After I started up my own company, I began carefully considering the different ways that I wanted things to grow. I really wanted to use our marketing efforts to spread the word about our company, so I worked with a team of professionals to make my business stand out. Although it was intimidating at first, we quickly discovered that our changes were really helping. We found ourselves succeeding where our competitors had failed, and it was exhilarating to watch the business grow. On this website, I wanted to share great information about resolving business problems and taking care of things proactively.
Six Mistakes Drivers Need to Avoid During Their First Year as Owner-Operators
Starting out as an owner-operator is an exciting venture. However, a lot of owner-operators make some big mistakes during their first year of operation that can cut into their profits and set them off on the wrong foot. The following are six mistakes drivers need to avoid during their first year as owner-operators:
Purchasing the wrong truck for the venture
Selecting a truck is one of the most important decisions you'll make when establishing your owner-operator business. Make sure you choose the right engine for the size loads you're expecting to haul. Put a lot of research into factors like fuel economy to maximize the profitability and efficiency of your venture.
Failing to plan ahead for slow times
Downtime is likely to come up at some point during your first year. Just because you're very busy at one moment doesn't mean the work will constantly continue to come in.
It's important that you're setting money aside during your first year for when slow times come up. Be especially cautious about not spending all of your capital funds during your first year until you get a feel for the business and learn how much downtime you'll be likely to deal with on an annual basis.
Being overly ambitious and taking on too much
A lot of first-year owner-operators take on more than they can handle when they first start out. You need to make sure that your expectations are realistic and you don't set yourself on track to burn out quickly due to overwork.
Trying to handle professional needs like legal and accounting issues independently
It's best to leave your legal and accounting tasks to the professionals when you set up your company. You need to cover your liabilities and make sure your business is set up properly. You also need to make sure that you're aware of all of your tax liabilities as time goes on and that you're keeping up with them.
Developing unhealthy habits while on the road
Your habits on the road are going to largely dictate the success of your venture and how comfortable you feel while working. You need to stay healthy because you won't earn anything during downtime caused by illnesses.
You should have a decent health insurance policy. Also, you should make sure you see a doctor when necessary so that minor illnesses don't snowball into debilitating illnesses.
Not attempting to develop long-term relationships with carriers
From the get-go, you need to network and start long-term relationships with carriers so that they can give you repeat work down the road. You should never look at a job for a carrier as a one-time thing. Instead, you should always be pursuing future opportunities with all the carriers you work with by being likable and offering exceptional service.
If you are interested in getting started as an owner-operator, look for owner-operator truck driving opportunities in your area.