Are you currently a company driver and considering transitioning to an owner-operator? Becoming an owner-operator isn’t easy. There are many things to consider before jumping in. Being a skilled driver doesn’t mean that you’ll make a successful owner-operator.
Owning your own truck is rewarding, but it takes more than wanting to be successful. It takes proper planning and a deep knowledge of the trucking industry. Before becoming an owner-operator we recommend you ask yourself a few questions to determine your preparedness.
Are You Prepared To Give The Attention To Your Business?
After working for 70 hours a week behind the wheel, there’s not much time left over to put into your business. Are you willing to sacrifice certain things to be successful?
Do You Have A Cash Reserve?
Owning your own truck comes with many expenses. Do you have enough cash saved up for those kinds of things? If your business fails, do you have enough money saved up?
Have You Made A Business Plan?
Your business plan doesn’t need to be complicated, but you’ll need one to reference. Make sure you understand what assets you have and what they’re worth, the costs associated with operating your business, and whether you’re going to be running under contract or spot rates.
Do You Have Any Mechanical Abilities?
If you’re able to perform essential maintenance tasks you’ll be able to put more money in your pocket. If not, be prepared to pay high premiums at truck repair shops.
Do You Have A Desire To Be Independent?
If you don’t like to be micromanaged, the freedom of owning your own truck will be perfect for you. Make sure you practice discipline and find ways to stay motivated.
Do You Understand How The Trucking Industry Works?
Make sure you are confident that the owner-operator path is right for you. Knowing the ins and outs of the trucking industry will serve as a benefit as you navigate your owner-operator career.
Have You Talked To Other Owner-Operators?
Learning what to do and not to do as an owner-operator will be critical to your success. Link up with other successful owner-operators and ask lots of questions.
Do You Know All Your Financial Obligations?
Are you in control of your finances? Do you know exactly how much you need to make to cover your bills and how much you need to make for your business to turn a profit? It’s vital to set up a budget for your financial obligations and projected business expenses. A reliable financial adviser can give you the advice you need. You’ll reap the rewards many times over by starting your business off on the right foot.
Do You Have A Record-Keeping System?
If you’re unsure how to set up a functional record-keeping system, you’ll need to hire a professional to help you navigate those kinds of things. It’s essential to have the correct paperwork for taxes, inspections, and audits.
Do You Know Of Good, Honest Trucking Companies That You Can Investigate?
Familiarity with some carriers can be beneficial. If you’re working with a trucking company that you like, being an owner-operator with a trustworthy company that knows you can be advantageous.
Proper planning, research, and hard work are essential elements for a successful career. YOU will be the creator of success for your trucking company. Make sure you give serious consideration before making the leap to becoming an owner-operator.