance of making it in this business. With or without adequate start-up capital, but atleast have the good backup plans

 

[x06col]

LOL xiggi I believe that's called "luck" or "good karma." I have seen it at work and I do believed in it But before you jump, check your good karma credits, to see how many points you have left, LOL. Eitherway, you do have a point there. There's always a good chance of making it in this business. With or without adequate start-up capital, but atleast have the good backup plans

Allthough I would rather be "lucky" than good anyday, there is still things that as in all of life that you have to practice to give you that "when preparation meets opportunity" moment. LUCK! I believe they are dilligent research, work ethic, adventurous spirit, being able to sluff off adversity, considering austere and adequate for a while is OK, and, staying away from the coffee klotches at the truck stops. There are many ways people fail in this industry, and the main reason is foolishness. By that I mean letting your Company highschoolers cause you to do things that are not in your interest, and becomming upset about it.
DO NOT let your Company know your resources are thin. Good Luck in what you decide. I'm not a vanner and never have been.......suggest you look into a real truck. Some can be had for less than a van.

 

[str8trk]

DT101 ... As Mailer advised, if your liquidity position cannot sustain your personal and business expenses for a minimum of 6 months, then you're setting yourself up for a very hard fall. To be candid, if operating a vehicle as a means of livelihood appeals to you, then I would recommend scrapping the cargo van idea and make a long-term investment in yourself. Consider going to a driving school and get a CDL, even a class B will open up many more opportunities than you might think. While there are always exceptions, most newbie cargo van expediters come to the quick realization that it's a tough road for minimal reward. It's simple math really, supply far out-weighs demand.

If your committed to the van world, make sure you do your homework with prospective carriers:
1. Make sure they are in fact signing on new vans ( Many are not )
2. Base your vehicle acquisition on the requirements of the carriers willing to sign you on

Do not even think about trying to go it on your own with a multi-carrier approach until you've got some experience under your belt ... Like at least 18 months.

Good luck to you

 

[Lawrence]

DT,

Please consider running for a reputable fleet owner first - like our very own Dave KC or call the folks at Expediter Services or call them at 888-502-8103 ask for Jeff Tacker.

 

[zorry]

Wouldn't a newbie in someone else's straight do better than a newbie owning his own van ?
Less stress, less risk ?

 

[roadeyes]

Mailer makes a good point but many of us have been in a position where saving that kind of money is not possible. When one needs to make money there is nothing to do but cross your fingers and just jump. All I say is beware of the hazards your facing when doing so.

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While its true that many don't or are unable to have 6 months of savings just in case, if you don't have say even at least three months savings or some kind of secondary income stream, more than likely they are the people that will end up running for cheap just to keep the wheels turning to sustain some kind of cash flow simply because they didn't come into this business well capitalized in the first place. I would say these type of people are the most detrimental to the industry and are more responsible for downward pressure on rates than any other reason.

 

[str8trk]

Wouldn't a newbie in someone else's straight do better than a newbie owning his own van ?
Less stress, less risk ?

I would contend that in most cases ... yes. While there are other reasons the van is appealing to some people, I can see where a newbie might be inclined to think that easing into the business in a van and then progressing to bigger equipment is a logical path. I'd be willing to bet that the vast majority of those that start in a van either stay in one long term, or leave the business fairly quickly. Just my .02

 

[WanderngFool]

Personally I find attraction to the "lifestyle" a red flag. If you're into solitude and boredom it's a great lifestyle. Personally I don't mind the solitude but the boredom makes me bonkers. I don't like the inactivity or the almost certain weight gain either.

But other than that it's a great lifestyle.

 

[KickStarter6]

Personally I find attraction to the "lifestyle" a red flag. If you're into solitude and boredom it's a great lifestyle. Personally I don't mind the solitude but the boredom makes me bonkers. I don't like the inactivity or the almost certain weight gain either.

But other than that it's a great lifestyle.

Get a personal gaming environment, a ps3/ps4/Xbox1/xbox360, some games to play, and a good battery inverter combo and you boredom will go away lol. Play long role playing games or sports games. Good waste of several several hours. Plus I know from experience that a TV and a 360 will put out a lot of heat so you don't even have to use your heater

 

[WanderngFool]

Get a personal gaming environment, a ps3/ps4/Xbox1/xbox360, some games to play, and a good battery inverter combo and you boredom will go away lol. Play long role playing games or sports games. Good waste of several several hours. Plus I know from experience that a TV and a 360 will put out a lot of heat so you don't even have to use your heater

But when I play games I crash into things!

I get bored driving down the road. Maybe I'm the only one. I don't think staying between the lines is very stimulating or very good exercise.

I was in a welder's shop the other day. He's doing a lot of wrought iron work. Handrails and stuff. Blueprints spread out on tables. Tables that operate as jigs to handle rise and run calculations. Interesting stuff. AND he was using his body throughout the day instead of letting it atrophy.

I drive and I'm not complaining but there are significant negatives to driving.

 

[DT101]

thanks everyone for their input! although I do not have a nest egg that could last me 6 months i really think id enjoy this job. the old saying is id probly do it for free... etc however It will actually cost money to operate this business and I want to be able to do so. I understand the concept of not accepting low balls as it hurts everyone in the business long term. Another question is what kind of auto insurance policy should I be shopping for? thanks again!

 

[KickStarter6]

But when I play games I crash into things!

I get bored driving down the road. Maybe I'm the only one. I don't think staying between the lines is very stimulating or very good exercise.

I was in a welder's shop the other day. He's doing a lot of wrought iron work. Handrails and stuff. Blueprints spread out on tables. Tables that operate as jigs to handle rise and run calculations. Interesting stuff. AND he was using his body throughout the day instead of letting it atrophy.

I drive and I'm not complaining but there are significant negatives to driving.

Bored while driving an gaming console can't fix lol. But that's why god gave people the brains to invent ESPN radio app for phones, sports overload all day everyday it's like the 6th best thing of all time lol

 

[cheri1122]

Personally I find attraction to the "lifestyle" a red flag. If you're into solitude and boredom it's a great lifestyle. Personally I don't mind the solitude but the boredom makes me bonkers. I don't like the inactivity or the almost certain weight gain either.

But other than that it's a great lifestyle.

Hey - I was attracted to the 'lifestyle' 10 years ago, and I'm still here! Course, I was driving a t/t then....
If you feel bored or inactive, that's a choice you made, because there's a lot you could be doing instead. I listen to audiobooks [anything from Dickens to steampunk] and it makes the tedious drives go by quick. As for inactivity, get out of the truck/van and do something! I've seen drivers with bikes, basketball & hoop, or just a dog to walk. You have to work with what you've got, but if you don't make it work, it's too much like work. Does that work for you?
Sorry to derail the thread, but newbies ought to hear it too, I think.