So me and my friend have decided that we would like to get into the logistics business as we have heard from other people that are in this space that there is decent money to be made, however searching through the internet and through this forum it seems like this isn’t the case and we will end up spending countless hours working for pennies. It seems that in this industry there is around a 4/5% net margin to be made if you are efficient and not make any mistakes. As of right now I have a Iveco van and we are looking to trial Haulage Exchange for a couple months to get a feel for this industry and see if it will be worth our while, we know that we will not make money off of Haulage Exchange but it will help us in learning the industry and hopefully making useful contacts along the way.
So the question really is, is there still money to be made in this game or are we better off looking towards a different industry?
I would say you are better off speaking to the people that are telling you that there is good money to be made and finding out what they are doing.
Van’s are a decent enough start I would imagine as there are fewer costs and regulations and they are cheaper to run, of course you are limited as to what you can carry.
Newbielogistics:
So me and my friend have decided that we would like to get into the logistics business as we have heard from other people that are in this space that there is decent money to be made, however searching through the internet and through this forum it seems like this isn’t the case and we will end up spending countless hours working for pennies. It seems that in this industry there is around a 4/5% net margin to be made if you are efficient and not make any mistakes. As of right now I have a Iveco van and we are looking to trial Haulage Exchange for a couple months to get a feel for this industry and see if it will be worth our while, we know that we will not make money off of Haulage Exchange but it will help us in learning the industry and hopefully making useful contacts along the way.
So the question really is, is there still money to be made in this game or are we better off looking towards a different industry?
Newbielogistics:
As of right now I have a Iveco van and we are looking to trial Haulage Exchange for a couple months to get a feel for this industry and see if it will be worth our while
This won’t give you a true picture. Haulage Exchange tends to be backloads that pay much lower than normal rates and the best jobs are sewn up amongst the boys club that permeats it and Courier Exchange. The money is in specialist haulage such as say caravan transporting, plant etc than just trailers filled with 26 pallets of whatever.
The van game is now flooded with the race to the bottom boys, unless you straight away fall in with a good paying end user which is unlikely as a new start you would be better off ■■■■■■■ your money up against a brick wall … and as for paying to join a reverse auction site !! after awhile you might make some good contacts though.
There’s Gold in them der hills … I’m tellin’ ya, there’s nuggits the size of footballs just lying on the ground just waiting to be collected, easiest money you’ll ever make
‘Other people in this space…’ I feel a generational gap coming up on me.
You might make money, you might not. The world of vans is littered with people not making much money with the occasional that have managed to carve out a decent niche.
I started with vans in '91 and have made a decent enough living out of it over the long term, moving into bigger stuff. But it was crippling hours to start and does require a certain amount of luck. My personal feeling is that it is harder to make money now than it was then.
set up a dog walking/gym biz but instead of burning my legs out walking them id have a big luton fitted out with 2 decks of doggy treadmills . this wouldnt be in secret,id advertize my travelling doggy gym set up. have the mills connected by belt drive to a wheel below the taillift to actually propel the van around [at shows etc ]
A recent “new idea” I saw recently was a mobile barbershop setup in the back of a van, it seems the busy office types with their manbuns and beards are too busy to wait in a queue to get a haircut etc so get the barber to come to them
Loads of money to be made, i became a millionaire…but i started off as a multi millionaire. i think a small vehicle is the way…and if there are two drivers, that makes it easier, but not always the cash to feed two, most owners cannot employ a driver, as the profits are not that big, unless of course you have the right contacts and the right work…but i wish you luck
The rates paid for small or large vans is less ppm on the open market than it was five year ago caused manly by the man in a van who often skimp on the correct insurances …
raymundo:
The rates paid for small or large vans is less ppm on the open market than it was five year ago caused manly by the man in a van who often skimp on the correct insurances …
All the sites like shiply, that are basically a reverse auction mean that everything is a back load. I’ve seen some of the rates on there and I can only assume there must be some good rates going down…
raymundo:
The rates paid for small or large vans is less ppm on the open market than it was five year ago caused manly by the man in a van who often skimp on the correct insurances …
All the sites like shiply, that are basically a reverse auction mean that everything is a back load. I’ve seen some of the rates on there and I can only assume there must be some good rates going down…
Insane low low rates, with the cars when quoted in £ they take a 33.5% cut too!
Most of the rates are OK for a big multi car truck that wants to fill the odd space, but it’s predominantly foreign spods with a van & trailer.
eagerbeaver:
My friend and I.
Acting & sounding professional is the first step.
Was about to say same thing at least if trying to find clients. Little things but will put you above those who’s first language isn’t English esp in written correspondence.
I have known a few people who have done vans, non of them do anymore due to the 15 hour days over 6 day weeks and people from Europe coming in without any insurances, sleeping in their vans and likely doing more than 15 hours.
One way that might work is as mentioned parcels, but work for multiple companies, eg: Hermes, DPD, Next etc doing home deliveries. A guy here does that and won’t be a millionaire, but makes a living.
Not sure it’ll work for 2 people and one van financially. If you had 2 vans it also gives a backup incase of breakdowns, maintainance etc.
Bigger headache is getting the business secure especially if one party isnt pulling their weight or theres disputes about business direction. Personally I’d go into it yourself as you have the asset (van) and bring anyone else in as an employee later.
If you can get round all that, we can state we knew that guy when he gad a van and now look at his fleet of 3000 trucks…hopefully.(Worked for Eddie Stobart).
albion:
All the sites like shiply, that are basically a reverse auction mean that everything is a back load. I’ve seen some of the rates on there and I can only assume there must be some good rates going down…
I never tried very hard to get any back loads because I mainly did hot shots from the north of Scotland mainly to the Manchester or London area airport hubs, mostly oil related products or ships spares but did once take a expensive piece of artwork to a gallery in Grosvenor Square where I rapidly discovered the armed guards at the American embassy do not take too kindly to a white van pulling up in front of their gates, their guns looked bloody huge at close range … but I digress … never had the time to find a back load and my philosophy was a back load for me was someone elses outward load.
albion:
All the sites like shiply, that are basically a reverse auction mean that everything is a back load. I’ve seen some of the rates on there and I can only assume there must be some good rates going down…
I never tried very hard to get any back loads because I mainly did hot shots from the north of Scotland mainly to the Manchester or London area airport hubs, mostly oil related products or ships spares but did once take a expensive piece of artwork to a gallery in Grosvenor Square where I rapidly discovered the armed guards at the American embassy do not take too kindly to a white van pulling up in front of their gates, their guns looked bloody huge at close range … but I digress … never had the time to find a back load and my philosophy was a back load for me was someone elses outward load.
I used to do some for my old boss back in the 90s, nowadays, I don’t even load trailers back from Italy, never mind vans.
i think a small vehicle is the way…and if there are two drivers, that makes it easier, but not always the cash to feed two, most owners cannot employ a driver, as the profits are not that big, unless of course you have the right contacts and the right work…but i wish you luck