For an owner-operator, maximizing revenue and minimizing overall expenses is the goal. When you’re able to do so, your business will be profitable.
That’s the reality for every small business owner. You can’t simply focus on how much money you’re making. You also have to focus on how much you’re spending, and on what. By understanding your expenses, you can then find ways to minimize them.
The Top Expenses Facing Owner-Operators:
Fuel
More than likely, the largest expense for an owner-operator is fuel. You can spend anywhere from $50,000 to $70,000 a year fuelling your truck(s). You can determine exactly what this expense looks like for you by calculating your truck’s average cost per mile. Divide your average MPG by the fuel cost per gallon and then multiplying that number by the number of miles you expect to drive.
Truck
The second-largest expense an owner-operator faces is their truck. With owning a truck comes the cost of paying it off, regular and unexpected maintenance, replacing tires frequently, and so on. Even if an owner-operator’s truck is paid off, the cost of maintenance is significant enough to be considered a large expense.
Insurance
Insurance on a truck can range from $2,000 to $8,000+ depending on the type of coverage that is needed. Insurance types can include bobtail, occupational accident, and physical damage just to name a few. Plus, in addition to truck insurance, owner-operators need health insurance on their own, which can average $3,500 per year.
Operations
As an owner-operator, you’re responsible for running your business, which can be difficult when you’re on the road driving all day. If you hire someone to help you run the business side of things, that person becomes yet another expense. Recruiting, salary, benefits – it all adds up.
Parking
As an owner-operator finding parking for your truck is a pain – it’s also a large expense. Not only are the daily/monthly cost of physically parking or storing your truck often overpriced, but there are also several fines and fees you can incur for being unprepared, parking in a restricted area, and for needing flexibility. Plus, if you factor in the hours an owner-operator spends searching for parking – parking becomes a large expense for an owner-operator.
Now regardless of your love for trucking, we know you didn’t get into the business to not make money. While we can’t help alleviate all of these costs, we can provide a solution for your parking costs.
SecūrSpace Saves Owner-operators Time, Money, and Stress
The lack of available truck parking is a top issue for owner-operators. The average truck driver spends almost an hour a day looking for parking. Before long, that time adds up, because, as we in the trucking industry know quite well, time is money.
A cost-effective parking solution is one that doesn’t require you to travel too far off route. It’s a flexible solution that, if necessary would allow you to book last-minute reservations without incurring a fee. A solution that offers discounted rates for long-term stays. A parking solution that is safe and secure where you can trust your truck won’t be damaged or stolen. A parking solution with an easy booking process.
At SecurSpace, we set out to help owner-operators just like yourself find cost-effective parking solutions that fit their needs. On our site, owner-operators (or their administrators) can search a marketplace of yard spaces all over the country for something that fits their needs. Quickly view daily and monthly rates, security features, photos, and booking confirmation details.
Editor’s note: This blog was originally written for SecurSpace, How Affordable Storage Reduces Owner-Operator Costs.
