Question:
Hi all...I'm requesting opinions on bedbuggin'. It's 180 degrees from where I thought I would start out in this business, but the recruiter's pitch sounds pretty good ( don't they all? ). First off, it's an Allied Van Lines affiliate that is 100% O/O. They have an O/O program for students just out of school. Yea, I see the red flags, too. They're slapping me in the face but read on.
The Training
Orientation is three days with $100 pay per day. They fly you in and put you up in a nice hotel ( I've been there )...private, no roommate. They pay for lunch. Six to seven weeks OTR with a trainer. Training pay is $500/week. Trainers usually stay in hotels when they have a student. If so, company pays for your room when on the road. After OTR training you're back at headquarters for review and paperwork. They then take you to the Kenworth dealer and you pick out your truck. Truck is brought back to their maintenance facility and given a thorough inspection. New paint job ( orange and black ). Qualcomm and AT&T cellphone installed. While truck is being prepared, you go to "Allied U." in Fort Wayne for a five day O/O business course taught by trucking professionals. You are paid $500 for this.
The Truck
2000, 2001 or 2002 off-lease Kenworth. Many trucks to choose from...here's an example they give: 2001 T600, Cummins engine, 10 speed, 350,000 miles, remainder of 500,000 mile warranty plus Allied adds one year. $3500 down payment that Allied will loan you if needed. No other start up costs. Not a lease.
Paccar Finance. $52,000. 11% interest. $48,500 financed. 48 payments of $1250.00. Truck is titled in the O/O's name and finance comp. is listed as the lien holder. Truck value after 48 months is $22,000, an estimate, I'm sure. Drivers average 60k to 80k miles per year.
You are responsible for maintenance, of course, and the net pay examples below take into account
a reserve for this purpose. You pull their 53' trailer. They maintain trailer 100%.
The Pay
Top 25% of the fleet: $200,250 gross, $80-85,000 net.
Fleet average: $151,200 gross, $55,000-60,000 net.
Recruiter stated that these were conservative NET estimates and that most drivers take home more depending on money management. Net figures are "take home" after deducting truck payment, insurance, fuel, helpers, road expenses. In 2001 highest O/O grossed $279,000.
Starting pay is 55% of revenue plus assessorials.
Things like pianos pay extra. Driver gets all surcharges.
You are monitored during your first year to help you stay on track. Help is always available. Bookkeepers are available to help with the books if you want. I think he said that service will run you $120 a quarter.
The Work
Busiest spring, summer, fall. But stated they have enough winter work due to trade shows, business and corporate accounts ( not just all house moves ). They haul Special Products ( Electronics, computers, Medical equipment, exotic furniture, art works, trade shows and exhibitions ). No forced dispatch. The day before you arrive at house/office, the local Allied agent has packed all goods for you. You just load trailer. You pick up one to three man crew at local agent to assist loading. Driver pays crew $10-$15/hour per man depending on what part of country. Same deal at destination.
The Home Time
Out 2-3 weeks more or less depending on you...you're the boss. Out more = more money. Out less = more home time. Of course, you gotta make those truck payments. Home 3-7 days...or more, same as above. Stated some drivers park their truck just before Thanksgiving and don't go back out till after New Years.
O.K., I says, what if after 6 months I decide this just isn't for me...now I've got this huge truck payment....now what? Recruiter says I have two options: I can take truck with me to new job, after all, it's mine ( and the bank's ) or 2) I can drive the truck back to headquarters, throw the keys on the seat and walk away. No obligation, no loan default. No, I do not get any of my payments back.
Bottom line: this is hard physical work but that doesn't bother me. What bothers me is sitting behind the wheel all day getting fat. My metabolism is way slow I have talked to three different Allied drivers and they have all told me that the "story" above is pretty accurate. Yes it's hard work but you have the potential to make great money. Basically, they all said average money(40k +) is easy with more home time. Good money(60k +) is attainable with a little more effort and the potential for great money (80k +) is truely there.
I realize that a recruiter is a salesman. Some are more honest than others. I've been reading this forum long enough to know not to jump into anything with my eyes closed so I've been doing my research. This post is a continuation of that research. Please tell me what you think.
Thanks,
Tony

Answer:
hey your post is pretty interesting i drive for united van lines and have never heard of giving a newbie a o/o position right out of school but if all is true go for it, hell i might be interested in it, giving they do this with experience drivers, e-mail me at cflanagan@peoplepc.com with any contact info you may have

Answer:
quote:
They have an O/O program for students just out of school
Do not do it.. -->
"Soon to have lots to say, but for now will keep my mouth shut!"

Answer:
60,000$/year might sound good......but you're signing your name to a 50,000$ note. You are putting your credit rating on the line. You are taking a business risk. You're responsible if something is damaged. In addition to the physical work & driving,you're doing a lot of paper work. Your earning every bit of what they pay you.
Just courious,where are you from??

Answer:
mention what happens if you happened to ruin a million dollar piece of medical equipment or an unreplaceable piece of art or furniture. Who is responsible for paying for it. Even if you have insurance for something like this what is going to happen to your payments or insurance eligibility in the future. Just a few more things for you to find out. Are there any escrow payments, do you have to keep a maintence account and if so how much are they. Hmmm even more questions.
Also there seems something real funny about them saying you could just "take the truck back" if you didn't like what you were doing. After all it sounds like you are buying the truck and I know if you buy a car or a house you cant just give it back and expect to not have a negative impact on credit ratings if you still owe money.
Yes you can make very good money in the moving game, and yes it is very hard work at times, especially if you do most of the loading/unloading yourself (the less you hire out to be done the more you keep in your pocket) but I agree with the above poster too. A newbie has no biz getting into the trucking game as an O/O. There are too many things newbies do not know about and they are too easily blinded and decieved through ignorance.
Only two things I know of are infinite. The universe and human stupidity, and I am not real sure about the universe.
Answer:
That brings some questions to my mind. If I get back into trucking after a few years I would like to become an owner operator. I have pretty much figured my best bet would be to save my money and finance the truck on my own. But how would I go about learning the business aspect of being an owner operator? Are there books out there...any training programs not taught by trucking companies?

Answer:
Originally posted by lvrick89128:
That brings some questions to my mind. If I get back into trucking after a few years I would like to become an owner operator. I have pretty much figured my best bet would be to save my money and finance the truck on my own. But how would I go about learning the business aspect of being an owner operator? Are there books out there...any training programs not taught by trucking companies?
Partners In Business
This is a "manual" put together by Volvo and Overdrive magazine to help wannabe O/O learn the ins and outs. Normally the manual is free of charge to order, but the last time I checked they were out of stock on them. However the manual is available online.
Only two things I know of are infinite. The universe and human stupidity, and I am not real sure about the universe.
Answer:
As UTurn, stated....the Partners-n-Biz book is an Excellent Guide.
You may also want to try drving for an O/O or small fleet owner.(small ma & pa carriers)
It's been my exp that the smaller carriers tend to let the drvrs run the trks as though it were theirs.
The good thing about that is....You are Not the one Actually Paying for the fuel, repairs, permits, etc.(but, you still are able to get the "feel" of what it would be like.)
It gives you the opportunity to SEE the actual COST of tires & repairs & things.
Whereas with most of the big, major carriers if you needed a repair or something the carrier would simply have you take it into one of their "Network" of shops to have it repaired...or they would just send a "Road Service Unit" out to you.
In those cases, the drvr usually just "Signs" an invoice & the repair folks bill the carrier later...or....they have you call into the carrier & get a P.O.# & they add that to their "Account" & they settle the bill later...or...you call in to the carrier & they give you a "ComCheck" to pay for the service.
Most large carriers receive "Discounts" for tires & fuel & other services b/c they buy in bulk...therefore you do Not SEE the "Actual"(real) cost of the service.
Most O/Os try to purchase the "Cheapest" fuel(listen to the CB & I guarantee you'll hear someone ask Where the Cheapest fuel is..or...How much is fuel at such-n-such place.)
The people you hear ask those questions are usually the O/Os.
Company drvrs have no need to ask about fuel prices b/c their carrier already gets a "BULK DISCOUNT"(which explains the reason Why carriers want drvrs to fuel at TERMINALS as much as possible.)...which is the reason why the carrier has "Authorized Fuel Stops".(you'll more than likely be issued a fuelstp book in orientation.)

Answer:
Thanks for the link. I'll check it out.