Janos:
Who actually buys a depreciating asset like a truck outright? Most operators, myself included will put a deposit down and pay the rest through cash flow in the most tax efficient way, either via lease purchase or hire purchase. So the business owes the entrepreneur about £7000. A busy year would re-coup that, the £35000 and a healthy profit too. Not from a haulage exchange though. Also, if you use lease purchase and keep the asset at the end of the deal, you have a ready made deposit for your next truck.
And you are renting a truck of Mrs Scania or DAF, subsidising their snazzy overalls (very clean overalls) , whilst enjoying a business owners lifestyle?
Carryfast:
It puts him in exactly the position that Dimitri was trying to describe.In erroneously thinking that return on capital has any connection whatsoever to a hypothetical wage which he could earn driving as an employed driver while paying someone else to drive his truck.
Ignoring the fact that @Dimitri has completely lost the plot since his opening post. He is correct to only consider the increase in earnings in relation to any capital investment. For instance if someone earning 25K invested 100k in his own company and his earnings rose to 30k. Then it is very reasonable to assume that the return on capital as 5% and not 30%
But going back to the OP, @Dimitri, have you actually tried a virtual test with an online Haulage Exchange ? It should be easy to do! Lets us pretend your business begins in Newcastle on Fiday morning, (tell us what lorry you have bought, how much, age and milage) then choose a load and tell us what you are taking and how much you are getting paid, (and to avoid any cheating post the load details up the moment you choose it), then after a reasonable journey time following all the drivers hours rules etc. Tell us your next load from where to where and how much you will be getting.
Do this for the next fortnight and lets see how much per mile you are achieving, then we will be able to work out how profitable you are likely to be.
And you are renting a truck of Mrs Scania or DAF, subsidising their snazzy overalls (very clean overalls) , whilst enjoying a business owners lifestyle?
Carryfast:
It puts him in exactly the position that Dimitri was trying to describe.In erroneously thinking that return on capital has any connection whatsoever to a hypothetical wage which he could earn driving as an employed driver while paying someone else to drive his truck.
Ignoring the fact that @Dimitri has completely lost the plot since his opening post. He is correct to only consider the increase in earnings in relation to any capital investment. For instance if someone earning 25K invested 100k in his own company and his earnings rose to 30k. Then it is very reasonable to assume that the return on capital as 5% and not 30%
Exactly.Which is more proof that the return on capital has nothing to do with the 25k figure.IE 5k return on a 100k investment.The difference being in either case the return on investment figure being net of the driver’s wages whether ‘Harry’ employs a driver to drive the truck or drives it himself.
dimitri:
Perhaps Harry would venture to prove my calculations wrong by posting a scan of his accounts here.
Then we would know for sure who is right and if Harry is making any return on investment.
Dimitri if your such a clever person, you’ll know where to look and view Harry’s accounts online. Because like many other companies the accounts are a matter of public record
Harry Monk:
If the June referendum goes in favour of remaining in the eu then I will be putting my truck up for sale the very next day.
Drama queen much?
Well, maybe not the very next day, but certainly before cabotage restrictions are completely removed, because when they are domestic haulage will go exactly the same way as continental haulage, and this is the eu’s intention.
Harry Monk:
Well, maybe not the very next day, but certainly before cabotage restrictions are completely removed, because when they are domestic haulage will go exactly the same way as continental haulage, and this is the eu’s intention.
Is there some definitive timescale and intention to make it a free for all ? I agree it is likely to deteriorate from the current rules, but is there some legislation in the pipe work ?
Well, thanks everybody for participating in this thread and making it 5 pages long.
It was very informative.
Together, we can achieve anything we set our minds to!
Let’s see if we can make it to 20 pages!
That’s going to be fun!
To help keep the momentum going, let me ask you this:
What’s the deal with politics?
What political party is better?
dimitri:
Well, thanks everybody for participating in this thread and making it 5 pages long.
It was very informative.
Together, we can achieve anything we set our minds to!
Let’s see if we can make it to 20 pages!
That’s going to be fun!
I doubt it’ll make 10 pages, so I’m out …
Guys, don’t feed the troll
dimitri:
Perhaps Harry would venture to prove my calculations wrong by posting a scan of his accounts here.
Then we would know for sure who is right and if Harry is making any return on investment.
Dimitri if your such a clever person, you’ll know where to look and view Harry’s accounts online. Because like many other companies the accounts are a matter of public record
There was no accounts there. Harry has a company but doesn’t appear to use it or has an exemption as a small company. He may file as a sole trader which is not public.
This is also a second or third time you say you are out. Albion and you keep trying to get out but always come back. I think if you say you are out a few more times, we can make it to 10 pages easily.
I needed info and opinions and I posted a question. A discussion ensued. I didn’t agree with some, and some didn’t agree with me. But I mostly got the information I was looking for.
dimitri:
Well, thanks everybody for participating in this thread and making it 5 pages long.
It was very informative.
Together, we can achieve anything we set our minds to!
Let’s see if we can make it to 20 pages!
That’s going to be fun!
I doubt it’ll make 10 pages, so I’m out …
In the true spirit of freight exchanges I’ll undercut you at 9 pages only.
peirre:
I doubt it’ll make 10 pages, so I’m out …
Btw, it’s only the 2nd time I’m out
This is also a second or third time you say you are out. Albion and you keep trying to get out but always come back. I think if you say you are out a few more times, we can make it to 10 pages easily.
Drama queen much?
you will not make 20 pages