Ask The Trucker

Raising the Standards of the Trucking Industry


otr truckingTalk Radio ShowTruck Driving JobsTruckingtrucking companies

Truck Owner Operator Lease Purchase Programs

Apr
13,
2009
21

Are you wanting to become a truck owner operator and considering the trucking companies lease purchase program?  Have you been told you can make $100,000 plus per ytruck owner operatorear as an owner operator?  No credit check, no money down, own your own truck through one of the trucking lease purchase programs?

Monday, April 13th, 2009 – 7:30 PM Eastern Standard TimeTruth About Trucking “LIVE” talk radio looks at these lease purchase programs and explains the facts about truck ownership through lease purchase and wants you to fully understand the Federal Truth in Leasing Law.

Join Allen for this important discussion and call in and join the conversation.

Owner Operator and the Lease Purchase Programs

Only on:  Blog Talk Radio

Update:  4-13-09 @ 21:54 hours :   Had a great show about these lease purchase programs this evening.  appreciate all the callers and chatters.  If you missed the live show, we have posted it here for you to listen to at your leisure ….

Next show is Wednsesday, April 15th, 2009 at 7:00 PM ESTVirginia Law Enforcement Breaking Federal Trucking Laws – See you there!

Allen

© 2009, Allen Smith. All rights reserved.

Technorati Tags: , , , , , , ,

FacebookTwitterGoogle+TumblrStumbleUponDeliciousDiggShare This!

Previous

Next

By: Allen Smith

Allen Smith is a 37 year veteran who started at an early age in a household goods family moving business. He began driving straight trucks in 1977 and moved to the big rigs in 1982. His experience within the industry includes; owner operator, company driver, operations manager, and owner of a long distance HHG moving business, taking many of the long haul moves himself when needed. Allen Smith, a truck driver advocate who is driven by the desire to help others succeed within an industry where injustice, unrewarded sacrifice, and lack of respect and recognition exists. Allen and his wife Donna are hosts of Truth About Trucking ”Live” on Blog Talk Radio. Other websites include AskTheTrucker, TruckingSocialMedia, NorthAmericanTruckingALerts, TruthAboutTrucking, and many Social Media websites. In 2011 Allen and Donna hosted the first Truck Driver Social Media Convention, designed to create unity and solutions for the trucking industry. This is now being extended through the North American Trucking Alerts network as those within the industry join forces for the betterment of the industry. Allen strongly supports other industry advocates who are also stepping up to the plate to help those who share honesty, guidance and direction. He believes that all those involved in trucking need to be accountable for their part within the industry, including drivers, carriers, brokers, shippers, receivers, etc… The list of supporters and likeminded people grow daily, networking together and sharing thoughts and ideas for the betterment of trucking. He has coined the popular phrase "Raising the standards of the trucking industry"

View all posts by Allen Smith →

Tagged: , , , , , , ,

21 Responses to Truck Owner Operator Lease Purchase Programs. - Post a Comment

  1. d40

    is jbhunt a good company to do a lease purchase with!

    • Allen Smith

      There are very few companies that offer good lease purchase programs. Most of them are just scams and you have to know what to look for…. and lookout for, or you can end up losing everything.
      Here’s a link to a Blog Talk Radio Show I did on Owner Operators and the Lease Purchase Program

      Hope it helps!!!

  2. Allen Smith

    Also, Here’s a link from a Blog Post we did about the Lease Purchase Programs…
    http://www.warhorsemediadesign.com/askthetrucker/trucking-lease-scam-perfect-for-dac-lies/

  3. kenny kitchens

    i missed the program about the truth and myth about being o/o, if you can e-mail me with the info. i am thinking about being o/o and need to get all the info i can get, don,t want to fall on my face. thank you

  4. Allen Smith

    Sure Kenny: I’ll email info and links on things we have done on this topic …. good luck – Allen

  5. Dexter Roberts

    Does anyone have anything good or bad to say about the lease purchase program for Prime?

  6. Tom Hyde

    I would first like to say there can be good leasing programs and I hope my company has one that is offered. We are a very small family owned company and recently decided to switch our drivers to lease. Being in business and dealing with customers as well as employees, it is a double edge sword. As a company owner with employees, we have to watch every dime. My grandmother used to tell me “watch your pennies and the dollars will take care of themselves” and she was absolutely right. While struggling to stay afloat in this uncertain economy and the constant baggering of rates by brokers and shippers, we had to take another look at what we were doing and how we could survive. Our biggest cost is fuel, followed by miscellanious repairs followed by employee taxes. When an employee does not pay for fuel nor is responsible for any repricutions of using too much, our fleet average was 5.5. When they started to pay their own fuel and realized their right foot directly controlled their individual profits, our average jumped to 6.2mpg. Idle time dropped and their individual productivity went up as well as their pay. Now I will be the first to tell you I have written settlements out for less than $5.00 but at the same time will also tell you it was a week where the driver decided to take most of it off. The same driver has also pulled checks as high as $2500.00 in a single week. That was a 3500 mile week and at 40cpm would have only net him $1400.00. The lease is a way to make a responsible driver earn closer to his potential but he will also have the bad with the good just as the company does. As far as repairs, we will always have them but as a company driver he will hit a service center to get a sinfle light changed out and cost the company approx. $100.00 for a $20.00 bulb. As an O/O he buys the bulb and replaces it himself. Its all accountability.

    I have put a lot of time and research into truck leases that can make a driver successful and have modeled our lease loosly on companies like Prime. The key word is loosly… their concept makes total sense but their application seems a bit tough for a driver to be able to survive. How do I know their methods? Well I once was leased to them as an O/O with my own equipment. The base idea seemed to work but the reality of it did not. I figured the biggest failure was the amount they were taking off of the top, followed by the fact that we had to run their loads, if the load was offered was cheap, I was allowed to refuse but did I dare? Sure I said no many times and every time they would offer another load it was worse than the one prior and I finally got to the point that I would take something because sitting another day didnt pay a thing. This is were I decided to try and fix a lease. My view is if the drivers are happy then I will in turn be happy. My lease is pretty simple. It is a lease purchase but I do not recommend purchasing simply due to the loss of warrantied coverage. Sure if you want to keep your truck you can, but as it ages and when the warranty expires, not only do you have to deal with the down time but then you have to also deal with the expense of the repairs. My current fleet is well maintained but the repairs are a killer. A cracked turbo, exhaust manifold and labor runs to the tune of $4500.00 and that is paid at the time of repair. It hurts when rates are as low as they are and will take months to repay, specially when most will not have the funds readily available and have to finance the repair… this is a typical scenario I have seen play out time and time again by independent O/O’s. I think you can see my point that the down time will have to be dealt with regardless as it is what it is but the salvation that the only expense is the down time versus the repair bill makes it less stressful.

    Again, the lease is not perfect but my fleet tells me thay are happy with what we offer. We are currently in negotiations to purchase all new equipment and have employed many hours of research as to the type of equipment all focused on economy and durability. The plan is to turn the equipment in 3 years so it will stay under warranty as well as keep the drivers in late model equipment. I also spec all of the trucks as O/O specs. I know what it is like to be out there and all the little conveniences left out in these big fleet trucks is rediculous. I cant believe some companies will not allow drivers to install inverters or fridges etc.Our trucks come with fridges etc.

    I guess in short don’t count leases as all bad, just poorly run or misused. I will certainly not force anyone to work with me, it is a choice the individual has to make. I also do not hire anyone with less than 2 years experience and prefer that they have come from a lease scenario. Its not that I am limiting the field but rather it is better to have someone come in and say this is how it should be. I take input from my drivers on everything we do and am continually tweaking the lease to better suit all involved. If the drivers are making money, then I will and that is the bottom line. My drivers are my most important asset and they all know it. I do not micro manage and I do not limit the trucks. This is the grown up world and if they want to run 75 then they can but they are the ones paying the bill. I believe in accountability for your actions as well as rewards for your triumphs. Our lease is the most practical means of accomplishment that I can come up with.

    • calvin goddard

      Hey Tom,i,ve been driving now for 5 years and been trying to get a good lease/purchase, tried with crst and when i got close to paying off the truck they couldn,t get me enough loads to pay the note any more and pay my bills also,so i had to take the truck back.then i leased one from schneider nat. only because they said you could take the truck and lease on with someone else.so after 16 mouths of running my but off just to pay for the truck and barely my bills they let me lease on with mercer trans which was a really good company to work for,i actually enjoyed working for them.it sounds like youhave a pretty good deal,i would like to know what the name of your company is so i can put in a app. thanks Calvin Goddard @ c_agoddard@hotmail.com bet you got plenty of letters like this !

    • Ron Partridge

      Hello my name is Ron and I have 15 years driving experience and no tickets what so ever. I have a little 1 million accident free miles. I am looking for somewhere to call home and somewhere I can make money. Please contact me at rnpartridge@yahoo.com or on my phone 910-518-1655. Thank you

    • RONNIE CRUTCHER

      I have over 20 years in the trucking industries and a very good safety record,Iam driving for a Entertainer company right
      now looking for aplace i can call home and try the lease program.If you would sent me your phone number @ my E-mail address and i will call you back.
      Thanks,Ronnie Crutcher

    • Mike

      I’ve learned to never trust a company that won’t put their name on an ad or comment. Usually it’s JB Hunt, and those type of companies who pull that. Yet, I’m truly curious about who you represent. I would like a reply ASAP, if you still reply to this blog after so long of a time. My email is: docworrad @ yahoo . com

      Thanks!

  7. T.Mann

    One of the worst and I mean the worst trucking lease purchase scams is run by Perkins Specialized Transportation in Nobelsville IN. This company is ripping off their drivers who are working for free with no pay checks, they steal tier pay and thin make false D.A.C. reports if they quit. I am currently working on having them investigated for RECO violations , if this works out and they are prosecuted under RECO it will certainly upset the whole industry as it applies to these lease purchase scams. Read the RECO statute and see if these scams fall under this Federal code.

  8. w.nilsson

    i am looking for a decent lease purchase and was curious what company you work for.

  9. Heinz Wilhelm Guderian

    Perkins Specialized Transportation Noblesville IN
    Are advertising for lease purchase truck drivers they then bring them to IN and sign them up with their lease purchase trucks. Once these drivers start working for them they never receive a pay check, there have been many drivers who have seen no payment for any work for months, they give the drivers $250.00 advance a week that’s all. People are being mislead about their questionable lease program and are being scammed. They then threaten to put erroneous information on the drivers D.A.C. report if they quit their lease. I would like to know which agency that can look in to this matter as many people are suffering due to this alleged scam.

  10. JON PEPPER

    Would you mind contacting me about your lease/purchase program? I’m an old Prime hand. I was there for 10 yrs, until I bought a truck and struck out on my own. I was doing well, then was sabotaged by one of my lease drivers. I went from a 5 truck operation to struggling with one truck. I’m almost out of business but that is mainly due to the age of my truck and health issues within my family. I would like to talk to you about your program.

  11. Someone

    Yeah ok Lone mountain. I have decent credit and 8 years on the road with only 3 compaines and they said I dind’t have enough experience. Why would someone tell me that no accidents over 1 mill miles accident free. I was looking to add 2 trucks to my fleet of 10.

  12. Someone

    I would like som information about your company please. Please contact me at the registered e-mail thank you…

  13. Jessie Goff

    I know that theres no safe lease purchase company out there but some has to be better than others. Could anyone refer me to one that will run a team

  14. clutch

    all i can say is i went to loan mountain and they treated me right and id buy another truck from them when the time comes, also if your looking for a great company to work for and lease on to, try overbye transport inc. outta lakeville mn, there honest and your pay is allways right,, a great family to work for and to be leased on to..if youv got questions ,iv got answers,,i took 2 months off last year and still grosed 170k…my name is clutch and my truck number is 959 at overbye,, take care good luck to all

What do you have to say about this?

Close
To the top