You could be a glossy-eyed rookie or a chiseled veteran, but either way you’ve likely considered the possibility of saying goodbye to the guaranteed weekly paycheck of fleet work. Sure, the pull of the entrepreneurial lifestyle is appealing, and certainly this goal is achievable, but are you ready?
Before you put your two weeks in and head to the truck lot, you’ve got to make sure all your ducks are in a row. Becoming an owner-operator takes careful planning and proper execution in what is an intensely competitive business environment.
Here are the five main factors in determining if the owner-operator life is for you:
- Personal assessment
- Financial assessment
- Equipment assessment
- Independent or lease
- Legal and accounting
Today we are going to take a look at the first and possibly most important factor you have to consider before you decide to become an owner-operator: The personal assessment.
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Personal Assessment
Driving a heavy-duty commercial vehicle is a lot different from sitting in an office cubicle. You’ve got to give a lot of thought to your work ethic, personal habits, and other factors that might affect the likelihood of you succeeding on the road.
Consider the following:
- Driving: How do you prefer to make a run? Are you the type of person who prefers to maximize your hours and make as many runs as possible? Or do you prefer to take your time and shoot the breeze at truck stops with your fellow truckers? If your answer is the latter, being an owner-operator may not be for you.
- Hometime: If you would rather make sure you can spend weekends at home regardless of what that might mean for your pay, becoming an independent operator might not be your best option.
- Family: Do you have special family considerations? Perhaps you need to take care of a family member, or have childcare considerations. While it is possible to be able to manage family considerations while till succeeding at being an owner-operator, keep in mind that there may be times in which hometime will have to be sacrificed in order for you to stay in the black.
- Health: How is your health? Even if you have a current medical card, you have to ask yourself if there are other medical conditions that could worsen over time, especially if you’re working more. In light of potential major health problems, being on a fleet payroll may be the best option, especially considering the lavish benefits being bestowed on today’s truckers in an effort to stem the employment squeeze.
- Insurance: Are you in a situation where you need employer-sponsored health insurance? Or are you on a spouse’s employer-provided plan? Independent insurance can be very costly, depending on your level of health, age, weight and other factors. Although legislation is pending that could clarify the trucking insurance picture, you’ve got to do your due diligence.
- Career: What are your short- and long-term career goals? Do you consider yourself something of a “lifer” or do you one day want to enter a non-driving position? The fact is, if you plan on moving into another field within the next 3 to 5 years, becoming an owner-operator might not be for you. But if you plan on staying on the road for a long, long time, you might be a good fit.
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While these considerations are not the only personal factors you will need to consider, they are the most common. Ensure you are thinking honestly about the answers and do a practical assessment of your personal needs, wants, goals, and life choices.
Join us in our next installment, where we will take a closer look at the financial considerations involved with striking out on your own. While personal matters are important, in the end you’re going to have to ask yourself, where’s the money?