Leasing on an owner operator to my authority

Discussion in 'Ask An Owner Operator' started by South of heaven, Aug 21, 2023.

  1. South of heaven

    South of heaven Bobtail Member

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    Hi all. I have my own authority and I've been running for about 6 months. I own my truck outright and have one rental trailer.

    I'm doing okay in this awful market and actually have established some decent connections.

    I feel that I'm ready to take the next step and add another owner op to my company.

    What are my next steps? Does he need to be enrolled in my drug consortium? ELD?

    What would my leasing contract with him look like? Any major things that I need to add to the contract to protect myself?

    I do have an LLC and I'm current with the state.

    Thanks guys. I really believe I can keep another driver busy with what I have but I'm very nervous about the next steps.
     
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  3. Tim4563

    Tim4563 Bobtail Member

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    Are you doing dispatch? From friends I have known throughout the years driving oneself and also having other drivers is hard with retention and can be draining over the long haul-ie imagine having your dispatch call you with a load while the driver you have breaks down ect.

    That being said- you need to have your back end squared away. Making sure you have the paperwork for the people you sign on. Lookup Trucking made successful on youtube-she has great videos on this
    https://www.youtube.com/@TruckingMadeSuccessful

    That being said-dont take cheap freight-if everyone in the market is taking the scraps from the brokers right now-then we will continue to get lower rates per mile.

    Depending on your costs per mile (CPM) and commitments/leases-it might make sense to drive at a company right now to save your truck-but if your doing good cpm go for it.
     
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  4. kemosabi49

    kemosabi49 Trucker Forum STAFF Staff Member

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    Yes you have to have any drivers for your company in your drug testing consortium. And have complete driver file on him including drug test results, employment application. You will probably have to run any potential drivers through your insurance company too.
    @wichris and @Ridgeline can provide more info.
     
    Siinman and South of heaven Thank this.
  5. wichris

    wichris Road Train Member

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    Six months in, you better check with your insurance to see if they will even allow it.

    Your lease agreement is yours, not a copy of someone else's. Must included everything in 376.12
     
  6. South of heaven

    South of heaven Bobtail Member

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    Thanks Chris. Oh, most definitely I will check with my insurance. I'm just starting the process now and gathering all my info and research now.

    I'm not gonna force anything.
     
  7. Hayfieldmn

    Hayfieldmn Light Load Member

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    I know Great West insurance will not let you have anyone but yourself until after 1 year.
     
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  8. wis bang

    wis bang Road Train Member

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    Exactly!
     
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  9. peabody747

    peabody747 Light Load Member

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    i would wait till you get a year, insurance is a big hurdle. On top of that if you just hiring on anty driver off the streets they can be terrible, get tickets, late pick ups deliveries etc. Suggest you vet anyone into deep research on them before jjust hire them on. One little mess up from said driver can raise your insurance enough to shut you down
     
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