Truck leasing agreements can be a bit complicated, especially for those who are new to the industry.. In the most basic sense, a truck lease agreement enables a person to use another person’s or company’s trucks or trucking equipment for a fee.
Some truck leasing agreements are for month-to-month purposes and others are for years of use. In some cases, you will be able to sign a lease purchase agreement which enables the driver to buy the truck after a specified period and dollar amount has been reached. This is a good option for drivers who are interested in becoming “owner operators” in the future but do not necessarily have their own capital to invest in vehicles. The other option is a regular truck leasing agreement where you do not have the option to buy the truck after a specified amount of time has passed; you are simply renting the truck until you no longer need it or choose to invest in another truck of your own.
The truck leasing agreement may require such information as your customers or your freight broker and your credit history. You may need a down payment. Each company will have its own set of requirements.
Beware of scams
Occasionally you will hear of lease-purchase scams. When reviewing a truck leasing agreement, make sure you read the fine print because some leasing agreements are structured to unfairly benefit the leasing companies and not the drivers. Be sure to do your research so that you partner with a company that has a solid, honest reputation in the industry. New drivers can be particularly vulnerable. Be careful before signing a lease contract for a vehicle that you have not yet seen. Upon seeing their trucks or trailers, some drivers have discovered that the equipment is not even roadworthy or driveable. In this instance, the driver could be left responsible for repair costs. Some of these trucks need thousands of dollars of repairs before they can be put back on the road. This is a way that unscrupulous leasing companies avoid paying repair and maintenance costs on vehicles.
Whether you own your own trucks or are considering using a truck lease agreement to start hauling freight, FreeFreightSearch.com’s truck load board can help you find the loads you need. Register on this FREE Load Board today.