Im an owner operator running on my own authority. You will never see the big money in this industry leased on to ANY company. Get your own authority and learn to work broker boards to find your own trips. I do not run anything paying less than $2.70 a mile. 50% of my loads pay $3.10 to $4.00 a mile. This guy is talking about owner operators who lease on to companies, big mistake from day one. Educate yourself to get your own authority. As far as credit, your not going to buy a truck and trailer with a less than 670 credit rating. Your credit score is everything when it comes to success. Never have less than $20,000 in capital and a $10,000 credit card limit for a rainy day. I pull a refer unit. I can haul dry van, haz mat or temperature control loads. Buy a refrigerated trailer. More load opportunities. There is no short cut to success.
Thank you for this information sir. It's crazy because what you were saying was the exact things I thought about. Thank you so much and keep safe out there 💯
And don't take the first offer from brokers off the DAC board, they want to send their kids to college on your labor, you can always get another 1000 to 1300 bucks out of them for a load if you can load it that day
Tom, that's not exactly true. I've been in this business for over 30 years. I've leased on with a few companies, and done much better, than I would have, running my own authority. I have one rule that applies to myself, and my drivers. My bottom dollar, the absolute lowest I'll run my trucks for, is $1000 a day. Again, I run in a very small market, but I won't turn the key for less than 1k a day. Most days, it's well over that. Most days are 300 to 400 miles home every day, and very light loads. So, leasing on with someone, in some instances, can be very profitable. I don't have the headaches from searching for loads, negotiating with brokers, or anything else. My insurance is cheaper, and I'm able to have a predictable week. I'm not knocking what anyone does, just correcting your statement about, you'll never see big money leased on to ANY company. You can make big money leased on with some companies. The biggest benefit is not spending time dispatching yourself. Instead, that time is used to make money.
Bro are you know how much is the insurance alone , and plus are you count empty miles , are you count maintenance on the trailer , I net 14000 a month power only and my fix cost is only 450
@@gst4043 insurance is 230$ a week, why do you make it seem like its alot?! Never, ever! will you make out better Leased to a co. or leasing a Truck from said co.!! PERIOD, FULL STOP!
I was taught to split my gross like the following: 33% goes into a TAX savings account, 33% stays in your business account for overhead expenses, and 34% goes to your personal account as your net payment.
Been a o/op skateboarder 15 yrs, im still standing by the grace of god and sheer determination not 2 fail. I went 2 yrs without a ac, thats how determined i was not 2 fail, it was a baptism by fire i assure u, a very expensive hard lesson. The hardest most aggravating thing ive ever done in my life!
This is my goal!!! Find a good old truck, manage money to have a good maintenance account and living a good life. But how can you do it here in Canada with low rates like that?!
I think the biggest reason for owner operator failure, the so-called elephant in the room that you failed to see is the absolutely dismal per mile rate for owner operators in Canada. Yes, there is some truth to the reasons that you gave but all these reasons fail in comparison to this big one. The per mile rate right now with the price of fuel should be at least $2.10 a mile for dryvans. With all due respect, 1.50 is absolutely nothing. You are setting people up for failure. I tried being an owner operator three times and every time I failed. Right now I’m working as a local fuel delivery company driver and I’m making way way more than I was making when I was an owner operator.
I hauled gasoline for 7 years in LA. I could get a job making 35 an hr tomorrow with my experience. I make 3 to 4 times that much with my own truck. I failed too the 1st time paying 35% intrest on three bank loans with two trucks and one trailer Now I am paying 13% intrest and making up to 2k a day with one truck @ 2 to 4 bucks a mile Power Only. The hardest part about being your own boss for me is making sure I stay on top of my game ! As a company driver you can get fired but that's as far as it goes. As a company owner if you fuck up to bad you eat shit and go out of business instead. A lot more responsibility involved I admit but it's also much more rewarding in the end if you get it right Good luck with the fuel job 👍
@@usasidekicks2568 Thanks, man! But that's exactly my point. 2 to 4 bucks a mile (US dollars, I assume) is unheard of rate in Canada. Even Ronan's company pays their owner operators 1.55 Canadian a mile, which is only 1.23 US. With the majority of driving being in the US I think you won't be able to survive on that kind of money. The highest rate here in Vancouver BC is 1.75 Canadian (1.39 US). I make 35 bucks an hour hauling fuel locally here in Vancouver as a company driver and I am happy
@@lorenzjaims7117 I bought my truck last December on Xmas day and luckily the purchase was perfect timing. Truck prices have gone up this year considerably because of Covid
@@lorenzjaims7117 The Colton pipeline, I've been there many times and I pass it on my way to FedEx ground right down the street on occasion for outbound loads. Rates are high but so are truck prices and I plated my truck in the Midwest. California is a cash cow, you'll pay more for everything! I speak from experience as I was living in Huntington Beach years ago when I got my 1st truck. If your FICO is less then 700 I'd work on getting it to 700 or better or else you'll be paying out the ass in high interest rates plus high fuel prices ect. And lastly if your a 1st time truck owner you'll be in a high risk insurance category as well. Might be better to just take the fuel truck job be patient and save up funds for a year or so. I worked my ass off all last year to save up a hefty 12k down-payment. You can do it but it doesn't happen over night or in a few months. Bottom line is you need to figure out if your in a good position to buy a truck. Don't just jump right into it
My biggest problem was volvo dealerships that was resetting the parameters of the sensors the bring on the check engine light. Started going to different mechanics and I'm finally doing better
This guy is spot on learn how to work on your truck,free labor is always good. have the truck inspected at a dealership . dont buy an old truck unless you are ready to rebuild it. engine,trans,driveline,senors,tires,shocks,brakes,radiators,fan parts,hoses,air lines, all that. and still you cant go home.
Thank you my dad has been against me buying a truck. He is a farmer and understands the struggle but I can save and live on little. I told him I can make it.
One thing alot of these long time drivers have told me on the road is that you don’t need the newest nicest trucks to become an owner op, an old reliable truck can get you the same mileage as a new truck for a fraction of the cost with no contracts holding you down.
As far as mileage goes you’re full of shit. New trucks can easily break 7 1/2 miles per gallon and you’re lucky if you can come close to 6 1/2 or seven with some of those old rigs.j
@@jmacd8817 So who would be more full of shit? The drivers who told me that and older truck can run the same amount of miles as a newer truck? Or you for not understanding the sentence and tryna start shit?
@@Nojirou_ data talks, anecdotes from old timer truckers is, un, less reliable in my experience. Here's a vid with data: ua-cam.com/video/Q1qu_uW0ot0/v-deo.html The guy talking is an old school trucker, just sold his W9, and is trying out new trucks for his company. The guy he's referring to, Ronen, is an arrogant jackass, but he loves his numbers and the data. So, am I trolling or trying to start shit? No, but I call bullshit when I see it. I'm not saying those dudes are lying, but I would guess they're remembering the best case fill ups.
@@Nojirou_ here's a video of me, just now after fuelling up ua-cam.com/video/S2xE4YpKOz8/v-deo.html A 2nd vid of me is uploading. I didn't want to be "that guy" blocking the fuel island. I'll post it when ready
I personally wouldn't ever become and owner operator. I am happy making 3K biweekly as a company driver. Props to all you owner operators out there, I have mad respect to you.
I was a diesel mechanic at a Volvo/Mack dealer in CA. Have two cousins, first one started off with a later model Volvo VNL with an Ishift trans, had about 700k on the clock. Told him to always have 30k in the bank and a credit card with a large limit as a backup for a shit hits the fan scenario. Second cousin started with a 90s KW with a series 60 that ran like a damn top. First cousin listened to me and was doing great. Then decided to start spending money like it didn’t matter. Couple months later his Volvo needed a trans. Repair was about 12k in parts. He gave up the truck and is now a company driver. Second cousin is living well within his means and is thriving. You don’t need the fanciest truck. If you do get less fuel economy because the truck is older you’ll more than make up for it in down time. The older engines and transmissions are cheaper to repair for the most part. Not to mention they’ve been around for so long their failure points are well documented. Just don’t buy something that’s a helterskelter nightmare of parts and been slapped back together with sheet metal screws and chicken wire. The cab and chassis electrical and integrity is important too.
These are all good points. I’ve been independent operator since 2008 and I would definitely recommend everyone to be debt free before buying a truck and don’t spend to much on your first truck. My first truck was $11K and it served me well for almost 4 years before I had to get another one.
Well, as much as those 12 points you make are valid, there are others that are way WORSE, and are indeed what will brake an Owner Operator. Won't go much into details but, here are the MAJOR REASONS: DISPATCHERS, MANAGERS, COSTUMERS/RECEIVERS, AUTHORITIES (police officers, DOT, government, etc)... ALL THESE are for me the MAJOR reasons things do NOT work out for Owner Op. I have 30 years of experience, as company driver and as Owner Op. It is a BRUTAL career.
As a diesel mechanic and a yard driver, I've been starting to get pretty serious about finding a 25-30 thousand dollar and getting the owner operator lifestyle going on. I've done complete overhauls on tractors and trailers. I can only imagine what it's like buying a 100,000$ w900 and expecting to make it with the payments. Having my own tools and the knowledge has got to be a boon in my corner. This is the umpteenth video I've watched tonight about becoming an owner op. I can back any trailer in into any spot. I can fix and diagnose most any problem. I'm hoping that with 50 grand and a decent line haul contract I can get started being successful in this business. I'm tired of busting my ass working as a fleet mechanic and take the step into living in the cab and making more $.
I definitely thought I'd be able to jump into being an owner op after my first year driving. But now here I am 7 years in and im just about to finally get into it.
Excellent information!! I appreciate it! Been driving for a solid 10 years as company driver. Driving CDL 20+ and am finally taking the step to owing my own truck. I have takes a notebook of notes from you all there that has emmensly helped me prepair! Keep up the Great work and keep the knowledge flowing please!! Thank for all of this priceless info!! Much love from the US!!
My downfall was a lease. Had it occurred to me (or been advised by the recruiter) to get a 10 year business loan to pay for it, I wouldn't have been on the hook for $960 a WEEK instead. There just wasn't enough miles a week to pay for everything.
ET is giving us a clear view on what to do and what shudnt. Especially new comers like me from a different career background and having a passion towards truck driving. You are Really doing a great job.
I think Brian deserves a t680 with diamond interior. Thanks for the video absolutely true, I started up 3 years ago with my own authority paid cash for first truck and car trailer 2 months later had to buy new used stuff in a pitch because I didn't get things checked and got screwed but I got through it got a truck peterbilt 579 240000 miles on it and thought I was buying a great truck but ended up buying a truck with lots of makeup/paint on it. 300000 miles later paint is peeling and they painted over the ifta sticker turns out it was in a major wreck. But now buying my first new truck very excited. T680 paccar 510 hp 1850 tourq 264 rears 12 speed auto. Unfortunately I learned the hard way by doing it.
Oh my name is Brian also and very low personal debt and been driving 26 years and brought money to the game with me. Started out 80 grand in the bank and awesome work ethic.
Some really good information. I think many would be successful if they were more patient. They should first find if they like driving first, then see if they can treat the truck they're driving like THEY own it. How long will your clutch last, brakes, and other things that poor driving habits take a toll on. Repairs are costly, especially when they can be avoided. I used to watch Indiana Jack here on UA-cam, he bought his truck from the carrier he drove for, it was the company truck he drove, he knew the truck well. He then signed on with them, he knew their running lanes and other things. That's not a bad idea to think about. You'll know the truck, and the company you'll sign on with. I think too being mechanically inclined is a big advantage. Having money saved is going to really make a HUGE difference in stress and success. I seen getting a business line of credit is the way to go when financing. Knowing too what to buy is another hurdle. I would think having a truck that can be used for a couple different things could be beneficial, thats where research and asking questions is a good idea. Even things like an APU would be a must for me, it'll pay for itself, and make life on the road enjoyable.
@7:09 1) Take the 30 grand that you're going to put down payment on a new/newer truck-tractor and put it back in to your pocket; 2) Take the twelve to fifteen grand of the aforementioned 30 grand and buy a pre-emissions truck-tractor that has a good engine, a good transmission, and good axles, and preferably good tires, and you needn't worry about the condition of the Ded system because there won't be any: do a compression test on the engine and test drive the vehicle going through all the gears. 3) take the other twelve to Fifteen Grand to refurbish it: you're most likely going to have electrical issues so if you're good at chasing down shorts are rewiring trucks so much the better. And if you're in an urban area like I am, Chicago, parking is scarce and finding the Holy Trinity and truck mechanics that have the competency the affordability and the availability is even more scarce. Don't try and make a living while residing in the hinterland like Arizona and expect to make it in Dry Van. Make sure your Intermodal rates good enough so you have business income. I don't see flatbed paying much more than dry van so I don't think that's worth it. Long runs are competitive at don't have the profitability that Regional runs do.
@Please shut up Apologies for not shutting up but thanks for the reply. If you are a one-man show like me, we just can't afford the maintenance issues of the emissions stuff after 2007 like the Mega Mills like Schneider Werner Swift CR England USX. Anyone who says they're getting over 8 miles per gallon with these newer engines towing 70000 or more pounds I think is BS. And furthermore I don't have to mess with DEF fluid since my truck is pre-emmissions.
You are spot on dude . I bought a truck for 25k and I knew it needed work so I didn't pay myself anything until I got it fixed , now she's a money maker . And yes it's always on your mind when you're at home 🏡
I really should have watched this video before, at 1 Year Exp, I leased at 18% an achey breakey 2012 Maxx Force, leased on to Swift Trans for $1.10 a Mile, and doubled down on debt to bling the truck out. Sounds like a joke now. It was my life until the repo people came and I was left 90K in debt, off to a new indentured life as a Swift company driver. Those creditor sharks are still after me 5 years later, wanting more than they lent me after I repaid half the loan. Once Bitten, Twice Shy. After small time credit payments restoring my credit score to 720, Im thinking about renting. At least I won’t have to repair it ! Or maybe that’s just the one mistake I haven’t made yet.
Sorry to hear about that, must have been hard. Yes the lenders can be brutal. Best of luck. And hold off with renting, lots of good opportunities in both USA and Canada
Thank you ET. TRANSPORT. This channel is giving me alot of insight and knowledge so I can be successful in the trucking career one day when I start working in Canada. 🙏🙏🙏🙏
Thanks dude even though you don't know what the inside of a truck looks like, drove truck 30 + years zero accidents or tickets I think if I were to buy a truck I would buy a older reliable work horse like a mack and haul pigs that way you'll be home everyday and do ok I also realize my expenses to live must be reasonable but I was a driver 30 years making maybe 1000 a week so I would definitely have zero problems living within my means I would buy a pickup but it would be a older pre computer pickup with a carburetor points condenser ect...that's the plan after my kidney liver spine surgery, after a few years I could take a vacation and invest in other income producing hobby again.
When going into a dealership take an owner with you don’t care if you have to pay the for the time spent. Now if you go in with someone family friends don’t talk at the desk they sit you at never! Go in with the number that you can make work know your credit before you go. Man can’t say this enough never talk the deal at the desk they sit you at listen to the deal. They will talk the deal and watch you look at each other and he will wait might ever say let me go talk to my manager while you and your people talk they are at the managers table listening to everything you say. Read these words they use the phone at the sales desk to listen to every word you say. You have a payment in mind and you say it they will use it to burn you or down payment, man take a walk to talk. Then sit back down and lowball them make them work for your cash. Watch more videos not just buying a truck but on buying a car it’s the same experience.
Hey Ronan thank you for making this video. This will help educate new drivers in our business. Drivers need to do the math on everything . Please be smart. Consider the experience and advice of drivers that have been doing this a long time. All my fellow drivers be safe out there.
Nice video" for not being a driver your pretty much spot on about the finances of Owner Operators, Saving money is a Absolute must , you have to think small and save big
He is dead on with the trucks. If you can't pay cash, it's NOT WORTH it!!. As a new owner operator, the first thing and most important is building the business savings account!!!. Tires 5k, breakdown or stuck in mud or snow could be 2k, so he's absolutely right there too.
Trouble with reliability Ronan is that all trucks can and will break down eventually. A proper business plan should account for this, but it doesn't really matter what make, model, powertrain of truck you have, you're going break down. It's inevitable, so as you point out, you've got to have a cash reserve in the bank to cover it. On that point, how much do you and ET's o/o's think a driver should have in the bank prior to starting out as an o/o and how much should a driver leave in their corporation? Good video Ronan!
Your advice is gold ! A lot of the points regarding money management should also be taken up by the employed driver as well . Avoid becoming one of the working poor . Between ET transport and Minority Mindset channels the path to financial independence is clear .
Managing money is CRUCIAL to becoming wealthy right where you’re at. I’m currently putting a course together that includes exactly this - for truck drivers. It’s so important!
A lot of good points.. I think finance rates, bad equipment, and money management are the main ones… I follow pretty much every one of these steps EXCEPT time I became an O/O with 10 months, however, I had no debt. Good credit, and a little safety Cushing .. also spent a lot of time educating myself in the good the bad and the ugly of the industry (still do that you can learn every day a little more) if you take it serious and treat the job as a career I think you have a better chance to succeed
@ET Transport two biggest mistakes I see OO make are like you said life expenses. But secondly they listen to to many jail house lawyers. Choose a nice safe plan that works for you and stay with it.
You know, I'm getting back into the industry after a 15 year hiatus, and have been brushing up my knowledge. I'm getting really tired of everyone saying that you need 2-4 years of experience to do....fill in the blank. If after 1 year you haven't decided whether or not the industry is for you, then don't buy a truck. The criteria for O/O should be desire, and open eyes, not something predicated on miles and years. This is the only industry where it's pounded into a person that you have to drive for years and years before you are smart enough to decide what risks you are "worthy" of taking. Don't get me wrong, the info is great, but the constant harping on "experience" in terms of years is rather condescending. A company drivers "experience" is only relevant to an O/O's experience in that they both need to know how to drive a truck. If you haven't figured out how to drive a truck in a year...then...um...well that's just scary.
There’s definitely some truth to that. You will never develop a business mindset as a company driver alone. You have to invest the time on your own to learn it or have prior experience in business.
Could you inform us about the situation with the Covid-19 vaccination? Is that compulsory now? Could any company force illegally the drivers to get to be vaccinated? What is happening with the driver who won’t take the vaccination?
Thank you for your videos, I am a Nigerian. I have been driving tankers in Nigeria for over 6years. I wish to immigrate to Canada to work (drive trucks). Could you give me some tips on how to go about that. Thanks
I made the same mistakes a year ago and I am currently struggling, I have been trying to keep the business afloat with cash advances loan. Very stressful, I am trying hard to stay in business but don't know if I will be able to succeed.
I highly and I stress highly recommend everyone take Dave Ramsey's course on economics and getting out of debt and how to build wealth. It is as no nonsense and clear and simple and no tricks and, also.... free.
I've been listening Dave Ramsey I have payoff truck I buy it for 12,000 fixing myself by my own trailer from Penske for 9,000 I've been driving my truck and trailer for 3 years I have never have any major issues I'm about to pay off my house this month it's not that hard to refuse finances
When you’re a company driver and don’t have to worried about anything except holding steering wheel all day with 76cpm and you drive 5,995 or more miles for 2 weeks pay $4556.2, now that’s a win win situations worried free and still bring easy 7k-9k home monthly. It depends on you if you want to work hard or not, anything is possible if you have nearly 17 years experiences with the right company.
I got my Cdl at 21 currently 25 1yr been a owner operator been the best thing for me I’m making 5k clean after diésel and expenses just finished paying my truck too was 60k and I’m saving now to get a second one and hire a driver
@@aitransportservicesllc584 that’s good to hear and hopefully you’ll grow bigger with the right driver who’s willing to go the extra miles..Thought about purchasing a truck but rather be worried free when there’s company willing to offer veterans more pay.
@@kevingrant4491 I’m on 1099 lolz, it’s the same thing putting yourself on exempt for a few months on W2, plus I have 5 kids to claim until they’re 18, that’s when I’m screwed paying taxes back.
@@aitransportservicesllc584 Can you please tell us step up by step what you did? So newcomers like me can learn. When you became and owner operator, did you buy an older truck, newer truck? How much did you put down? what was the interest rate? How do you find loads? Thank you
I've driving a long time and I've driven many trucks and thought about this hard. I am probably buying my buddy's 379 when he retires in 3-4 years it's got a cat 6nz and he's rebuilding everything. He's crazy particular and treats it like his baby. I plan to buy it cash that way I don't have payments. And I'll save a bunch and have $ for when I need stuff done or it breaks
@@John-kr7iz thanks !! I used to drive Pete's then where I am now has aerodynamic Volvo and kw but pay high$. Can't wait till I'm on my Pete. The 379 truly are my favorite.
@@danielmurray5326 Thats awesome! i like those trucks as well, but unfortunately I'm to damn tall to fit in them lol! but i wish you all the luck in the world
You only fail when you give up. Go through your trial and error so you can learn from your mistakes until you find your niche and successful formula. Basically, go into this with very little debit and overhead as possible.
Great video you do awesome work for the community appreciate your time and your effort to answer your question how to get a reliable truck make sure it is a 2003 and older that is pre emissions there's so much less I can go wrong with it they will go 2 million miles before you need an in-frame you cannot go wrong with a free 2003 truck. And some points that maybe you want to emphasize on as you're being a company driver know what the expenses are how much the insurance cost how long tires last how many cents a mile is that truck costing whoever owns it or oil changes breaks fuel Insurance tags that way you have an idea of what your expenses are going to be and whether or not you are able to afford those expenses when you add on your personal expenses thank you guys good luck Knock Em Dead
In response to your automatic transmission video you failed to mention the fact that manuals have better control at a speed control on climbing Hills and downgrades not to mention the fact that I think you're going through a lot of brake pads on your automatic models
I'm retired and have no intention of driving a truck but it was a dream of mine when I was young. Now I'm glad I never did. But I do find these videos very interesting.
That "driver" didn't make 10k or 6k. The truck made 10k... after fuel the "truck" made 6k... after fuel! You got a hell of a lot more "expenses"... comin' out of what the "truck" made before you ever get to what the "driver"... aka... "owner" "made". If you're hauling $1.75 freight this day and age... you're doing it cuz you love it... or you're a hobby trucker! We were getting $2.50 a mile back in the 80s! Stop hauling that cheap third party freight!!! If you don't, your days of being an "owner" will be short and heartbreaking!
_I’m a company driver, when it comes to money management I’ve learned my lesson over the years, I’ve been able to put away _*_$25,000_*_ these past nine months now_ _Nevertheless it depends on your circumstances of how much money you can put away per year, I have no kids so I don’t have to purchase necessities ordering for myself which is very minimal, I have no wife so I don’t have to buy sh!t I don’t need._ _I even gave up my apartment to do this business_
My circumstance is incredibly similar to yours! I haven't started driving again (it's been 15 years), but I'm starting in a little over 2 months. How are you dealing with no "home" address? I have a place to send my mail, but I'm curious to know how you're doing it? I mean, if you order anything online it needs to be sent...somewhere?
@@veracityseven _I will do lots of things online, I just opened a PO Box here in PA, my company only services one customer and that’s Fresh Express, LTL loads short miles and a flat rate of $280 per day even if the load is late and not ready until the next day, this is the first company I’ve experience where I don’t have to chase the money_
Good advice Ronan... One thing you left out especially regarding being a small business owner in the USA is not having a proper accountant. The taxman is not a joker. He is real and he can be your greatest nightmare. I have been self-employed most of my life. When I was young and started actually making money I didn't handle it well. I was enjoying the good life and growing my business at an astounding rate. Then came the end of the year... Can you say DISMAL news? Hadn't filed taxes quarterly. Hadn't planned for a large payment to Uncle Sam. I had the mechanics of the business running well but not the mechanics of dealing with the accounting. We can't be good at everything. Anyhow, I ran into serious trouble when I started being what I perceived as successful. Fortunately, my banker was able to head off having my accounts frozen and set me up with a good and not overpriced accountant. Also, you need a great bookkeeper. Your bookkeeper/office manager has to have a real working relationship with your accountant and know the tax system. Without knowing where every cent is coming from and going to YOU WILL FAIL. As you stated financial management. Your eyes need to be open and you must be frugal.
When your truck is at the workshop for repairs, don't have a day off, drive someone else's truck for the day in order to keep the money coming in. Well that's how I work it here in the UK. Time spent earning is never wasted time.
And the best way to go about it is the less people you have to pay the bitter of you can be. Save the money don't rely on the bank reduce reduce the spending each mother or find a way to reduce and even further.
I'm in Europe and I see only disadvantages with owning a truck. I get hired as an independent contractor. But I drive their trucks. I just state the days that I'm available and they plan me. I have zero worries. I have no monthly costs. This means I have a good place in negotiations. I have no big monthly expenses so I don't have to take the first offer. I also can walk away at any given moment. I make so much, for every month that I work part-time I could take one month off. I takes some time to find companies for this arrangement but they actually pay very decent. One was even telling me I charge way to little. Trucks are expensive heavy machinery and should be bought in a fleet so expensive maintenance just ads a little to the cost of the complete fleet. That way it's nice. There's no fun in owning one truck. That is just a burden and Russian roulette. Truth is the truck will own you.
Success with money has much less to do with how much you make than how you handle what you get. I wish I had figured that out many years ago. Now I am trying to catch up from way behind so I can have some sort of decent retirement. Just made a big play to get into the business and hopefully things work out. Ronin, you should sponsor Financial Peace University for your drivers. Great stuff. Thanks for another good video.
Thumb up! 6300$ is gross for 15 days, if work 30 days it will be 12600$, deduct aproximately 25% taxes and it is equally 9450$ in hands, is it correctly?
There is multiple things u can do with a corporation, I will actually do a video on this in the near future. The goal is to build wealth within the corporation. And not pay personal taxes on all the money earned.
This is an excellent video in how to Select and Purchase a truck. The 10 steps are so valuable to not only understand but to implement. Becoming an owner operator is akin to Beginning your own business. Cost minus Revenue = PROFIT Minimize cost. Maximize efficiency. Means maximizing profit. I'm in the process of developing a TMS product with remarkable features that no other company is exercising at this time. Bizlytics llc Business analytics Transportation General Management Software.
The biggest issue I see American truck drivers making is buying a truck with their ego and not with a business mindset. All these kids want the “classic” long hood trucks that get horrid fuel mileage but hey it looks cool so they get all sorts of attention at truck stops and on the road.
I guess I got lucky after my 1st 6 months driving for a company and being taken advantage of I went out and bought a brand new W900 Studio KW and I never looked back
New trucks are not reliable. They build them cheaper charge way more. My truck is a 99 and I purchased it for $15,000.00 have rebuilt it while running in my shop. It is a W900 1MM 600 Cat 18 over 3:55 rears. I run in high revenue rates roll by new trucks on side of the road day in day out waiting on wrecker service truck. New trucks have def egr def modules and have seen them setting for months waiting on parts. I get anything I need in same day with exception of certain items which may take two or three days due to out of stock have shipped in from somewhere that is in stock. I don’t know how you are going to make it in long term with a truck costing as much as a new down all the time waiting on parts some being new engine put in at 30,000 miles or overhauled. One big problem I see is driver’s in new trucks not checking their fluids daily just because it is new.
Thank for the negatives - and truisms people need to know about. Here's the positives people need to know about. 95% of US small business startups fail - so trucking may actually be a bit better.
Also, if you buy a new truck first you're a fool. Buy something from 2010 for 50k and drive it until you have enough to buy a newer used truck in cash. Interest is what kills new businesses
Or you could save out the money which would be what $20000 put aside Or 30 or 40 because of idiotic inflation, Maybe you can probably buy off your Carrier if they are selling a vehicle Now that would depend on if you like that vehicle that you're driving not saying to do that but it's a truck and if it is going to be sold which probably most likely it will be couldn't hurt to ask. And then go under your own authority Where you don't have an extra expense each month Or find out how much the trailer truck and trailer would be from the company you're working in Because it's a business Like any other business It definitely can't hurt to ask because you'll probably have a better knowledge on that vehicle what vehicle what was done to And what wasn't Done to it, Which would be a benefit if you really think about it. But if it keeps breaking down That pass on it we'll see if there's another vehicle Out there on the fleet.. If I were to start in a company like this that's the way I would approach it save up money don't rely on the bank, I would think after you get with that vehicle I would think maybe wait a couple months before becoming under your own authority your own authority or owner operator So that way you would get a little bit of a buffer zone make sure you have money for your maintenance because that is going to be the biggest part of part of any business like this is the maintenance. And I work driving for Uber whisper and wow that's the only thing I can say is wow how cheap these parts are marts are made on these vehicles it is just a shame how bad they are in a car I can just imagine what it would be like in a truck. And I put some money aside for escrow, Take a couple 100 bucks out for Yourself for food but save save save and oh yeah save. And stay away from those damn banks.. Do not borrow any damn thing not even a pen.
Im an owner operator running on my own authority. You will never see the big money in this industry leased on to ANY company. Get your own authority and learn to work broker boards to find your own trips. I do not run anything paying less than $2.70 a mile. 50% of my loads pay $3.10 to $4.00 a mile. This guy is talking about owner operators who lease on to companies, big mistake from day one. Educate yourself to get your own authority. As far as credit, your not going to buy a truck and trailer with a less than 670 credit rating. Your credit score is everything when it comes to success. Never have less than $20,000 in capital and a $10,000 credit card limit for a rainy day. I pull a refer unit. I can haul dry van, haz mat or temperature control loads. Buy a refrigerated trailer. More load opportunities. There is no short cut to success.
Thank you for this information sir. It's crazy because what you were saying was the exact things I thought about. Thank you so much and keep safe out there 💯
And don't take the first offer from brokers off the DAC board, they want to send their kids to college on your labor, you can always get another 1000 to 1300 bucks out of them for a load if you can load it that day
Tom, that's not exactly true.
I've been in this business for over 30 years. I've leased on with a few companies, and done much better, than I would have, running my own authority.
I have one rule that applies to myself, and my drivers.
My bottom dollar, the absolute lowest I'll run my trucks for, is $1000 a day.
Again, I run in a very small market, but I won't turn the key for less than 1k a day.
Most days, it's well over that.
Most days are 300 to 400 miles home every day, and very light loads.
So, leasing on with someone, in some instances, can be very profitable.
I don't have the headaches from searching for loads, negotiating with brokers, or anything else.
My insurance is cheaper, and I'm able to have a predictable week. I'm not knocking what anyone does, just correcting your statement about, you'll never see big money leased on to ANY company.
You can make big money leased on with some companies. The biggest benefit is not spending time dispatching yourself.
Instead, that time is used to make money.
Bro are you know how much is the insurance alone , and plus are you count empty miles , are you count maintenance on the trailer , I net 14000 a month power only and my fix cost is only 450
@@gst4043 insurance is 230$ a week, why do you make it seem like its alot?!
Never, ever! will you make out better Leased to a co. or leasing a Truck from said co.!! PERIOD, FULL STOP!
I was taught to split my gross like the following: 33% goes into a TAX savings account, 33% stays in your business account for overhead expenses, and 34% goes to your personal account as your net payment.
That’s a good way
Same here
Been a o/op skateboarder 15 yrs, im still standing by the grace of god and sheer determination not 2 fail. I went 2 yrs without a ac, thats how determined i was not 2 fail, it was a baptism by fire i assure u, a very expensive hard lesson. The hardest most aggravating thing ive ever done in my life!
I pay myself 850 a week. The rest goes in the bank. It builds a safety net. I still run a 98 385 peterbilt
That’s exactly how u need to do it.
Some guys just need a good example or mentor on how to manage money properly
This is my goal!!! Find a good old truck, manage money to have a good maintenance account and living a good life. But how can you do it here in Canada with low rates like that?!
11.000$ gross per week .who is interested?
0
@@nickalan8586 me 🙋🏻♀️
I think the biggest reason for owner operator failure, the so-called elephant in the room that you failed to see is the absolutely dismal per mile rate for owner operators in Canada. Yes, there is some truth to the reasons that you gave but all these reasons fail in comparison to this big one. The per mile rate right now with the price of fuel should be at least $2.10 a mile for dryvans. With all due respect, 1.50 is absolutely nothing. You are setting people up for failure.
I tried being an owner operator three times and every time I failed. Right now I’m working as a local fuel delivery company driver and I’m making way way more than I was making when I was an owner operator.
I hauled gasoline for 7 years in LA. I could get a job making 35 an hr tomorrow with my experience. I make 3 to 4 times that much with my own truck.
I failed too the 1st time paying 35% intrest on three bank loans with two trucks and one trailer
Now I am paying 13% intrest and making up to 2k a day with one truck @ 2 to 4 bucks a mile Power Only. The hardest part about being your own boss for me is making sure I stay on top of my game !
As a company driver you can get fired but that's as far as it goes. As a company owner if you fuck up to bad you eat shit and go out of business instead. A lot more responsibility involved I admit but it's also much more rewarding in the end if you get it right
Good luck with the fuel job 👍
@@usasidekicks2568 Thanks, man! But that's exactly my point. 2 to 4 bucks a mile (US dollars, I assume) is unheard of rate in Canada. Even Ronan's company pays their owner operators 1.55 Canadian a mile, which is only 1.23 US. With the majority of driving being in the US I think you won't be able to survive on that kind of money. The highest rate here in Vancouver BC is 1.75 Canadian (1.39 US). I make 35 bucks an hour hauling fuel locally here in Vancouver as a company driver and I am happy
@@lorenzjaims7117 I bought my truck last December on Xmas day and luckily the purchase was perfect timing. Truck prices have gone up this year considerably because of Covid
@@lorenzjaims7117 The Colton pipeline, I've been there many times and I pass it on my way to FedEx ground right down the street on occasion for outbound loads.
Rates are high but so are truck prices and I plated my truck in the Midwest. California is a cash cow, you'll pay more for everything! I speak from experience as I was living in Huntington Beach years ago when I got my 1st truck. If your FICO is less then 700 I'd work on getting it to 700 or better or else you'll be paying out the ass in high interest rates plus high fuel prices ect. And lastly if your a 1st time truck owner you'll be in a high risk insurance category as well.
Might be better to just take the fuel truck job be patient and save up funds for a year or so. I worked my ass off all last year to save up a hefty 12k down-payment. You can do it but it doesn't happen over night or in a few months. Bottom line is you need to figure out if your in a good position to buy a truck. Don't just jump right into it
@@lorenzjaims7117 👍
My biggest problem was volvo dealerships that was resetting the parameters of the sensors the bring on the check engine light. Started going to different mechanics and I'm finally doing better
This guy is spot on learn how to work on your truck,free labor is always good. have the truck inspected at a dealership . dont buy an old truck unless you are ready to rebuild it. engine,trans,driveline,senors,tires,shocks,brakes,radiators,fan parts,hoses,air lines, all that. and still you cant go home.
Thank you my dad has been against me buying a truck. He is a farmer and understands the struggle but I can save and live on little. I told him I can make it.
Go for it bro
Honestly,
I love this man. His advice , honest and share good knowledge. Thank Roni
Appreciate the positive feedback.
:)
Thanks for what you do! No owners of companies in USA are doing this! 👍🏻👌🏻
One thing alot of these long time drivers have told me on the road is that you don’t need the newest nicest trucks to become an owner op, an old reliable truck can get you the same mileage as a new truck for a fraction of the cost with no contracts holding you down.
As far as mileage goes you’re full of shit. New trucks can easily break 7 1/2 miles per gallon and you’re lucky if you can come close to 6 1/2 or seven with some of those old rigs.j
@@jmacd8817 So who would be more full of shit? The drivers who told me that and older truck can run the same amount of miles as a newer truck? Or you for not understanding the sentence and tryna start shit?
@@Nojirou_ data talks, anecdotes from old timer truckers is, un, less reliable in my experience.
Here's a vid with data:
ua-cam.com/video/Q1qu_uW0ot0/v-deo.html
The guy talking is an old school trucker, just sold his W9, and is trying out new trucks for his company.
The guy he's referring to, Ronen, is an arrogant jackass, but he loves his numbers and the data.
So, am I trolling or trying to start shit? No, but I call bullshit when I see it. I'm not saying those dudes are lying, but I would guess they're remembering the best case fill ups.
@@Nojirou_ here's a video of me, just now after fuelling up
ua-cam.com/video/S2xE4YpKOz8/v-deo.html
A 2nd vid of me is uploading. I didn't want to be "that guy" blocking the fuel island. I'll post it when ready
@@Nojirou_
ua-cam.com/video/QJ3sinsoYic/v-deo.html
I personally wouldn't ever become and owner operator. I am happy making 3K biweekly as a company driver. Props to all you owner operators out there, I have mad respect to you.
thank you.
I am a driver and making 3500$ a week
@@benjamingollan4746 which state please...im in virginia Beach looking for good company...
@@mustaphausa6640 Forget about the state when you’re driving a 18 wheelers I live in Ohio.
@@benjamingollan4746 lol yea ok
Most of what you've said is just common sense to anyone trying to start a business. Good advice there Ronan! 👍
Thank you for sharing, Kevin!
I was a diesel mechanic at a Volvo/Mack dealer in CA. Have two cousins, first one started off with a later model Volvo VNL with an Ishift trans, had about 700k on the clock. Told him to always have 30k in the bank and a credit card with a large limit as a backup for a shit hits the fan scenario. Second cousin started with a 90s KW with a series 60 that ran like a damn top. First cousin listened to me and was doing great. Then decided to start spending money like it didn’t matter. Couple months later his Volvo needed a trans. Repair was about 12k in parts. He gave up the truck and is now a company driver. Second cousin is living well within his means and is thriving. You don’t need the fanciest truck. If you do get less fuel economy because the truck is older you’ll more than make up for it in down time. The older engines and transmissions are cheaper to repair for the most part. Not to mention they’ve been around for so long their failure points are well documented. Just don’t buy something that’s a helterskelter nightmare of parts and been slapped back together with sheet metal screws and chicken wire. The cab and chassis electrical and integrity is important too.
These are all good points. I’ve been independent operator since 2008 and I would definitely recommend everyone to be debt free before buying a truck and don’t spend to much on your first truck. My first truck was $11K and it served me well for almost 4 years before I had to get another one.
thank you for sharing.
Thanks for the positive feedback, :) (RONEN)
You got extremely lucky tho. Not everyone will be blessed enough to get an 11 k truck that lasts 4 years
@@youngpatrick29 mine cost me 13500 and ive had it for almost 2 1/2 years
@@Mr.Adolvera I would like to buy a truck, interesting what is your truck model? And I would love to know how much you have put for repairs? Thank you
@@patrickn.99 Freightliner columbia 2004
Cat12
Eaton 10 speed
Heck on average about 8 grand on maintenance per year.
There isn’t a driver shortage there is a shortage of DRIVER PAY
Paying cash for your truck in my opinion is a great start, no monthly payments.
Yes, but not all can do that
Any Accountant will say NO…. Don’t do…. You lose deductions…. I say…… I am not a slave to my truck payment, if I want two weeks off, c-ya.
That’s what I did, truck and trailer (used) still rolling. Loving it.
I do a full maintenance lease and write off everything. Pay myself 1k per week and 6-8k quarterly bonus.(S-corp). It works well.
Thank you Ronen. You make doing business a spiritual practice. I love studying your videos.
Glad our videos are helpful!!
All this is true.
Im an owner operator and I recommend you listen to this good guy's advice
Well, as much as those 12 points you make are valid, there are others that are way WORSE, and are indeed what will brake an Owner Operator. Won't go much into details but, here are the MAJOR REASONS:
DISPATCHERS, MANAGERS, COSTUMERS/RECEIVERS, AUTHORITIES (police officers, DOT, government, etc)... ALL THESE are for me the MAJOR reasons things do NOT work out for Owner Op. I have 30 years of experience, as company driver and as Owner Op. It is a BRUTAL career.
thanks for the feedback.,
As a diesel mechanic and a yard driver, I've been starting to get pretty serious about finding a 25-30 thousand dollar and getting the owner operator lifestyle going on. I've done complete overhauls on tractors and trailers. I can only imagine what it's like buying a 100,000$ w900 and expecting to make it with the payments. Having my own tools and the knowledge has got to be a boon in my corner. This is the umpteenth video I've watched tonight about becoming an owner op. I can back any trailer in into any spot. I can fix and diagnose most any problem. I'm hoping that with 50 grand and a decent line haul contract I can get started being successful in this business. I'm tired of busting my ass working as a fleet mechanic and take the step into living in the cab and making more $.
Good luck my brother! 🙏🏽🙌🏽
Good luck pray you are successful.
I'm on the same boat I'm a diesel mechanic and I'm burnt out
Rail roads need diesel mechanics. Heard work still sucks but pay is better.
Start your own mechanic business.
I definitely thought I'd be able to jump into being an owner op after my first year driving. But now here I am 7 years in and im just about to finally get into it.
Best of luck
Excellent information!! I appreciate it! Been driving for a solid 10 years as company driver. Driving CDL 20+ and am finally taking the step to owing my own truck. I have takes a notebook of notes from you all there that has emmensly helped me prepair! Keep up the Great work and keep the knowledge flowing please!! Thank for all of this priceless info!! Much love from the US!!
Man this was a very eye opening video def glad I saw this before I decided to become an owner operator
Thank you for watching and sharing, Renaldo!
My downfall was a lease. Had it occurred to me (or been advised by the recruiter) to get a 10 year business loan to pay for it, I wouldn't have been on the hook for $960 a WEEK instead. There just wasn't enough miles a week to pay for everything.
ET is giving us a clear view on what to do and what shudnt. Especially new comers like me from a different career background and having a passion towards truck driving.
You are Really doing a great job.
11.000$ gross per week .who is interested?
Thank u for all the good information 🙌🏽
I think Brian deserves a t680 with diamond interior. Thanks for the video absolutely true, I started up 3 years ago with my own authority paid cash for first truck and car trailer 2 months later had to buy new used stuff in a pitch because I didn't get things checked and got screwed but I got through it got a truck peterbilt 579 240000 miles on it and thought I was buying a great truck but ended up buying a truck with lots of makeup/paint on it. 300000 miles later paint is peeling and they painted over the ifta sticker turns out it was in a major wreck. But now buying my first new truck very excited. T680 paccar 510 hp 1850 tourq 264 rears 12 speed auto. Unfortunately I learned the hard way by doing it.
Oh my name is Brian also and very low personal debt and been driving 26 years and brought money to the game with me. Started out 80 grand in the bank and awesome work ethic.
Some really good information. I think many would be successful if they were more patient. They should first find if they like driving first, then see if they can treat the truck they're driving like THEY own it. How long will your clutch last, brakes, and other things that poor driving habits take a toll on. Repairs are costly, especially when they can be avoided. I used to watch Indiana Jack here on UA-cam, he bought his truck from the carrier he drove for, it was the company truck he drove, he knew the truck well. He then signed on with them, he knew their running lanes and other things. That's not a bad idea to think about. You'll know the truck, and the company you'll sign on with. I think too being mechanically inclined is a big advantage. Having money saved is going to really make a HUGE difference in stress and success. I seen getting a business line of credit is the way to go when financing. Knowing too what to buy is another hurdle. I would think having a truck that can be used for a couple different things could be beneficial, thats where research and asking questions is a good idea. Even things like an APU would be a must for me, it'll pay for itself, and make life on the road enjoyable.
Hi thanks for all the feedback
I agree with a lot of what u are saying
Great point, I will take some of them for future videos. 🙏🏽🙏🏽
@7:09
1) Take the 30 grand that you're going to put down payment on a new/newer truck-tractor and put it back in to your pocket;
2) Take the twelve to fifteen grand of the aforementioned 30 grand and buy a pre-emissions truck-tractor that has a good engine, a good transmission, and good axles, and preferably good tires, and you needn't worry about the condition of the Ded system because there won't be any: do a compression test on the engine and test drive the vehicle going through all the gears.
3) take the other twelve to Fifteen Grand to refurbish it: you're most likely going to have electrical issues so if you're good at chasing down shorts are rewiring trucks so much the better.
And if you're in an urban area like I am, Chicago, parking is scarce and finding the Holy Trinity and truck mechanics that have the competency the affordability and the availability is even more scarce.
Don't try and make a living while residing in the hinterland like Arizona and expect to make it in Dry Van. Make sure your Intermodal rates good enough so you have business income. I don't see flatbed paying much more than dry van so I don't think that's worth it. Long runs are competitive at don't have the profitability that Regional runs do.
@Please shut up
Apologies for not shutting up but thanks for the reply.
If you are a one-man show like me, we just can't afford the maintenance issues of the emissions stuff after 2007 like the Mega Mills like Schneider Werner Swift CR England USX.
Anyone who says they're getting over 8 miles per gallon with these newer engines towing 70000 or more pounds I think is BS. And furthermore I don't have to mess with DEF fluid since my truck is pre-emmissions.
I never drive semi in my life, got my cdl, move to Texas. I bought a truck & trailer, got my own authority and doing wells so far.
Congratulations, Mr Tee! Good luck and stay safe out there! Hope you are enjoying other videos on our channel geared to truck drivers.
You are spot on dude . I bought a truck for 25k and I knew it needed work so I didn't pay myself anything until I got it fixed , now she's a money maker . And yes it's always on your mind when you're at home 🏡
Nice work!
Love the content. Not gonna butcher your name. But thank you for you do. I greatly appreciate it. Hopefully 1 day I can apply what you have taught me
I really should have watched this video before, at 1 Year Exp, I leased at 18% an achey breakey 2012 Maxx Force, leased on to Swift Trans for $1.10 a Mile, and doubled down on debt to bling the truck out. Sounds like a joke now. It was my life until the repo people came and I was left 90K in debt, off to a new indentured life as a Swift company driver. Those creditor sharks are still after me 5 years later, wanting more than they lent me after I repaid half the loan. Once Bitten, Twice Shy. After small time credit payments restoring my credit score to 720, Im thinking about renting. At least I won’t have to repair it ! Or maybe that’s just the one mistake I haven’t made yet.
Sorry to hear about that, must have been hard. Yes the lenders can be brutal.
Best of luck. And hold off with renting, lots of good opportunities in both USA and Canada
Omg. you are the smartest business man on this block. lol.
Solid advice! Thank you!! Would love to get in touch with you since you are local to me and located in the gta area. Thanks again Mr. Ronen.
As an owner operator, what percentage of my income should be spent on drugs, alcohol, stripers, etc?
Make sure you keep the recites there driver!, try and claim on the income tax 🤣
They recommend 40-50% for the average married man with children
yolo
This will be my new favorite channel. I’m currently lease in the USA. Going on my own next month.
best of Luck, Thank you for the feedback, glad you are enjoying the Channel
Thank you ET. TRANSPORT. This channel is giving me alot of insight and knowledge so I can be successful in the trucking career one day when I start working in Canada. 🙏🙏🙏🙏
Glad to help
11.000$ gross per week .who is interested?
You can apply these principals to most businesses and personal finance
Thanks dude even though you don't know what the inside of a truck looks like, drove truck 30 + years zero accidents or tickets I think if I were to buy a truck I would buy a older reliable work horse like a mack and haul pigs that way you'll be home everyday and do ok I also realize my expenses to live must be reasonable but I was a driver 30 years making maybe 1000 a week so I would definitely have zero problems living within my means I would buy a pickup but it would be a older pre computer pickup with a carburetor points condenser ect...that's the plan after my kidney liver spine surgery, after a few years I could take a vacation and invest in other income producing hobby again.
YOU the best man ! Good advices , thank you for sharing all those things with us !
Definitely, I’m sooo happy that there is so much positive feedback from this video.
Appreciate the comments.
Please share if u are able to.
When going into a dealership take an owner with you don’t care if you have to pay the for the time spent. Now if you go in with someone family friends don’t talk at the desk they sit you at never! Go in with the number that you can make work know your credit before you go. Man can’t say this enough never talk the deal at the desk they sit you at listen to the deal. They will talk the deal and watch you look at each other and he will wait might ever say let me go talk to my manager while you and your people talk they are at the managers table listening to everything you say. Read these words they use the phone at the sales desk to listen to every word you say. You have a payment in mind and you say it they will use it to burn you or down payment, man take a walk to talk. Then sit back down and lowball them make them work for your cash. Watch more videos not just buying a truck but on buying a car it’s the same experience.
Hey Ronan thank you for making this video. This will help educate new drivers in our business. Drivers need to do the math on everything . Please be smart. Consider the experience and advice of drivers that have been doing this a long time. All my fellow drivers be safe out there.
thanks for the feedback
Great video Ronan👍🏼..Always on point with your content
I appreciate that!
Nice video" for not being a driver your pretty much spot on about the finances of Owner Operators, Saving money is a Absolute must , you have to think small and save big
Appreciate the positive feedback
Best of luck
He is dead on with the trucks. If you can't pay cash, it's NOT WORTH it!!. As a new owner operator, the first thing and most important is building the business savings account!!!. Tires 5k, breakdown or stuck in mud or snow could be 2k, so he's absolutely right there too.
Trouble with reliability Ronan is that all trucks can and will break down eventually. A proper business plan should account for this, but it doesn't really matter what make, model, powertrain of truck you have, you're going break down. It's inevitable, so as you point out, you've got to have a cash reserve in the bank to cover it.
On that point, how much do you and ET's o/o's think a driver should have in the bank prior to starting out as an o/o and how much should a driver leave in their corporation?
Good video Ronan!
You need a good mechanic to do ppi (pre purchase inspection) and send oil to laboratory test.
Thank you for sharing, Kent! We'll be making a video on how to budget for repairs. Stay tuned!
Adding to comment , when getting paid what it is worth should be not a problem.
Your advice is gold ! A lot of the points regarding money management should also be taken up by the employed driver as well . Avoid becoming one of the working poor . Between ET transport and Minority Mindset channels the path to financial independence is clear .
Thank u
Appreciate the comments
Truck drivers hell. These same reasons for failure apply to everyone in their personal life regardless of their occupation.
Been independent owner operator for 30 years. My company my truck. My trailer.
My customers
Nice
Thank u for sharing
Thanks for sharing your experience
I just love your videos. You guy’s are very honest which is hard to find. I wish I could work for you guy’s but I don’t live in Canada lol.
Managing money is CRUCIAL to becoming wealthy right where you’re at. I’m currently putting a course together that includes exactly this - for truck drivers. It’s so important!
A lot of good points.. I think finance rates, bad equipment, and money management are the main ones… I follow pretty much every one of these steps EXCEPT time I became an O/O with 10 months, however, I had no debt. Good credit, and a little safety Cushing .. also spent a lot of time educating myself in the good the bad and the ugly of the industry (still do that you can learn every day a little more) if you take it serious and treat the job as a career I think you have a better chance to succeed
thank you for the feedback.
Definitly good points.
@ET Transport two biggest mistakes I see OO make are like you said life expenses. But secondly they listen to to many jail house lawyers. Choose a nice safe plan that works for you and stay with it.
I work for fuel money and still rolling the wheels, that is how you don’t fail and also the credit card is max out!
You know, I'm getting back into the industry after a 15 year hiatus, and have been brushing up my knowledge. I'm getting really tired of everyone saying that you need 2-4 years of experience to do....fill in the blank. If after 1 year you haven't decided whether or not the industry is for you, then don't buy a truck. The criteria for O/O should be desire, and open eyes, not something predicated on miles and years. This is the only industry where it's pounded into a person that you have to drive for years and years before you are smart enough to decide what risks you are "worthy" of taking. Don't get me wrong, the info is great, but the constant harping on "experience" in terms of years is rather condescending. A company drivers "experience" is only relevant to an O/O's experience in that they both need to know how to drive a truck. If you haven't figured out how to drive a truck in a year...then...um...well that's just scary.
thanks for the feedback
There’s definitely some truth to that. You will never develop a business mindset as a company driver alone. You have to invest the time on your own to learn it or have prior experience in business.
It's just not about driving a truck when you become independent. There is so much more involved than that
It’s just about ‘how to drive a truck.’ You can teach a monkey how to drive a truck. To become an O/O, you better know how to run a business.
I Thank you so much for the information.
Could you inform us about the situation with the Covid-19 vaccination? Is that compulsory now? Could any company force illegally the drivers to get to be vaccinated? What is happening with the driver who won’t take the vaccination?
I will do some research
Maybe I will put a video together
@@NorthAmerican-Trucking-News please do
@@NorthAmerican-Trucking-News would love to see this video
Owner-operator with a Detroit 60 series or a cat C15 and paper logs. Will make it if You wanna run hard
Nice!
Thank you for your videos, I am a Nigerian. I have been driving tankers in Nigeria for over 6years. I wish to immigrate to Canada to work (drive trucks). Could you give me some tips on how to go about that. Thanks
Check kijjii for Manitoba class 1 driver program, immigrants
I made the same mistakes a year ago and I am currently struggling, I have been trying to keep the business afloat with cash advances loan. Very stressful, I am trying hard to stay in business but don't know if I will be able to succeed.
I highly and I stress highly recommend everyone take Dave Ramsey's course on economics and getting out of debt and how to build wealth. It is as no nonsense and clear and simple and no tricks and, also.... free.
Dave Ramsey is freaking awesome. I listen to him every day.
i actually just looked into it, its sounds really good and definitly will help our drivers.
He gives the most practical advice. Simple, effective, easy
Any links?
I've been listening Dave Ramsey I have payoff truck I buy it for 12,000 fixing myself by my own trailer from Penske for 9,000 I've been driving my truck and trailer for 3 years I have never have any major issues I'm about to pay off my house this month it's not that hard to refuse finances
The US dollar bill contains the words "Annuit Cœptis" which is Latin for "Don't spend it, kid."
Very good video !!! Thank you !!! Be safe out there !!!
Thank you!
When you’re a company driver and don’t have to worried about anything except holding steering wheel all day with 76cpm and you drive 5,995 or more miles for 2 weeks pay $4556.2, now that’s a win win situations worried free and still bring easy 7k-9k home monthly. It depends on you if you want to work hard or not, anything is possible if you have nearly 17 years experiences with the right company.
After taxes that net pay is about 2700 for 2 weeks.....not bad.
I got my Cdl at 21 currently 25 1yr been a owner operator been the best thing for me I’m making 5k clean after diésel and expenses just finished paying my truck too was 60k and I’m saving now to get a second one and hire a driver
@@aitransportservicesllc584 that’s good to hear and hopefully you’ll grow bigger with the right driver who’s willing to go the extra miles..Thought about purchasing a truck but rather be worried free when there’s company willing to offer veterans more pay.
@@kevingrant4491 I’m on 1099 lolz, it’s the same thing putting yourself on exempt for a few months on W2, plus I have 5 kids to claim until they’re 18, that’s when I’m screwed paying taxes back.
@@aitransportservicesllc584 Can you please tell us step up by step what you did? So newcomers like me can learn. When you became and owner operator, did you buy an older truck, newer truck? How much did you put down? what was the interest rate? How do you find loads? Thank you
This is a great video. Thank you 🥰
I've driving a long time and I've driven many trucks and thought about this hard. I am probably buying my buddy's 379 when he retires in 3-4 years it's got a cat 6nz and he's rebuilding everything. He's crazy particular and treats it like his baby. I plan to buy it cash that way I don't have payments. And I'll save a bunch and have $ for when I need stuff done or it breaks
Good luck Daniel!, hope it works out for you
@@John-kr7iz thanks !! I used to drive Pete's then where I am now has aerodynamic Volvo and kw but pay high$. Can't wait till I'm on my Pete. The 379 truly are my favorite.
@@danielmurray5326 Thats awesome! i like those trucks as well, but unfortunately I'm to damn tall to fit in them lol! but i wish you all the luck in the world
@@John-kr7iz thank you so very much. Blessings brother
Very nice video man i enjoy a lot and learn More about those step i am glad that im doing right 👍💪💪💪
You are welcome
All your videos contain very practical advices to truck drivers. I think you must write a complete guide for a truck driver. It will help many.
Will do, maybe when we reach 100K subscibers.
We Americans can learn a lot about humility and careful spending from our Northern neighbors. We make more and still fail more.
Yes, but you have way more drivers and trucking companies in the US so yes your numbers would be higher.
You only fail when you give up. Go through your trial and error so you can learn from your mistakes until you find your niche and successful formula. Basically, go into this with very little debit and overhead as possible.
Great video you do awesome work for the community appreciate your time and your effort to answer your question how to get a reliable truck make sure it is a 2003 and older that is pre emissions there's so much less I can go wrong with it they will go 2 million miles before you need an in-frame you cannot go wrong with a free 2003 truck. And some points that maybe you want to emphasize on as you're being a company driver know what the expenses are how much the insurance cost how long tires last how many cents a mile is that truck costing whoever owns it or oil changes breaks fuel Insurance tags that way you have an idea of what your expenses are going to be and whether or not you are able to afford those expenses when you add on your personal expenses thank you guys good luck Knock Em Dead
Appreciate the positive feedback
Stay tuned
Lots of great videos coming up
I have my own authority flatbedding and I won't pull loads under 3$/mile. I get between 3$ - 5$ a mile.
In response to your automatic transmission video you failed to mention the fact that manuals have better control at a speed control on climbing Hills and downgrades not to mention the fact that I think you're going through a lot of brake pads on your automatic models
I'm retired and have no intention of driving a truck but it was a dream of mine when I was young. Now I'm glad I never did. But I do find these videos very interesting.
That "driver" didn't make 10k or 6k. The truck made 10k... after fuel the "truck" made 6k... after fuel! You got a hell of a lot more "expenses"... comin' out of what the "truck" made before you ever get to what the "driver"... aka... "owner" "made". If you're hauling $1.75 freight this day and age... you're doing it cuz you love it... or you're a hobby trucker! We were getting $2.50 a mile back in the 80s! Stop hauling that cheap third party freight!!! If you don't, your days of being an "owner" will be short and heartbreaking!
_I’m a company driver, when it comes to money management I’ve learned my lesson over the years, I’ve been able to put away _*_$25,000_*_ these past nine months now_
_Nevertheless it depends on your circumstances of how much money you can put away per year, I have no kids so I don’t have to purchase necessities ordering for myself which is very minimal, I have no wife so I don’t have to buy sh!t I don’t need._
_I even gave up my apartment to do this business_
Thanks for the feedback
And u should be very proud of yourself
All the best, and hopefully u accomplish all your goals
My circumstance is incredibly similar to yours! I haven't started driving again (it's been 15 years), but I'm starting in a little over 2 months. How are you dealing with no "home" address? I have a place to send my mail, but I'm curious to know how you're doing it? I mean, if you order anything online it needs to be sent...somewhere?
@@veracityseven
_I will do lots of things online, I just opened a PO Box here in PA, my company only services one customer and that’s Fresh Express, LTL loads short miles and a flat rate of $280 per day even if the load is late and not ready until the next day, this is the first company I’ve experience where I don’t have to chase the money_
I have subscribed quite ahwile ago this was a really nice information I'll share it to friends who were interested being an owner operator.
Thank u
Appreciate the positive feedback
@@NorthAmerican-Trucking-News very welcome 🙏
Good advice Ronan... One thing you left out especially regarding being a small business owner in the USA is not having a proper accountant. The taxman is not a joker. He is real and he can be your greatest nightmare. I have been self-employed most of my life. When I was young and started actually making money I didn't handle it well. I was enjoying the good life and growing my business at an astounding rate. Then came the end of the year... Can you say DISMAL news? Hadn't filed taxes quarterly. Hadn't planned for a large payment to Uncle Sam. I had the mechanics of the business running well but not the mechanics of dealing with the accounting. We can't be good at everything. Anyhow, I ran into serious trouble when I started being what I perceived as successful. Fortunately, my banker was able to head off having my accounts frozen and set me up with a good and not overpriced accountant. Also, you need a great bookkeeper. Your bookkeeper/office manager has to have a real working relationship with your accountant and know the tax system. Without knowing where every cent is coming from and going to YOU WILL FAIL. As you stated financial management. Your eyes need to be open and you must be frugal.
thanks for the feedback,.
we need someone like you in europe.
When your truck is at the workshop for repairs, don't have a day off, drive someone else's truck for the day in order to keep the money coming in.
Well that's how I work it here in the UK.
Time spent earning is never wasted time.
Totally agree
And the best way to go about it is the less people you have to pay the bitter of you can be. Save the money don't rely on the bank reduce reduce the spending each mother or find a way to reduce and even further.
I'm in Europe and I see only disadvantages with owning a truck.
I get hired as an independent contractor. But I drive their trucks. I just state the days that I'm available and they plan me.
I have zero worries. I have no monthly costs. This means I have a good place in negotiations. I have no big monthly expenses so I don't have to take the first offer. I also can walk away at any given moment. I make so much, for every month that I work part-time I could take one month off.
I takes some time to find companies for this arrangement but they actually pay very decent. One was even telling me I charge way to little.
Trucks are expensive heavy machinery and should be bought in a fleet so expensive maintenance just ads a little to the cost of the complete fleet. That way it's nice.
There's no fun in owning one truck. That is just a burden and Russian roulette.
Truth is the truck will own you.
Success with money has much less to do with how much you make than how you handle what you get. I wish I had figured that out many years ago. Now I am trying to catch up from way behind so I can have some sort of decent retirement. Just made a big play to get into the business and hopefully things work out.
Ronin, you should sponsor Financial Peace University for your drivers. Great stuff. Thanks for another good video.
Thank you for sharing!
Thumb up!
6300$ is gross for 15 days, if work 30 days it will be 12600$, deduct aproximately 25% taxes and it is equally 9450$ in hands, is it correctly?
There is multiple things u can do with a corporation, I will actually do a video on this in the near future.
The goal is to build wealth within the corporation.
And not pay personal taxes on all the money earned.
This is an excellent video in how to Select and Purchase a truck.
The 10 steps are so valuable to not only understand but to implement.
Becoming an owner operator is akin to Beginning your own business. Cost minus Revenue = PROFIT
Minimize cost.
Maximize efficiency.
Means maximizing profit.
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The biggest issue I see American truck drivers making is buying a truck with their ego and not with a business mindset. All these kids want the “classic” long hood trucks that get horrid fuel mileage but hey it looks cool so they get all sorts of attention at truck stops and on the road.
I guess I got lucky after my 1st 6 months driving for a company and being taken advantage of I went out and bought a brand new W900 Studio KW and I never looked back
Awesome!! Thanks for the Info.
You bet! Stay tuned!
Technically lease purchase is not a true owner operator, like 80% failure rate...
Thank you!
New trucks are not reliable. They build them cheaper charge way more. My truck is a 99 and I purchased it for $15,000.00 have rebuilt it while running in my shop. It is a W900 1MM 600 Cat 18 over 3:55 rears. I run in high revenue rates roll by new trucks on side of the road day in day out waiting on wrecker service truck. New trucks have def egr def modules and have seen them setting for months waiting on parts. I get anything I need in same day with exception of certain items which may take two or three days due to out of stock have shipped in from somewhere that is in stock. I don’t know how you are going to make it in long term with a truck costing as much as a new down all the time waiting on parts some being new engine put in at 30,000 miles or overhauled. One big problem I see is driver’s in new trucks not checking their fluids daily just because it is new.
Thank for the negatives - and truisms people need to know about. Here's the positives people need to know about.
95% of US small business startups fail - so trucking may actually be a bit better.
Trucking is Rated in the top 5 in Failure! its a cut throat business
Hi from Australia ,, its 80% in the first year in Australia,, of the 20% that is left 10 % of them fail in the next year
Laziness that's the big mistake of all of the drivers work hard and you gonna see your result 👍
Well try and and find. At least 2 yrs old hard right now.And try and afford warranty that’s is the biggest plus
Warranty? LMAO! You are the warranty, if you have not figured that out yet, you have no business owning a truck.
Sounds like better odds then other new business owners. Ain’t it like a 90% failure rate for other businesses
I finance longer for a smaller interest rate and make as many extra payments as possible
Also, if you buy a new truck first you're a fool. Buy something from 2010 for 50k and drive it until you have enough to buy a newer used truck in cash. Interest is what kills new businesses
Or you could save out the money which would be what $20000 put aside Or 30 or 40 because of idiotic inflation, Maybe you can probably buy off your Carrier if they are selling a vehicle Now that would depend on if you like that vehicle that you're driving not saying to do that but it's a truck and if it is going to be sold which probably most likely it will be couldn't hurt to ask. And then go under your own authority Where you don't have an extra expense each month Or find out how much the trailer truck and trailer would be from the company you're working in Because it's a business Like any other business It definitely can't hurt to ask because you'll probably have a better knowledge on that vehicle what vehicle what was done to And what wasn't Done to it, Which would be a benefit if you really think about it. But if it keeps breaking down That pass on it we'll see if there's another vehicle Out there on the fleet.. If I were to start in a company like this that's the way I would approach it save up money don't rely on the bank, I would think after you get with that vehicle I would think maybe wait a couple months before becoming under your own authority your own authority or owner operator So that way you would get a little bit of a buffer zone make sure you have money for your maintenance because that is going to be the biggest part of part of any business like this is the maintenance. And I work driving for Uber whisper and wow that's the only thing I can say is wow how cheap these parts are marts are made on these vehicles it is just a shame how bad they are in a car I can just imagine what it would be like in a truck. And I put some money aside for escrow, Take a couple 100 bucks out for Yourself for food but save save save and oh yeah save. And stay away from those damn banks.. Do not borrow any damn thing not even a pen.