Starting up pros cons and rates

[chaversdad]

finally theres the reply you wanted to see,so thats that..go for it and the world is your lobster my son.

We need a like button..

[albion]

A lot say don't do it, not worth it etc. but did they even try or had a company?(few maybe) Reasons would be they don't want any more competitor starting, some got rental s650 and run £1.40 says no money in it, some are just owner driver not have the business mind. If you have goals, no one will stop you to get it done. Go for it. I'm also awaiting my o licence, under consideration.
Some say no one will talk to you without licence, it's a big myth. I have many offers already (not just maritime or bwd). £1.55 traction, over £2 for ad-hoc work..Fuel card, I already received 2 cards 7 days payment term. Finance for truck, many rejected, but found 2 company to offer finance and secured one with holding deposit now until o licence arrive.
At my last company we have other subbies parked and one of them started in 2016 now have around 15unit only traction work.
Another thing is the business has potential to increase, what increase would drivers get being employed?? Whole life drive for someone make their dream come true, but think too risky to start something on their own..pffff.
Also, for the people who says "I was lucky" the luck didnt find you, you work so hard and found your own luck...

Since I included luck, I'll answer that.

Luck is not having an engine out of warranty blow up half a million Miles before it should.

Luck is not having a previously stable customer suddenly develop financial problems leaving you with unpaid invoices.

Yes hard work plays a huge part, I can barely remember my late 20s and early 30s. But you cant ignore good or bad luck.

You say most people on here havent done it, well I have. I did it for 28 years, built up a firm, retired early, owed no one anything when I finished and made a far better than average profit margin whilst paying the highest wages in my little sector. So if i were you, i would take notice of what I say as I start in this strange business.

[Andrey1]

I'm assuming the offered £1.40/mile is the laden miles?

Can't see how that could work profit wise at all personally.

I think you didnt get my point. Someone rent s650 or other higher spec unit for about £500/600 a week rental. Doing easy container work, the type who only drive and open back door, around £1.40 ,eat out every day/night.Obviously he/she wont see any profit in their business and says the industry sucks no money in it.
Then, another one pays around £300 week for finance/maintenance for their unit. Sub for 1.50-1.60 cook/bring their own food, finds ind est.for night outs. Not putting kelsa bars everywhere etc... He/She will see profit coming in. Two different type of people and business mind. Hope it's clear.

[KWN86]

I see theres enthusiasm in the ones starting and a bit of tiredness it those who retired or been in the industry for years and seen the good days.
Bottom line is from what i see its possible to make a living out of this and the profits depend on how you manage the budget and your business.
Everyone agrees its hard work and its your choice if you sell your self cheap.
I see there's not much help from other hauliers as someone once said its a dog eats dog type of industry.
Thanks all for the replys really appreciate it.
Im a stubborn guy and will have to find out on my own.

[albion]

I cant say dont do it because I did, and it was a good company, but the truth is you are highly unlikely to do anything more than make an average wage with a lot more hassle.

I dont think it is tiredness, its experience.

Bad form to quote oneself, but I'll repeat, I wont say dont do it, but be aware that you are unlikely to do more than make a wage.

The same applies to me when I started. The job has always been hard. I can go back to my Dad and his tipper in the late 60s and they weren't the good old days for sure, in fact they were probably the same, some atrocious rates and a lot of competition. Only difference is that my Dad wouldn't be spendingbsll day Sunday fixing the truck now because they are too complicated and/or need software.

The advice again, dont get overly bogged down in numbers. I never did, I literally worked on how the business felt overall and in the day to day, wages +fuel should come to around roughly 50% of your charge for you to stay viable. If they are less, then that is good. To this day I wouldn't have a clue how to do a spreadsheet.

[KWN86]

Good with numbers i meant i can use a calculator, good numbers don't really apply to real life its that gut feeling and the understanding of the job i think.
Your advice on fuel and wages being 50%
Makes more sence to me than the miles rate.
When it comes to truck maitenance i like to get my hands dirty so will try to save couple of quid by doing what i can myself.
I need clear advice from people like you and im listening to it, its not like i just want to hear that yeah its nice and easy lots of money in this etc
All those comments are appreciated and definitely make valuable info for me.
All of you gents have more experience and thats why i asked try to understand i was always a driver self employed or employee so my employer never informed me about the sort of money he was making or how much he charged per mile loaded empty when what where so excuse me for not understanding. I've applyed for the licence myself cuz no one seems to be kind enough to help without makeing money.
So trying to cut cost from day one and i will continue to do that.
All i wanted to know maybe what jobs are ok or not how are jobs priced miles or per load is it one way both ways. What's better getting a curtain or aiming for traction only, simple stuff its not like im asking for your costumers contact number. And now guys look at those posts and tell me what you see.

[albion]

All i wanted to know maybe what jobs are ok or not how are jobs priced miles or per load is it one way both ways. What's better getting a curtain or aiming for traction only, simple stuff its not like im asking for your costumers contact number. And now guys look at those posts and tell me what you see.

We were a specialist explosives haulier, a sector for which there are huge barriers to entry, especially as a new start. I cant give advice on what is the best work because I only know my own.

In my world I priced round trip on mileage. Specialised kit means that unless I was doing more bang, the truck and the drivers were better back at base and loading to head out. As you are going to be getting what you can, ie general, I expect your rate will be one way only and you will have to find a back load to make the job pay. PPM, around 2.50 all miles, but there were a lot of things I got for free as I operated from a customers site for one of the bases. So in effect I chipped the rate to cover the fact I wasnt paying out for a yard and an office etc.

Traction or curtain, the best one is the one that returns the best profit. It varies so much, but my preference was always to run my own trailers. I havent seen a traction only rate that i thought was good, though as i say, it isnt something i know a lot about.

You need to have work direct from a customer, anything else and you are lining a clearing houses' pockets.

And I'm not a gent

[m.a.n rules]

hi madam, hope you are well, well you have confirmed what I always thought as in the specialised industry you operated in.
the advice you have given is spot on and luck is a big part of it as you said ..

p.s . hows the boating ..

[albion]

Hi m.a.n. rules.

Boating going well, not been out recently, but head down to the marina 3 days a week. Seem to get good people on narrow boats, friendly, helpful, mo side to them. Highly recommend getting one or hiring one for a holiday.

[chaversdad]

One thing i will add is that you can do all the mileage calculations you want and come up with a ppm you want to charge, the thing is in general haualge you will find its the customer that sets the rate ,not you

[Silver_Surfer]

Any work that is easy to get on, you’ll only be earning a driver’s wage from running your own truck, if that. Running around for £1.30-£1.50 on traction, tramping on crap work is nuts if you ask me. Far better off getting a decent driver’s job without the inevitable oh no moment.

Although one chap on here runs at £1.50 out loaded and back empty so effectively £3 per loaded mile with his own trailer for one customer so I can kinda see that’s ok. He could back load it if he could be arsed. Ms explosives ran at £5 per loaded mile, she could back load the trailers if she wanted too, which is the holy grail that most people will never see.

My best rate when I was doing it was £2.80 per mile with my own double deck box trailers doing two drop and swaps of 250 mile total per shift. Light work, loaded both ways. The truck was double shifted 6 days per week all year round.

One way work has the added problem of if there’s enough work to keep you running all year round, less so with traction although they can still drop you if it goes quiet.

You need to lease rather than buy unless you’re minted as when trucks start to go wrong it can cost a fortune.

If you can get on something decent that the masses can’t get on is the only reason to start on your own in my opinion but as Jean Luc Picard says, “All good things come to an end.”

Luck is the deciding factor in how long the gravy train lasts, so the question then is, are you feeling lucky?


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[KWN86]

Luck is the deciding factor in how long the gravy train lasts, so the question then is, are you feeling lucky?



Good question will find out its not for me to say ill try my luck and see where ill get me anyhow wont know untill i start

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[tonyfashlink]

Well having read all the comments, I think that maybe you are now still at square one!!!!

So many Fors and Against, at the end of the day, if you really want to give it a try, then just go for it, BUT!!!

Keep it simple, only buy a tractor unit, NO Trailer, because at this stage you have no idea what type of trailer you need,
and of course, you have no customers, So it looks like traction only pulling trailers for between £1.30 to £1.50 ppm.

Have a very close look at your costings and if your figures say that you can make a profit with you driving, then give it
a go for 3-6 months and then re-evaluate your position, if not very good then sell up and lose a small amount or just carry on?

In the meantime, whilst you are working, you should make contacts with suitable companies whom would be interested in using
your services etc, and then you can buy a trailer to suit the type of work being offered.

[KWN86]

Yeah slowly making my way forward
I've made couple of enquiries and have possible work lined up will need a courtainsider to make it worth while i think with back loads etc but like you said i will take it slow and make sure im not loosing money but i have a set mind on makeing it work no easy way out just hard work and aim forward at all times

[Stanley Mitchell]

Yeah slowly making my way forward
I've made couple of enquiries and have possible work lined up will need a courtainsider to make it worth while i think with back loads etc but like you said i will take it slow and make sure im not loosing money but i have a set mind on makeing it work no easy way out just hard work and aim forward at all times

I`d be looking to hold off until at least Easter time, as everybody I`m dealing with or speaking to, are pretty paranoid about January & February 2020......

[KWN86]

Yeah slowly making my way forward
I've made couple of enquiries and have possible work lined up will need a courtainsider to make it worth while i think with back loads etc but like you said i will take it slow and make sure im not loosing money but i have a set mind on makeing it work no easy way out just hard work and aim forward at all times

I`d be looking to hold off until at least Easter time, as everybody I`m dealing with or speaking to, are pretty paranoid about January & February 2020......

Thats roughly my idea the o licence wont get through untill than anyways

[Stanley Mitchell]

Yeah slowly making my way forward
I've made couple of enquiries and have possible work lined up will need a courtainsider to make it worth while i think with back loads etc but like you said i will take it slow and make sure im not loosing money but i have a set mind on makeing it work no easy way out just hard work and aim forward at all times

I`d be looking to hold off until at least Easter time, as everybody I`m dealing with or speaking to, are pretty paranoid about January & February 2020......

Thats roughly my idea the o licence wont get through untill than anyways

The next problem you may encounter is nobody in a position of power will "talk" about anything until the job gets back on an even keel, so be prepared for their "sat on hands" stance, until they get the nod from above....which could take an age, as the "powers that be" are quite gutless nowadays...

[Wally Webb]

Good luck to you

I run traction only for a local haulier and have a flat day rate plus mileage. This tends to translate to around 1.70 per mile laden/unladen.
We have two low loaders of our own which are kept occupied mainly with 'own account' loads for another part of the business but also do ad-hoc work. I have always priced work for these using what I was taught on my TM CPC course; standing costs, fixed costs etc plus profit. For short/local work I have an hourly rate.
7 year old paid for unit, one newish trailer, one very old one. Occasionally hire a curtain sider.
Personally found general haulage/traction work worth doing very hard to come by, unpleasant to organise, poorly paid and generally stressful.
Not going to be retiring soon but plod on OK. Currently pondering if it's worth the aggro/expense/complication of changing units just to be able to go into the LEZ next year.

[Old John]

As others have said, if you can't find a niche, it will be hard to make any money. They, (niches) are out there, but not easy to find.
Only advice I would give you on rates is to not take work if your fuel cost will be more than one third of the rate offered.
I know it's a bit of a broad brush, but it's worked well enough for me for forty plus years.
Best of luck anyway.

[SHYTOT]

Don't bother mate find a decent place to work doing the type of work you like to do
give it your best get your feet under the table and settle in