gixxerboss:
Thought about containers as i would have thought these were moved 24/7 hence double manned.
I can’t imagine how you could double-man or double-shift a truck on container work 24/7.
The container ports are open continuously but delivery points are generally only open during normal working hours.
You right in one respect that double shifting a unit is the best way to make running your own pay but as hinted at in my previous post, most firms won’t let you double shift your motor, they’ll keep that work for themselves and only offer you tramping.
Hi Brian,
Just wanted to give you my perspective on this. I left the Police in 2009 and was looking for a new challenge. I’ve always had my HGV so it wasn’t as if I was a total newbie. Since then I’ve been researching the possibility of being an O/D but even though I am quite an optimistic person, I can’t honestly see how I could make it pay.
The costs are roughly:
And this is before you start. There is plenty of work out there in the back of Truck and Driver but it normally pays peanuts. For example, I had some pricings from Sealane and they pay around £1.20 per mile. For European work you will be in competition with European hauliers. Some companies will take a load for £250 just for diesel money. Another option is to be a subbie for DHL or TNT but I don’t know how easy this is to get into or how much they pay.
After you’re up and running you’ll probably need to be a limited company rather than a sole trader (less severe if it all goes belly up). On top of this there are your account’s fees which would be about £500 PA.
If you are planning on going double manned then this is another wage of approx £20000 PA. A lot of companies pay on 90 day terms so you have to wait 3 months to get paid from your first job. I completely understand your dilemma but I don’t have the guts to take the leap of faith myself
All this for £1.30 per mile? I’d probably get a job with a haulage firm for a steady £350 a week.
Guybrush:
Hi Brian,Just wanted to give you my perspective on this. I left the Police in 2009 and was looking for a new challenge. I’ve always had my HGV so it wasn’t as if I was a total newbie. Since then I’ve been researching the possibility of being an O/D but even though I am quite an optimistic person, I can’t honestly see how I could make it pay.
The costs are roughly:
- CPC - Two week course - £1000
- Decent second hand truck e.g. DAF 04 plate £20000
- Insurance (truck, trailer, GIT & CMR) £5000 PA
- O Licence £400
- Proof of financial standing — Approx £8000 in hand for first vehicle
- Renting a parking space - £? — Does anyone know?
- Diesel — About £1000 to fill a tank
- Tax
- Servicing
- MOT
- Repairs
- Tolls
- Overnight parking
- Breakdown service
- Tachograph calibration
And this is before you start. There is plenty of work out there in the back of Truck and Driver but it normally pays peanuts. For example, I had some pricings from Sealane and they pay around £1.20 per mile. For European work you will be in competition with European hauliers. Some companies will take a load for £250 just for diesel money. Another option is to be a subbie for DHL or TNT but I don’t know how easy this is to get into or how much they pay.
After you’re up and running you’ll probably need to be a limited company rather than a sole trader (less severe if it all goes belly up). On top of this there are your account’s fees which would be about £500 PA.
If you are planning on going double manned then this is another wage of approx £20000 PA. A lot of companies pay on 90 day terms so you have to wait 3 months to get paid from your first job. I completely understand your dilemma but I don’t have the guts to take the leap of faith myself
All this for £1.30 per mile? I’d probably get a job with a haulage firm for a steady £350 a week.
Difficult to disagree with this. If you’re talking about subbing (and most O/Ds are) then the question to ask is; why is this work being subbed out in the first place? I would of thought if there is money to be made for putting a vehicle and driver to work, then why don’t they simply not get another wagon and driver in? Contract hire could be used if lack of up front capital is an issue. The only reasons I can think of is if the work is borderline profitable, or potentially irregular. If I was a haulier, and unsure if I could turn a profit on work, then I’d contract it out if I could, at fixed rates, to ensure that I could turn a profit and pass the risk onto the contractor. The same with irregular work; let somebody else have capital sitting idle if the work tails off. It seems the role of subbies is to take on risk, which is fine if the rates reflect that. But they don’t seem to. If owner drivers were inherently more efficient it would make sense, but O/D’s advantages (greater motivation to work well and keep costs down) seem to be countered by their disadvantages (less clout to negotiate good deals on equipment and service contracts). I’d be very interested to hear seasoned and successful O/D’s thought’s on this.
Biscuits:
Difficult to disagree with this. If you’re talking about subbing (and most O/Ds are) then the question to ask is; why is this work being subbed out in the first place? I would of thought if there is money to be made for putting a vehicle and driver to work, then why don’t they simply not get another wagon and driver in?
In my case it is because the company I am going to sub-contract to has a contract to load several hundred tonnes of product from a factory which is over 200 miles away from where it is based, on Sunday mornings. I am based near to this factory. The company has been unable to cover this work without sending vehicles there empty, and the job is not popular among its drivers. Companies often do use sub-contractors to cover work which they are obliged to do, which originates in other parts of the country.
I doubt I am going to earn much more than a reasonable living at it, but the alternative would be to have no income at all.
What are you going to do rest of week Harry if its only to do on Sunday mornings ? Have you some reloads organised or is it specialised and rated round trip?
Harry Monk:
Biscuits:
Difficult to disagree with this. If you’re talking about subbing (and most O/Ds are) then the question to ask is; why is this work being subbed out in the first place? I would of thought if there is money to be made for putting a vehicle and driver to work, then why don’t they simply not get another wagon and driver in?In my case it is because the company I am going to sub-contract to has a contract to load several hundred tonnes of product from a factory which is over 200 miles away from where it is based, on Sunday mornings. I am based near to this factory. The company has been unable to cover this work without sending vehicles there empty, and the job is not popular among its drivers. Companies often do use sub-contractors to cover work which they are obliged to do, which originates in other parts of the country.
I doubt I am going to earn much more than a reasonable living at it, but the alternative would be to have no income at all.
robbo863:
What are you going to do rest of week Harry if its only to do on Sunday mornings ?
Sorry, should have explained it better, will be subbing for the same firm all week but am being taken on because I can cover that work, subbies local to them aren’t being taken on at the moment.
Although I have done the maths, I am just essentially copying the business model of somebody I have known, worked with and worked for for over 20 years who is has been doing the same thing for the same company for the last 3-4 years.
Wow great thoughts and advice, like i say just thinking at the min, just kind of sick of working for the man!!, has anyone got thoughts on being an o/d for stobarts, a friend was saying £15,000 and he supplies truck service contract and all work, for it not sure on what rates or anything, but might be a viable option for people who are put off by the high set up costs, of becoming an O/D.
Cheers guys food for thought
At least with Eddie, they’ll always pay you! You would just be a glorified employee though. Until someone comes on here who has took the plunge with them and says, yep I signed up and i’m doing 60k cash money in my sky rocket every year then i’d be unsure about it though. You’d need to be a pretty good yes man as well.
my advice do you costings first and know your costs
very easy to be a busy fool in this industry
can be flat out working hard all week but at end of it made a loss
and some o/ds ive spoke to and know think they are making money because they dont cost there truck in because they paid cash for it
so what do you do when it needs repolacing buy another mmmm ok
no depreciation or nowt still got to be costed in weather paid cash or finance as
still a cost to the business & one day will need replacing