Running a van

dieseldoctor1

Expert Expediter
There has been a lot of discussion about making a living with a van in the expedite business. A lot of people on this forum and that I have talked to in my travels has decided that it is very hard to make money with a van. In one post on this forum it was stated that you should never expect to make $100,000 in a yr with a van. Running solo maybe not, but you should be able to do better than most people are saying.

2005 was a good yr in expediting for us (a little better than 2004) but we had some bad times that cut into our income. Wifes mother is battling breast cancer and had three operations in 2005. Each time we took a week to 2 weeks off to help her until she got back on her feet. Then both our daughters had babies this yr so you know we were off a week or more with each of them. Then keeping our 9 yr old grandson for a week and taking a week off to do some demos at an antigue tractor show with my antigue tractor and threshing machine took two more weeks out of our work. We try to get home every weekend but probably 10 to 15 weeks we don't make it. But when we do we always stay out of service until Monday night.

From this you can tell we only worked less 9 months last yr. Now we still put 150,132 miles on our van. Yeah we sitesee a lot and deadhead home more than most people. Just don't want to reveal our actual income but our loaded miles was in the low 90,000. We average well over $1.00 per loaded mile. If I annulize our gross income per week worked, one more week worked would have put us into six figure gross income.

As for truck expense, we started the yr with 109,020 miles on our van and ended with 259,152. You can check out the van we run here.

http://www.expeditersonline.com/dcforum/DCForumID16/519.html

For depreciation I took the total cost of van and divided it by 36 which puts the monthly figure at a little less than $1000.00. Fuel cost for all miles was $.161 per mile. Total truck cost was $.285 per mile. Only "repairs" was one set of spark plugs and one fuel pump which failed at 232,000 miles out in CA ,miles from nowhere. Towing and pump replacement was about $700.00. Also installed a new set of Michelins for close to $800.00. Total expenses for truck, insurance for both of us, food, and etc came to $.361 per mile.

Do we live a frugal lifestyle? Not really. With our thermostat control, when we are in the van we keep it between 60 and 80 degrees. Why keep it that warm in winter? Well we sleep nude and we are going to be comfortable! Meals, for breakfast, we carry cups and boxes of cereal with us because of my diet. We buy milk each morning. Lunch sometimes we eat a sandwich from things we carry with us or eat fast food. we do buy drinks on sale usuall at our home town grocery store. We try to always go in and have a good hot sit down meal at least once a day. On weekends unless we are on a run we will eat three meals in a resturant.

How do we do this. Buy a van equipped right, and I emphasize the "equipped" right, and take good care of it but don't waste money doing stuff that don't need to be done as far as maintainence. But most of all, I follow advice my Dad gave me when I was about 10 yrs old and doing a little custom tractor work for neighbors. I questioned why I should do a little 30 minute garden plowing job for a lady. He told me: Son, a man who takes all the work he can get, gets all the work he can take. So I went and plowed her garden. Was stopped twice by other people wanting jobs done. Wound up with two days work.

One final point: there has been a lot of bitching on here about certain trucks getting special treatment as far as staying busy. Darn right they do and if you can't figure out why, well, nah I won't say it.



You'all have a great year!

Dieseldoctor
 

LDB

Veteran Expediter
Retired Expediter
Thank you for a great post! You are an excellent resource, not only for vans but for anyone. You really need to share more of your experience and wisdom more often. I'm going to be presumptuous and read between the lines of your post a little. Although you didn't specifically mention it I read into your post that you maintain a professional attitude and appearance when dealing with customers. This has been discussed in other threads but can't be overemphasized for newcomers. It is an important part of being successful. Again, thanks for an excellent post.

Leo Bricker, owner trucks 3034, 4958
OOIDA 677319
73's K5LDB
EO Forum Moderator 1+ Years of Service
Expediters Online.com - The Best is Getting Better!
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Support the entire Constitution, not just the parts you like.
 

klippencott

Expert Expediter
This is an excellent post and answers a question I placed in a recent post. I was asking for some actual CPMs. This is the kind of information I need to decide to use the Sprinter I already own or a class D truck.

Your Dad was/is a wise man to teach is son such a work habit.

Thanks for the post!!
 

dieseldoctor1

Expert Expediter
Thanks Leo and KDL for the kind words!

KDL, I agree Dad was a wise man. He had very little education but as a teenager he worked on the first tractor (Fordson) that came into the county and soon had a little repair shop going. He soon bought himself a tractor and some equipment and was doing custom farm work also. Then when a power company started bringing power to the county, Dad and his younger brother started wiring houses. Later the county hired him as maintenance superintendent for the county schools, which he did until his retirement. Then he started repairing and building clocks. I am very proud to have a grandfather clock he built entirely from wood. The gears and escape movement is all made from wood. The only metal in the whole clock is the weights that drive the movement.

Yes I try to project a professional appearance and attitude at all times. Seems most expeditors think the most important part of this business is them. I have been in several different businesses starting when I was very young. Learned real fast that the most important part of any business is the customer. And in expediting there are usually two or three customers, ie: shipper, consignee, and sometimes a third party.

Think about it guys! You have a breakdown and go to Joe Blow's shop and he tells you that it will be three days before he can get it fixed. Then you go down the street to John Browns place and he brings it right in and fixes the problem. Who are you going to go to first the next time you breakdown in that town. Duh?

Ok,a shipper calls your company and wants a short load hauled and since you are the only truck available they offer it to you but you run the figures and decide you can't make any money so you tell them no. The shipper then calls my company and they offer the load to me so I haul it. The next day that shipper has another load, which happens to be a 1500 mile run. Which company do you think he will call? Haul his crap today and you or least your company will haul his sugar for a long time or until a number cruncher refuses a load and he swaps his loyalty to another carrier. Sometimes taking a loss in order to get good business down the road has been part of every business I have ever been in, either as an owner or employee. Even the heavy truck and farm equipment dealership required that at times. Sell a truck at a loss but get parts and service business that has a very good margin made me a lot of money.

Guess I should keep my mouth shut because if everybody heeds my advice I won't have these almost six figure income years working only 9 months of the year.



Dieseldoctor
 
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