Logistics is the transportation of goods to consumers. It is one of the most important jobs in the world. There are many aspects of this business, working as an independent contractor who owns their own truck and drives it is an owner-operator. This is why we have answered three questions on how to become an owner-operator in logistics. Owner operators are hired by companies to haul goods for them, being an independent contractor you can choose which loads you take. An average salary in the U.S for an owner-operator is $126,838/year or $10,570/ month as of May 19th 2020. Matrix owner-operator make 90% compensation of negotiated rates.
What do you need to become an owner-operator?
Being a successful truck driver can take a few years to learn how to be organized or manage fuel efficiency, and cost for operation, but the very first step to that journey starts with getting your commercial driver’s license (CDL). Obtaining a CDL is about a 2 month program which does not require you to be a high school graduate but some companies may require a background check or random drug screenings for you to become an owner-operator in logistics.
What type of expenses will you have?
Take the time in making your decision and make a list of the things you need to know and do. Some of the things you need to think about is calculating your fixed expenses and estimating your variable costs. The major fixed costs will be your truck payments and insurance, & the major variable costs will be fuel and maintenance. Just like for anything in life it is good to have a little money put away for emergencies in case repairs are needed. Some but not all expenses will also include tires, tolls, taxes, repairs, or installing a new trailer. An electronic logging device or ELD is one of the most helpful tools for drivers who want to become an owner-operator in logistics. The #1 in the market right now is the KeepTruckin ELD. It is fully compliant with DOT regulations and FMCSA. It is user-friendly helps drivers stay on track, and easy to use for inspections. The best feature is the fuel monitoring.
How do you decide if it’s the right career path for you?
Besides the fact that you should take pride in your driving ability, an excellent driving record is a must. The majority of your time is spent enjoying the views from the road, it’s a perfect way to sight-see the beauty in all of the states while you’re acquiring a livelihood. If you enjoy solitude, having a positive attitude and patience, you can quickly adapt to the life of a truck driver.
Freedom and independence are a big part in this career, but taking the leap into owning your truck can you put you on a profitable track. Regardless of the economy, freight rate or fuel cost if you create a structure for your business plan within a few years you can be one among millions of drivers who succeeded in being an owner-operator. As an owner-operator you can work with a company that has a dispatch service team who will find you loads that fit your schedule best. They will also provide with a highly trained safety & accounting department to guide you through all the steps that need to be taken on a daily basis.