If you had to choose which scenerio would you most likely go with... This scenerio is to lease out with a guy who has his on authority.

1. He pays .75 for all miles and all fuel...
2. He pays 1.40 for all miles but takes 15% for all miles driven that week.

You would have to pay for your base plates, and bobtail insurance.
He pays for all tolls , scales tickets, transflow. Also, there is no Northeast runs. Most drop and hook.

Im just curious to know,

 

I'm sorry, but i didn't quiet get, what do i have to choose. You gotto be more specific, cause proposition above, pumps a lot of questions.....

 

he has two ways of paying ...

1. one way is paying .75 cpm and he pays for fuel.

2. the other way he pays 1.40 cmp, but he takes 15% on all miles drive that week.

 

OK! And if fuel goes up? Is he is going to pay on all miles? How does he calculate miles?

 

how many miles a day/week/year? who pays insurance?

 

The two options are not very far apart but the .75 per mile and he pays for the fuel is a little bit better. The second option would require that you run your truck on .44 per mile for fuel to be equal. Anything more then that puts the .75 per mile in the lead.

If fuel was right at $3.00 per gallon, you would have to consistently do better then 6.8MPG to hit the .44 per mile and that would put the two options dead even.

Personally, I would let him buy the fuel. It looks like it's going to be going up again.

 

he told me 2500 to 3000 miles a week. Mostly southeast , the farthest north he goes is pa.. He told me he would pay for fuel for all miles, whether or not if it goes up. I would have to pay for base plates and bobtail insurance.