Top 10 Tips for Owner Operator Success
Are you thinking about becoming an owner-operator in the trucking business?
If so, then here are 10 tips to help you find success in this complex, but fulfilling, industry.
1. Have Money
The first step in finding success is having plenty of money in the beginning. Your biggest investment is your truck, so make sure you have enough money to put down a substantial down payment.
By doing so, you will also keep the equipment payments lower and more affordable, and help you out if you need to secure a loan.
Please keep in mind that you will also need money for out of pocket expenses, insurance, meals, oil changes, and unexpected repairs.
2. Have a Good Credit Rating
Make sure you have a good solid credit, as most carriers will use a credit card system, which comes in handy for fueling.
Make sure that you pay bills on time, keep your credit card balances low, and manage your debt accordingly. Your spending habits and credit will greatly determine your success as an owner-operator.
3. Have Stable Relationships
Make sure that you have good relationships with those in your life. Being away from your friends and family can lead to problems, especially in longer absences. Make sure that you have relationship issues taken care of, and think about what’s more important to you.
4. Have Accounting, Legal, and Business Advisers
Make sure that you have good advice when starting out in the transportation industry. Legal and accounting experts are the ideal contacts for you to have.
Beyond good credit, as mentioned above, you should also make sure that you have a solid business banking contact, and a legal advisor to help you make critical decisions, record keeping, and income tax returns.
5. Have Good Health
Consider your health as well. If you have any serious health considerations, then you should double check your decision to become an owner-operator. Getting medical attention while you are on the road can be an issue.
You will need extra money set aside for your health as well, just in case you have to take unexpected time off of work due to illness.
6. Be Prepared for a Long-Term Commitment
When becoming an owner-operator, you are committing your future to paying off your new investment. You will need to make sure you can pay off the payments for your new truck, so when making your first purchase, make sure you consider:
- Do you need a new truck, or can you consider used?
- How much can you afford?
- What is the fuel economy?
Make sure you do your homework, because the work will pay off in the long run.
7. Consider a Lease
As a new owner-operator, it is within your best interest to be leased to a carrier. The carrier will own the responsibility of providing permits, securing insurance, license plates, trailers, and the freight.
Carriers will also provide credit card systems for cash advances and fuel purchasing. This is more beneficial than starting out on your own, given the overwhelming risks involved.
8. Carefully Choose a Trucking Company
In addition, make sure that you do your research to make sure that you start off working for a good carrier. Look for a company who has had the same employees for a long time. Make sure that they don’t have forced dispatch, and never get involved in a lease-purchase agreement.
Don’t forget about the patience required to start off in a new business. With proper planning and smart decision making, you can find success in your field.
10. Work On Your Business Mind
Last but not least, keep in mind that being an owner-operator will take more than just being a good driver or having sufficient experience. You need to have a strong business side to find success as well.
Believe in yourself, find your purpose, and chase after your dreams.
We Can Help You Find Success Today
As experts in the trucking industry, we know the ins and outs of small and large trucking businesses. Whether you have been in the field for a number of years, or just starting out, we can help you.
In respect to the impending ELD mandate, if you need additional help, UTECH is here for you. With our knowledge and expertise, we will ease your fears, so you can continue doing your job efficiently.
We are leading specialists in the trucking industry, to help ensure safety for everyone on the roads. GPSTab has gone through a rigorous certification process, and we guarantee that it will make a great choice as an ELD solution for your business. With the well-known and tested GPSTab platform, our edition will provide more functionality to fleets of all sizes, while keeping drivers happy.