Wanting to do a few hauls....need some answers

If you're going to haul for-hire, you'll need at least $500,000 worth of commercial liability insurance, a DOT number, interstate operating authority (if you leave VA), depending on your weight, a class A or B CDL, and oh yes, you'll also have to participate in a random drug screen pool as well.

The easiest way to accomplish most of the above is to lease yourself and your truck to a commercial carrier, who takes a cut of everything you do (usually 20-30%) For this they provide the commercial insurance (legally, it has to be in the carriers' name, not yours) carry your receivables (do your billing) arrange the drug screen pool, track your mileage for road tax and audit your log books (oh yes, you'll need a log book too)

You can get your own authority for around $1000, plus you'll probably be required to front a 25% deposit to get your insurance policy started (you should expect to pay about $3-500/month for this policy) you'll have to bill and collect all receivables (some people/companies will run you out to 120days) file all road/property taxes (yes, you'll be paying property tax to states you don't live in, because in their eyes, if you drive through, your conducting business in their state, and your truck is business property, which is charged tax based on it's value and the number of miles you ran in their communist state...BTW, KY is the #1 communist in your area). On the up side, you should be exempt from IFTA fuel taxes.

There are very few insurance companies writing commercial policies, and even fewer still writing them on pickups. Progressive used to write commercial policies provided you do not go beyond a 300mi radius from your home terminal (base of operation), I don't know if they still do. Northland Ins. will write a policy on a pickup without restriction, Marvin, Johnson & Associates is a big commercial broker, and they are Northland agents.

There are a lot of "bootleggers" out there, running illegal in pickups. With no insurance, authority, CDL, drug screen, etc. They haul for cheap and make it nearly impossible for someone wanting to run legal to make money. I would not advise this avenue, as when (not if) your are either caught by DOT or involved in an accident you will be hung at the nearest convenient tree if not by the DOT then certainly by the "victims" lawyer (I quoted "victim" because you WILL be at fault reqardless of the circumstances of the accident, do to the fact that you are illegally operating and shouldn't have been there to begin with)

Sorry to ramble, but after 20+ yrs of commercial hauling, I just wanted to you to know what your getting yourself into. /ubbthreads/images/graemlins/phoney.gif

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I dont think you would need any type of insurance for something that small of a hauling operation.

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The size of the operation has absolutely nothing to due with the legal requirements, if he's getting paid to haul goods he's commercial, and must comply with all DOT regulations.

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I have done what you are wanting to do all my life for a living.

Just haul the horses and keep your mouth shut; the less people that know your business, the better. <font color="red"> Word of mouth is a great way to get more business, but if you're willing to do anything you can usually find anything to do </font>

If you are looking to pick up some extra cash, then you probably don't have enough to worry about if you have a crash, get sued, and lose it all. <font color="red"> and I'm sure any jail time won't be an issue either </font>

If you keep your mind on your business and leave the cell-phone at the house, you won't have a crash; this method is much cheaper than working for the insurance company. <font color="red"> Someone else's stupidity could cause the crash, and since you're not legal, you'll be at fault </font>

Get a bigger trailer; it costs just as much to haul two horses as it does to haul ten. <font color="red"> Sure, might as well maximize your whoring potential </font>

Don't put any signs on the truck or trailer; look like you are hauling your own personal horses. <font color="red"> I hope you'll have proof of ownership and vet papers for those horses in KY</font>

If you go into this trying to be even close to legal, you will not make it; it is not possible. <font color="red"> Due to people like you, this is unfortunately becoming true </font>

The communists that run things don't want you to make it.

You can pretty much go anywhere in the U.S. without all that commercial foolishness, so long as you appear that you are not commercial. <font color="red"> That "foolishness" is what divides the professionals from the ametuers </font>

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There are a lot of "bootleggers" out there, running illegal in pickups. With no insurance, authority, CDL, drug screen, etc. They haul for cheap and make it nearly impossible for someone wanting to run legal to make money.

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It's the bootleggers that are making it impossible, not the government /ubbthreads/images/graemlins/smirk.gif

Unfortunately, capitalism only works if everyone plays by the rules.

It only takes a few, who want to "make some extra cash" and do so by operating illegally (and cheaper in the short-term) which affords them the ability to whore themselves out for whatever the shipper is willing to pay (instead of negotiating a reasonable rate), which leads to continued illegal operation since they cannot afford to "step up" for the crummy rates they've agreed too, to foul it up for everyone else.

Then, when a legal operation tries to negotiate, we get to hear "You must be joking! Joe-Bob's brother-in-law will come down here and haul it for half your rate! You must be some kind of crook to charge that!" when in reality, Joe-Bob's brother-in-law is the real crook. /ubbthreads/images/graemlins/vomit.gif

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444...????[ QUOTE ]
file all road/property taxes (yes, you'll be paying property tax to states you don't live in, because in their eyes, if you drive through, your conducting business in their state, and your truck is business property, which is charged tax based on it's value and the number of miles you ran in their communist state...BTW, KY is the #1 communist in your area). On the up side, you should be exempt from IFTA fuel taxes.


[/ QUOTE ] So your saying we have to keep track of all miles driven in each state?? WHAT KIND OF LOG BOOK does that take???? I thought I researched all this,,I dont know what your talking about?
How can you be expected to pay "Property tax" on a vehicle that is NOT REGISTERED in that state? Or have to pay it on the same vehicle in many states??
If your small enough and dont have to get the KYU sticker,(I have my SSR filed) or mess with IFTA, then what else is there?

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The log book and mileage tax are separate items. Yes, KY will charge property tax if you operate in their state, most companies pay this as part of the lease agreement (since you are technically "their" property while under lease) If you run under your own authority, you'll be paying the tax. Yes, it is a tax on your vehicle, not registered in their state. As I said it's a business property tax since you're conducting business in their state, they feel their entitled. The tax isn't much (like $50-100yr depending on mileage) but it's the principle that bugs me. You should be tracking your mileage in each state anyway, most companies require this even if you're exempt from IFTA.