Big thanks to @tailorbrands, your one-stop business startup shop! Use code “upflip40” for 40% off at check out! Click here tailorbrands.go2cloud.org/SH6B to get your business started today! From logo to full business, launch your brand in minutes with Tailor Brands. Register your business as an LLC, plus get a full digital and print branding package.
He is spot on when he talks about rain and snow! We had a blizzard on Valentines day 1990. The only time I had to stop that day was to get fuel! That truck ran for 36 hours straight between two drivers. We couldnt keep up with the calls coming in. On top of the 4 trucks we had we started calling friends body shops and asking for their trucks to help.
He’s right. You need good drivers, who will take care of the truck. I started as a driver at night about 7 months ago & I’m a pretty good damn driver. I used to be a mechanic for a limo & party bus company. The other tow truck drivers abuse the trucks & just don’t care. Whatever truck I’m driving that night, I’m fixing or doing maintenance on it when I have a chance. The other drivers don’t understand that the tow truck is making their money, if it’s down, they’re not making money. Too bad that I’m not in Washington, I’d apply for a job with you if I was.
Thank you for watching and provide such great feedback Max. 😀😀We're so happy you enjoyed the interview. Would you like us to stay in the auto industry with our next video?
@@UpFlip Great video.😂 I would love to see a video on heavy duty towing which is when they taught 18 winners. I alway to get in a business towing semi trucks I have class A and I always wonder how to get started on that type of business
Kenneth seems like a very knowledgeable guy. My step dad has owned his own wrecker service for over 50 years. I just started helping him alil over a year ago. I have learned alot
i live in Seattle and guys like this with this work ethic is truly a dying breed, my hats off to guys like this, it a pleasure having a guy give you service the way that he does.. in the next 20 yrs roadside service will fail do to the lack of care and genuineness...enjoy this type of service while it lasts
I’m on the same track as this gentleman. I worked with copart and IAA as a driver through a small towing company for about 2 years. Bought a used 4 car carrier and will be running it for copart myself
Can't help but like this guy. Doesn't want to make the customer pay more than the price of the tow. Put's money he makes back into the business. Is willing to teach new drivers what is needed to do the job. I wish him every success. Actually, I wouldn't even mind coming and driving for him :)
What a Rock Star comment Ulbre. 😀👍🏽⭐We really appreciate you providing such kind and detailed feedback. This is a great business. Are you in the same industry?
Charges 1:2 fir the services does 90% copart Expects you to take the damn truck home and have a place to park it And expects you to work on it ! Idk bout that Oh damn and 500 a month in google ! If you have 4 trucks you better be spending 500 a day on google
I like Mr Ken. He's got the old school grit AND old school business sense that the transportation industry needs. The questions the interviewer were asking was so over elaborated and Ken kept it so honest. Keep it simple and you will make money. One customer, awesome reliability, reinvesting in the business...it's so simple.
I been on a tow truck for over a year I taught myself how to do everything but I drive a 2006 international 4300 which can’t run in Cali where I am so I only move junk cars for myself and cars for friends and family here and there. I consider myself to be more into the junk car business than a tow truck driver but scrap price has went down and car values have shot up. So I am currently being co-pilot in a semi truck and about to get my cdl but I do see myself starting a legal tow truck company in the future but I am only 18 I need to get my money up to get a decent truck
@@UpFlip Wow thank you for the response; yes I find a lot of value in many of these videos, having watched several already! Next, I would love to see either 1) a business where somebody is successful at installing Smart Devices (home security systems, wearable technology, wifi speakers, car dashcams, etc) or 2) more on RUclips channels!
My buddy opened his tow business, 2 tow trucks $4k a month, hired a driver that run a red light hitting 3 cars, next year to renew his insurance it was 11k a month and he just close his business.
That’s what I did when I started mortuary transport business. I have three vans now and everything is paid for. I understand what he means about the work ethics
$300 a day is good pay, but you have to love the job. The good thing is, he is working to improve things. You have to work hard to get to the point where you can improve things.
I have made over 100k a year just being a driver for a relocation/ trespassing company. no over head. I'm good on all the liability. I know not everybody has the same opportunities and every market is different.
My thoughts exactly. I work 4 12s as a driver home fri-sun. Pick an extra shift once a month or so. Made same money this dude does last year. No liability on me. If I can't find a job okay but for now I'll pass. Seam's mostly like he's just taking crap rates from the insurance companies though. Like drivers that work for low pay or haul cheap freight. Just say no. IAA might be an account to be sure you get that truck paid while you get yer feet under you but before getting 4 trucks he probably should have learned how o make more for turning em on.
Yea that good for you bro but for you to get that 100+ a year someone at your Company was like him every one start at the bottom.... some are bosses and some are employee and you my friend is a employee
Another great interview. That’s the kind of basic, recession proof business people are looking for. When I was first getting started I worked at a gas station back when someone pumped your gas. The owner had a hook style tow truck. He would send me out to get broken down or wrecked cars. It was a good job for a young guy still in high school.
We really appreciate you tuning in Dave. We want to try and explore as many different types of businesses as we can to help someone that may need it. We can remember the days when someone would come and pump the gas. There are still a few gas stations like this. 😀Are you still in the same type of industry?
@@UpFlip that was a lifetime ago for me. I was a teenager working summers and after school. From there I worked as a logger then a rigger. I managed to get injured and decided I wanted to do something else so I got a degree in computer science and spent the next 35 years doing that as an independent consultant then 15 years with IBM working all over the world. I’m retired now with prostate cancer and several other ailments. Your channel is on my short list of favorites. There are several you’ve done that get me thinking “what if”. I think that what you’re doing is going to be a tremendous help for people with the drive to to pursue whatever their passion might be. Good luck and I look forward to more content in the future.
Ken is a smart, disciplined and hard working man. This is a tough, tough business. I have a friend with such a business and the hours are demanding to be profitable.
Yes, it definitely takes discipline to run a successful business Sally. 😀We appreciate you watching and commenting. How long has your friend been in the industry?
He’s talking out his ass, he’s charging the fair cost that most other companies would also charge. Additionally he doesn’t even decide the payouts on most jobs as you can see he takes assignments from the insurance companies for most of his jobs right now.
@@humblesociety4949 nah , Yu babe to be competitive and beat your comp with good customer service . Not by undercutting and making the services cheap !!! I’m
@@ryanlechel4327 - talk to local repair shops / parts stores, AAMCO, have them refer you when their customers cars needs towing. Start throwing around a dozen donuts with your card on them. Don’t be a cheapskate when it comes to getting your foot in the door and making an impression.
The one thing I didn't care for was the fact that he has one customer that provides all of his business. In business you never want to be controlled by your customers and he is at that point. Maybe in the beginning you are but you better figure out how to get more customers and if you do lose one it's not the end of the world.
First, he said that is his main business but that he did have other revenue sources. So no, it isnt his only customer. Second, he said thats where you start because its the easiest way to get continual work, but he said you should branch out, and he is branching out. But hes right. Get that reliable income, then worry about expanding when you get to know the business more. Its harder to advertise for a wrecker than a plumber.
Wow Jordnaboy21. This is wonderful to hear. We're so happy the videos is so meaningful to you and this is one of the main reasons we create this type of content. 😀Are you looking to start a towing business as well?
Ken seems cool. Stated pretty much what I saw when I was running a tow truck starting out. So many guys like ken told me to get my own truck. Told me they all pull 100k + a year
Actually, quite well, I’m in California, I got my LLC first, then got my DOT, CA, MCP permits handled. Got on a couple of Towing apps and started running.
Super Cool Datdudejt123! Congrats to you. 😀We're so happy the video was informative. Please let us know any other questions you have along the way and we wish you the best of luck!
I'm still in the research phase, how much did you spend to get started? and what do you need to get started? If you can answer me I would be very grateful! the video did not understand very well!😮🫣
Excellent piece! Great questions and a good honest principled American salty to amswer them. The world is a better place because of people like Ken. Definite inspiration.
Seems like a great hard working guy - doesn't strike me as a business owner but seems to be making it work! Fair play to him and hope it all works out!
You will go broke towing for copart and IAA , business is tougher than towing auction vehicles. I won’t leave in my truck for less than $80 hook and $4 a mile, or $60 for non towing. No insurance companies will contract at that rate, probably about half that and with costs of fuel, trucks, insurance, etc you won’t make it
Iaa out here is under $1 per mile and no hook up fee they call us trying to start a contract but I’d rather go out of business normal rates are $85 hook and $6 a mile
I’m really happy this man has the work ethic and heart to support the fact that he’s holding prices low to help the customers. I wish him the best. I wouldn’t run my company this way but I can admire that he does it this way to help others that’s noble.
" If i cant find a job ill make a Job this is america !" Man i love my country so much dawg 🙌🏼🙌🏼🇺🇸🇺🇸 this country has a bright future ! yeah we have are problems but no body is perfect ! atleast my country strives to be better everyday!
Damn good interview, the right questions were asked, and the owner answered them thoroughly. I gain some great info from this thanks brother, I’m now a fan of the channel keep doing your thing bro.
Thank you so much for uploading this video so many i have a 2013 vulcan wrecker and it’s been sitting for a year because I don’t. Know where to start as far as insurance and where to get work … I really appreciate the fact u came on here with this video a lot of us get so discouraged because we don’t know where to start man keep doing what you doing God will stay blessing you 🙏🏾
We love to hear this Kesderson. 😀We want to motivate others with our videos and show there's more than one way to become success. We appreciate you supporting the channel. Have you start working on your business plan as well?
I operate a 2018 V100 3 winch unit and our company has 4 heavy wreckers and 8-10 light duty. We run a lot on NTTS for our heavy duty side and run a lot of agreo for light duty. The biggest thing that makes us successful is we pick up the phone day and night. I work night shift it’s hard to have only day shift and use them on call at night. Find a night guy and pay him a little better. The IAA and COPART will lowball and beat trucks to death but if you can negotiate good rates IAA and copart also transit-pro are great to keep for training new drivers so they ain’t working on the side of the highway.
You mentioned that one thing that nobody seems to, though I'm not far into the video or comments. My fiance owns his own tow truck. His insurance is almost as much as our fuel bills. We pay average $1200 a month. We purchased the tow truck a year ago and he has been in the towing industry for 12 years. He has one minor accident on record 5 years ago. For reference, he pays $30 on his personal car insurance. If you are going to tow make sure you have contracts. Our business costs for one truck is probably 50 grand or more. All drivers I know work at least 12 hours a day, at least the ones who have continually stayed in the industry. There are people who lie about insurance but that could screw you over in the long run.
Lol this dude NEVER brings up maintenance when he talks about his "profits". Yet He was quick to criticize his drivers for not maintaining their trucks. No talks of setting aside capital to "cap ex." Or amortization? In a business that relies solely on heavy machinery to operate that is VERY IMPORTANT. For all he knows he's barely breaking even. Thats how business owners die a slow death with no retirement nest egg in sight.
I'm trying to make sense of the numbers. He said each truck makes $100k per year in revenue. That's $400k. But watch this... Fuel is $3,500 per month per truck which is $42,000 per year. Then insurance is $1,000 per month per truck, which is $48,000 per year. Then he has 3 drivers. Let's say they each make $45,000-$50,000 per year... that's $150,000 per year. So $400k minus $42k, minus $48k, minus $150k equals $160,000. If this guys ever wanted to just be the boss and run things and not drive, add another $50k driver into the expenses. That takes it down to $100k-$110k per year. Now we need to add in maintenance ($500 per mo per truck?), licensing, tires, other equipment, a yard and office (rent), marketing, dispatch, software, uniforms, credit card processing, billing, accounting, phones/cb's, etc. Add in truck payments of let's say $1,000 per mo each truck and this business get's real tight real quick. This is all before offering health insurance. Add all of this up and whatever other miscellaneous costs (I'm sure there are more) and what's left over? Sounds like the business might just be breaking even...and he's paying himself a drivers salary. He might be netting $50-$60k per year? But if he adds a 4th driver and steps aside to run the business, he might go into the red. I'm super curious to take a deep dive into the economics of this business.
dont want to be a bummer but 100k per truck revenue is not enough by the time you pay for insurance repairs and truck fuel wages and benefits for employees
I'll say my trucks are much nicer and more expensive but are making probably 3 times that per truck and that still isn't quite where I want to be. That being said my trucks are nicer and more expensive but only barely with his shitty lease deal as he quite literally is paying 100k for a 50k truck where most of our brand new trucks are running around 100-150.
I climbed into the trucking business when fuel was 98 cents per gallon and was doing pretty good when 911 happened and that day fuel jumped to around 5.00 dollars a gallon I filled up and drove home and said I would just park my trucks if that was going to be the price. I don’t know how the truckers make it today. But that’s why bread is 5.00 per loaf If you got it a truck brought it.
Trust me buddy at this kinda time it’s hard in the tow industry I own my own company myself I’m really surprised of this gentleman pricing n what he makes a month especially towing for iaa auction. Iaa auction and copart auction r the most cheap places to tow for i I’ve done it all
I started with a local company 6 weeks ago and I added my week last week up and it was $6000,I don't turn down anything and they always call me when they're in a bind. At 18 and 5 percent I'm bringing home a little over 1k a week. I'm usually doing 8 to 10 tows per day.
What state are you in? I’m interested in doing it myself as well. I work for a company with a tow truck, so I’m experienced. Both yours and his numbers make me excited to get started, but then I see all the negative comments on these motor clubs like agero, but on the same token I feel like these people think they are too good to make a small profit and roll on. Just my opinion.
@@slimmater328 I live right by the Indy 500 track,so it's a big city. If you can get runs from triple a,they finally started to pay good and you could do $1000 a day most days with them alone. Some of my police tows are $220+ some days and those are the good days when I get atleast 2 police calls or impounds.
I'm getting into the business myself. I already had a big truck that i pay for personally, so i figured id get one of those things that you have in the back installed, and start from there. I feel like I'll have a leg up since i dont need to buy a truck to start
A lot of people complain about IAA and Copart simply because they have to actually work to make a profit! A lot of guys get started and catch wind from another person whose salty about actually having to work and it results in them not trying it for themselves. It’s like they said it’s all about volume! A lot of companies go broke do to lazy drivers that want to do 4 cars a day and go home. Im doing 10 cars a day in a wheel lift taking home 2,200 a week! That’s way more than the average person. Money management is another reason companies fail. They also stated here that you have to put every penny you make back into the business! Most owners want to buy a fancy corvette instead of buying more trucks. All I’m saying is don’t knock it till you try it.
The law specifically states that the winch cable DOES NOT count as a tie down. You must have four points of tie down, at least two of which are adjustable for vehicles under 10k lbs. all four tie downs must be adjustable for vehicles over 10k lbs.
This is the WORST advice that could have been put in this video. In WA state (I’m sure in many others) DOT sees that and they’re going to pull you over and before you know it you could lose your license. Just cause you see the IAA and CoPart guys doing it DOES NOT make it right. If anything you should be doing the complete opposite
Depends where your at , like if I’m on the highway and it’s -20 and roads are slick in throwing it up with a hook and a winch to get off the highway ASAP
I'm a electrician working normal schedule... But I'm working part time job driving a tow truck I will like to learn more about this so I can do my towing company
We have some great shows in the works for you 8power0.😀👍🏽 We're so happy you're enjoying the content and we really appreciate the support. Is there any industry you'd like to see more of?
I would love to show you the heavy duty side of towing. Our company specializes in heavy duty and we’ve been doing it for years I’m a second generation in our company
Nice video! i want to star my tow truck bussiness in El Salvador, but i dont have any idea, just know i gonna be the best companie in this country in a few years and now this video give hope and strenght to do reallity all my dreams !!
If you want to learn the nitty gritty of starting any business, please head on over to our blog and listen to our podcast for more detailed information. Best of luck to your new biz! 👊
There's no way I would ever haul for IAA or Copart ever again. You might make $50,000 with them but in the end you are left with .50 cents and a wore out truck.
Agero, swoop, nsd,allstate, and so on only pay so much money if you have higher rates the will call you last they the insurance company always will call the cheapest company first
The winch doesn't count as a tie down. It is a mechanical device that can fail. In reality that winch line is held in by 1/8 in screw holding the wire rope.
Seems like a nice guy but he’s running his truck into the ground for very little to no profit towing for IAA and CoPart. I manage and drive for a larger and successful tow company with 15 years experience. I check the numbers frequently on each driver to see their work performance through the dispatching software we use that tracks all our calls and revenue. I do mainly private tows, private property enforcement, police towing and some roadsides that pay higher and I average $450,000 year in revenue for my truck alone for 85% light duty and 15% medium duty towing. Depending on experience and work ethic the drivers range from 200k-450k in revenue per year at about 50 hours a week and take home 30%-35% commission off that. If you can pull it off getting a contract with the local police departments and get into private property towing that’s where the real money is at for light duty. Heavy duty towing has a lot of money in it too but the startup costs are very high. There’s money in towing if you do it the right way but don’t do what this guy is doing. You’ll go broke while being constantly stressed and burned out. This guy will be out of business in the next few years unfortunately.
I think that’s good . There isn’t enough room for 10 million tow companies as long as there are willow willing to tow for the iaa’s coparts , and Agero’s of the world . We really need to boycott them all as they’re no longer needed . When it’s all cash call as it should be there’ll be room for everyone to make a nice chunk
You should do more shoestring businesses. You have a much larger audience with no money and trying trying make money than with the hundreds of thousands needed to start these operations.
I bet you his “drivers” don’t agree that they work at half his pace. Reminds me of lots of older people I worked with in retail who believed they worked twice as fast as everyone else when it wasn’t the reality
@@kennethorme3925 more than likely if the miles don’t add up and they’re doing half the billable work And they’re only earning a measly 30% if 400 a day which is poverty wages if you expect 12 hour shifts ……….. if it was me it’s be because I was using your truck and gas to run my own calls between yours . Easily done especially if they sign up for motor clubs that you aren’t already with . No gas no insurance so those cheap rates suddenly become quite profitable .
Yeah he said he only has iaa . That’s why it’s so little . And he feels bad about the hookup fee . That’s why it’s so low . He’s actually charge $25 fir a fuel delivery . That’s why it’s so low . $65 for a lockout I’m a tow truck?!?! That’s why it’s so low . He’s crippling himself . $300k- $500 k gross per truck is more accurate where I’m at
@@drobgyn5615 yeah if you ride solo you can net 1000 a day . I have a hard time grossing 1000 a day in a service vehicle in a 14 hour day . If I could tow I’d easily be able to net that though . Hiring 3/4 drivers to run the truck 20 hrs a day 7 days a week while I stuck to roadside would net me less but allow me to scale up the business net another 5-800 a day on top of my roadside .
We appreciate that Maliek. We try to be as thorough as possible when doing our interviews and we love getting great feedback.😀Please let us know what other types of businesses you'd like to see featured on the channel?!
Big thanks to @tailorbrands, your one-stop business startup shop!
Use code “upflip40” for 40% off at check out! Click here tailorbrands.go2cloud.org/SH6B to get your business started today!
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I have tow truck 2012 hino 268 with 200,000 mils on it for sale if anyone interested please contacted me
Taylor brands is a scam
Can’t get a job ? Make a job! This is America!!! Love this!!
I live by those rules
I love that code
"If I can't find a job I'll make a job".
This code prevents one from ever being jobless red horse. 😀We like it too. We're so happy that you liked the video. Are you new to the channel??
@@UpFlip I've been watching the channel for 4 months. You guys are my favorite RUclips channel
I'll never forget it
He is spot on when he talks about rain and snow! We had a blizzard on Valentines day 1990. The only time I had to stop that day was to get fuel! That truck ran for 36 hours straight between two drivers. We couldnt keep up with the calls coming in. On top of the 4 trucks we had we started calling friends body shops and asking for their trucks to help.
Man this guy is so cool. He knows what he's doing and very humble about it
God bless Ken, he said two things he can't start his day without his wife and God. I felt that deeply.
He’s right. You need good drivers, who will take care of the truck. I started as a driver at night about 7 months ago & I’m a pretty good damn driver. I used to be a mechanic for a limo & party bus company. The other tow truck drivers abuse the trucks & just don’t care. Whatever truck I’m driving that night, I’m fixing or doing maintenance on it when I have a chance. The other drivers don’t understand that the tow truck is making their money, if it’s down, they’re not making money. Too bad that I’m not in Washington, I’d apply for a job with you if I was.
God bless this man , he is the epitome of a hard working and honest man. I wish him all the health in the world !
Great Interview. Ken is one of the coolest guys I’ve ever seen. He’s down to earth and straight to the point. God bless him and his business.
Thank you for watching and provide such great feedback Max. 😀😀We're so happy you enjoyed the interview. Would you like us to stay in the auto industry with our next video?
@@UpFlip Great video.😂 I would love to see a video on heavy duty towing which is when they taught 18 winners. I alway to get in a business towing semi trucks I have class A and I always wonder how to get started on that type of business
Copart is a lot of trouble
Kenneth seems like a very knowledgeable guy. My step dad has owned his own wrecker service for over 50 years. I just started helping him alil over a year ago. I have learned alot
i live in Seattle and guys like this with this work ethic is truly a dying breed, my hats off to guys like this, it a pleasure having a guy give you service the way that he does.. in the next 20 yrs roadside service will fail do to the lack of care and genuineness...enjoy this type of service while it lasts
20 years seems quite abrupt. I’m planning to get into the tow game within 2 to 5 years
Men like this are so attractive 😂❤️Go old timer
I’m on the same track as this gentleman. I worked with copart and IAA as a driver through a small towing company for about 2 years. Bought a used 4 car carrier and will be running it for copart myself
What type of truck did you buy and how much did you it?
Right behind ya!🤞🏽💪🏽🙏🏽
How’s it going now ?
good money in them 4 haulers
@@hilarynwakor740 they like 200k for a decent one
Can't help but like this guy.
Doesn't want to make the customer pay more than the price of the tow.
Put's money he makes back into the business.
Is willing to teach new drivers what is needed to do the job.
I wish him every success.
Actually, I wouldn't even mind coming and driving for him :)
What a Rock Star comment Ulbre. 😀👍🏽⭐We really appreciate you providing such kind and detailed feedback. This is a great business. Are you in the same industry?
Charges 1:2 fir the services
does 90% copart
Expects you to take the damn truck home and have a place to park it
And expects you to work on it !
Idk bout that
Oh damn and 500 a month in google ! If you have 4 trucks you better be spending 500 a day on google
@@rapidroadsode8789 Hes a towing company dude, not a repair company.
Ken is my kind of guy. His personality is rare and genuine
“I can’t find a job, I’ll make a job…this is America.” This man definitely voted for Trump 💪🏾🇺🇸🔥
I like Mr Ken. He's got the old school grit AND old school business sense that the transportation industry needs. The questions the interviewer were asking was so over elaborated and Ken kept it so honest. Keep it simple and you will make money. One customer, awesome reliability, reinvesting in the business...it's so simple.
We appreciate you tuning in! Thank you! ☺️
I've been in the tow industry/ roadside assistance for about 9 years
Ken seems like a good boss to work for
Lol, driving junk trucks that you have to fix for free 🤷♂️
How did you get started with doing road side assistants
@RustyZipper sound like his guys are paid by the hour so don't think they fixing work trucks for free if they are on the clock.
“Can’t find a job? I’ll make a job…this is America!” Love this guy 🔥👏🏾🇺🇸
I've been fortunate to know and work alongside Ken. He's a helluva guy.
What happened? google says he is permanently closed
@@SuperdutyTruckLife from what I know, he went out of business... That's all I know.
I been on a tow truck for over a year I taught myself how to do everything but I drive a 2006 international 4300 which can’t run in Cali where I am so I only move junk cars for myself and cars for friends and family here and there. I consider myself to be more into the junk car business than a tow truck driver but scrap price has went down and car values have shot up. So I am currently being co-pilot in a semi truck and about to get my cdl but I do see myself starting a legal tow truck company in the future but I am only 18 I need to get my money up to get a decent truck
Love how straight to the point and compassionate Ken is for customers, very cool guy. I wish him all the success in the world!
Glad you love this video! Hope you also watch our other content and find value in them. Any business you want to see next? ☺️
@@UpFlip Wow thank you for the response; yes I find a lot of value in many of these videos, having watched several already!
Next, I would love to see either 1) a business where somebody is successful at installing Smart Devices (home security systems, wearable technology, wifi speakers, car dashcams, etc) or 2) more on RUclips channels!
I love Ken!
My buddy opened his tow business, 2 tow trucks $4k a month, hired a driver that run a red light hitting 3 cars, next year to renew his insurance it was 11k a month and he just close his business.
So sorry to hear about that. Sounds like it was mostly a problem with the guy you hired. Did your buddy try to venture into another business?
That’s all it takes
That’s what I did when I started mortuary transport business. I have three vans now and everything is paid for. I understand what he means about the work ethics
Absolutely! Work ethic truly makes all the difference!
$300 a day is good pay, but you have to love the job. The good thing is, he is working to improve things. You have to work hard to get to the point where you can improve things.
I have made over 100k a year just being a driver for a relocation/ trespassing company. no over head. I'm good on all the liability. I know not everybody has the same opportunities and every market is different.
What does this involve?
@@Sainte-adresse he’s saying he’s a driver for a company and makes good money with really no risk
My thoughts exactly. I work 4 12s as a driver home fri-sun. Pick an extra shift once a month or so. Made same money this dude does last year. No liability on me. If I can't find a job okay but for now I'll pass.
Seam's mostly like he's just taking crap rates from the insurance companies though. Like drivers that work for low pay or haul cheap freight. Just say no. IAA might be an account to be sure you get that truck paid while you get yer feet under you but before getting 4 trucks he probably should have learned how o make more for turning em on.
Tell us more how to get into it?
Yea that good for you bro but for you to get that 100+ a year someone at your Company was like him every one start at the bottom.... some are bosses and some are employee and you my friend is a employee
Another great interview. That’s the kind of basic, recession proof business people are looking for. When I was first getting started I worked at a gas station back when someone pumped your gas. The owner had a hook style tow truck. He would send me out to get broken down or wrecked cars. It was a good job for a young guy still in high school.
We really appreciate you tuning in Dave. We want to try and explore as many different types of businesses as we can to help someone that may need it. We can remember the days when someone would come and pump the gas. There are still a few gas stations like this. 😀Are you still in the same type of industry?
@@UpFlip that was a lifetime ago for me. I was a teenager working summers and after school. From there I worked as a logger then a rigger. I managed to get injured and decided I wanted to do something else so I got a degree in computer science and spent the next 35 years doing that as an independent consultant then 15 years with IBM working all over the world. I’m retired now with prostate cancer and several other ailments. Your channel is on my short list of favorites. There are several you’ve done that get me thinking “what if”. I think that what you’re doing is going to be a tremendous help for people with the drive to to pursue whatever their passion might be. Good luck and I look forward to more content in the future.
Ken is a smart, disciplined and hard working man. This is a tough, tough business. I have a friend with such a business and the hours are demanding to be profitable.
Yes, it definitely takes discipline to run a successful business Sally. 😀We appreciate you watching and commenting. How long has your friend been in the industry?
@@UpFlip A long, long, long, LONG time :)
I really liked this episode! Mr. Orme seems like a guy that's going to tell you how things really are. No BS!
We appreciate you watching David. 😀He's definitely about his business. Have you checked out some of our other videos in the automotive industry?
@@UpFlip I have seen a few UpFlip videos and have enjoyed all of them. However, I don't recall viewing any other automotive related videos.
The 3rd thing you need is a side arm. I like how he open carries it.
This guy isn’t charging enough. You don’t start a business to barely break even.
He’s talking out his ass, he’s charging the fair cost that most other companies would also charge. Additionally he doesn’t even decide the payouts on most jobs as you can see he takes assignments from the insurance companies for most of his jobs right now.
@@adam_bh das rite
A wise man told me that is not about how much but how many .
@@humblesociety4949 nah , Yu babe to be competitive and beat your comp with good customer service . Not by undercutting and making the services cheap !!! I’m
He says he doesnt charge a hook up fee but he just builds it in his price.
This was inspiring being I just started my LLC a week ago and will be making my purchase first of the year I’m soaking up all this free game
Do not focus on IAA and copart, AAA, Agero, they pay next to nothing after expenses
@@RustyZipperthen who
@@ryanlechel4327 - talk to local repair shops / parts stores, AAMCO, have them refer you when their customers cars needs towing. Start throwing around a dozen donuts with your card on them. Don’t be a cheapskate when it comes to getting your foot in the door and making an impression.
“I Can’t find a job, I’ll make a job. This is America.” True 💯
The one thing I didn't care for was the fact that he has one customer that provides all of his business. In business you never want to be controlled by your customers and he is at that point. Maybe in the beginning you are but you better figure out how to get more customers and if you do lose one it's not the end of the world.
First, he said that is his main business but that he did have other revenue sources. So no, it isnt his only customer.
Second, he said thats where you start because its the easiest way to get continual work, but he said you should branch out, and he is branching out. But hes right. Get that reliable income, then worry about expanding when you get to know the business more. Its harder to advertise for a wrecker than a plumber.
This was very educational, I honestly can’t find the words to express how meaningful this video helped!!
Wow Jordnaboy21. This is wonderful to hear. We're so happy the videos is so meaningful to you and this is one of the main reasons we create this type of content. 😀Are you looking to start a towing business as well?
Ken seems cool. Stated pretty much what I saw when I was running a tow truck starting out. So many guys like ken told me to get my own truck. Told me they all pull 100k + a year
is that right bro? 100k a year
@@dr.qeshta8740 Ya if you own the truck and hustle. If you drive one. Pfft prolly make like 35-40k a year
im' systems Engineer and found my side hustle, i love everything about towing from light duty to heavy duty. He is an inspiration for me, great work!
Awesome Adolfo. 😀 We're so happy that the information was beneficial to you. 👍How long have you been in the industry?
I like this guy he gives it to you straight.
One of the best interviews ive ever seen. you touched all areas of the towing business.
I’m a finally starting a towing biz, buying my first truck next week✊🏼
How is it going
Actually, quite well, I’m in California, I got my LLC first, then got my DOT, CA, MCP permits handled. Got on a couple of Towing apps and started running.
I'm about to get into the towing industry. This was very informative. I loved every minute.
Super Cool Datdudejt123! Congrats to you. 😀We're so happy the video was informative. Please let us know any other questions you have along the way and we wish you the best of luck!
I'm still in the research phase, how much did you spend to get started? and what do you need to get started? If you can answer me I would be very grateful! the video did not understand very well!😮🫣
Making $300 a day he can go be a driver and make $600 a day
charge more
Excellent piece! Great questions and a good honest principled American salty to amswer them. The world is a better place because of people like Ken. Definite inspiration.
Seems like a great hard working guy - doesn't strike me as a business owner but seems to be making it work! Fair play to him and hope it all works out!
why doesn't he strike you as a business owner? because he's doing the work himself too?
lol passive agressive comment "doesnt strike me as a business owner"
What are you a sychiatrist
Psychiatrist *
Buy the truck , do your own work or hire a guy . Boom! business owner .
You will go broke towing for copart and IAA , business is tougher than towing auction vehicles. I won’t leave in my truck for less than $80 hook and $4 a mile, or $60 for non towing. No insurance companies will contract at that rate, probably about half that and with costs of fuel, trucks, insurance, etc you won’t make it
was all about this interview until he made it clear he only does salvage
My company gets 175 for the hookup and 7.25 a mile
Insane southern California is $85-95 hook up $8-10 mile and there is no issue with business
Dose it matter what state you live in weather it's a good idea to start yo business doing auction towing ???
Iaa out here is under $1 per mile and no hook up fee they call us trying to start a contract but I’d rather go out of business normal rates are $85 hook and $6 a mile
This is going to be an interesting one recession proof business in my opinion
Thanks for supporting the channel Alfonso. 😀It's definitely interesting. Let us know what you think once you watch.!?
I’m really happy this man has the work ethic and heart to support the fact that he’s holding prices low to help the customers.
I wish him the best. I wouldn’t run my company this way but I can admire that he does it this way to help others that’s noble.
thanks for your support! What strategies would you implement in your company? We'd love to hear your insights!
" If i cant find a job ill make a Job this is america !" Man i love my country so much dawg 🙌🏼🙌🏼🇺🇸🇺🇸 this country has a bright future ! yeah we have are problems but no body is perfect ! atleast my country strives to be better everyday!
YOU HAVE TO HAVE A FOR-HIRE LICENSE TO DRIVE ANY TOWING TRUCK EVEN A ROLLBACK OR A SNATCH TRUCK, THIS DUDE IS ON SOME OTHER STUFF
Damn good interview, the right questions were asked, and the owner answered them thoroughly. I gain some great info from this thanks brother, I’m now a fan of the channel keep doing your thing bro.
Thank you so much for uploading this video so many i have a 2013 vulcan wrecker and it’s been sitting for a year because I don’t. Know where to start as far as insurance and where to get work … I really appreciate the fact u came on here with this video a lot of us get so discouraged because we don’t know where to start man keep doing what you doing God will stay blessing you 🙏🏾
We love to hear this Kesderson. 😀We want to motivate others with our videos and show there's more than one way to become success. We appreciate you supporting the channel. Have you start working on your business plan as well?
Not trying to scalp but watch my 2 videos. I did it to help people wanting to get into towing.
Guardian thanks king I really appreciate it 🙏🏾
I operate a 2018 V100 3 winch unit and our company has 4 heavy wreckers and 8-10 light duty. We run a lot on NTTS for our heavy duty side and run a lot of agreo for light duty. The biggest thing that makes us successful is we pick up the phone day and night. I work night shift it’s hard to have only day shift and use them on call at night. Find a night guy and pay him a little better. The IAA and COPART will lowball and beat trucks to death but if you can negotiate good rates IAA and copart also transit-pro are great to keep for training new drivers so they ain’t working on the side of the highway.
You mentioned that one thing that nobody seems to, though I'm not far into the video or comments. My fiance owns his own tow truck. His insurance is almost as much as our fuel bills. We pay average $1200 a month. We purchased the tow truck a year ago and he has been in the towing industry for 12 years. He has one minor accident on record 5 years ago. For reference, he pays $30 on his personal car insurance. If you are going to tow make sure you have contracts. Our business costs for one truck is probably 50 grand or more. All drivers I know work at least 12 hours a day, at least the ones who have continually stayed in the industry. There are people who lie about insurance but that could screw you over in the long run.
Lol this dude NEVER brings up maintenance when he talks about his "profits". Yet He was quick to criticize his drivers for not maintaining their trucks. No talks of setting aside capital to "cap ex." Or amortization? In a business that relies solely on heavy machinery to operate that is VERY IMPORTANT. For all he knows he's barely breaking even. Thats how business owners die a slow death with no retirement nest egg in sight.
I’m not saying anything against him, he’s good…. I just do t charge 60$…. Minimum 100.00
Ken kept it all the way 💯 great transparency
I'm trying to make sense of the numbers. He said each truck makes $100k per year in revenue. That's $400k. But watch this... Fuel is $3,500 per month per truck which is $42,000 per year. Then insurance is $1,000 per month per truck, which is $48,000 per year. Then he has 3 drivers. Let's say they each make $45,000-$50,000 per year... that's $150,000 per year. So $400k minus $42k, minus $48k, minus $150k equals $160,000. If this guys ever wanted to just be the boss and run things and not drive, add another $50k driver into the expenses. That takes it down to $100k-$110k per year. Now we need to add in maintenance ($500 per mo per truck?), licensing, tires, other equipment, a yard and office (rent), marketing, dispatch, software, uniforms, credit card processing, billing, accounting, phones/cb's, etc. Add in truck payments of let's say $1,000 per mo each truck and this business get's real tight real quick. This is all before offering health insurance. Add all of this up and whatever other miscellaneous costs (I'm sure there are more) and what's left over? Sounds like the business might just be breaking even...and he's paying himself a drivers salary. He might be netting $50-$60k per year? But if he adds a 4th driver and steps aside to run the business, he might go into the red. I'm super curious to take a deep dive into the economics of this business.
He’s just treading water. This guy had to take money from his girlfriend to pay his bills.
dont want to be a bummer but 100k per truck revenue is not enough by the time you pay for insurance repairs and truck fuel wages and benefits for employees
And also, taxes
I'll say my trucks are much nicer and more expensive but are making probably 3 times that per truck and that still isn't quite where I want to be. That being said my trucks are nicer and more expensive but only barely with his shitty lease deal as he quite literally is paying 100k for a 50k truck where most of our brand new trucks are running around 100-150.
But you have to start somewhte
Electronic mess is one reason I’m glad I got a 50 year old rollback
Ken is very good business owner. Knows how to treat people.
I climbed into the trucking business when fuel was 98 cents per gallon and was doing pretty good when 911 happened and that day fuel jumped to around 5.00 dollars a gallon I filled up and drove home and said I would just park my trucks if that was going to be the price.
I don’t know how the truckers make it today.
But that’s why bread is 5.00 per loaf
If you got it a truck brought it.
Coffee, my old lady and God
Thank you so much, this has helped me tons, I'm doing it, I'm going for it
Trust me buddy at this kinda time it’s hard in the tow industry I own my own company myself I’m really surprised of this gentleman pricing n what he makes a month especially towing for iaa auction. Iaa auction and copart auction r the most cheap places to tow for i I’ve done it all
Federally the winch does not count as a tie down point.
The winch does not count as a point of contact because it moves. Therefore you technically need 2 straps in front and rear or chains.
Thank you for sharing your thoughts! Are you in the same business? ☺️
I started with a local company 6 weeks ago and I added my week last week up and it was $6000,I don't turn down anything and they always call me when they're in a bind.
At 18 and 5 percent I'm bringing home a little over 1k a week.
I'm usually doing 8 to 10 tows per day.
What state are you in? I’m interested in doing it myself as well. I work for a company with a tow truck, so I’m experienced.
Both yours and his numbers make me excited to get started, but then I see all the negative comments on these motor clubs like agero, but on the same token I feel like these people think they are too good to make a small profit and roll on. Just my opinion.
@@slimmater328 I live right by the Indy 500 track,so it's a big city.
If you can get runs from triple a,they finally started to pay good and you could do $1000 a day most days with them alone.
Some of my police tows are $220+ some days and those are the good days when I get atleast 2 police calls or impounds.
@@slimmater328 I heard agero will screw you sometimes on runs,that they'll be $120 but they'll only pay you $50 when it's payday.
@@lordmosthigh workíng 90 hrs a week?
What 7-11 pays 30+ a hr?
@@lordmosthigh that's after taxes and I make more now,another 2 a hr and they raised rates so my 5 percent is doing more like 7 percent.
I'm getting into the business myself. I already had a big truck that i pay for personally, so i figured id get one of those things that you have in the back installed, and start from there. I feel like I'll have a leg up since i dont need to buy a truck to start
That's a great start! How's it going to far?
I am going to be starting a towing business within the next 6 months
Best of luck! 🙏
The best business is a business with little to no overhead, high profit margins, and heavy demand.
Thank you All Media. 😀What type of industry are you in?
I appreciate you asking real life questions for potential O/O
The world needs a lot more Ken’s!👍🏻✌🏻
A lot of people complain about IAA and Copart simply because they have to actually work to make a profit! A lot of guys get started and catch wind from another person whose salty about actually having to work and it results in them not trying it for themselves. It’s like they said it’s all about volume! A lot of companies go broke do to lazy drivers that want to do 4 cars a day and go home. Im doing 10 cars a day in a wheel lift taking home 2,200 a week! That’s way more than the average person. Money management is another reason companies fail. They also stated here that you have to put every penny you make back into the business! Most owners want to buy a fancy corvette instead of buying more trucks. All I’m saying is don’t knock it till you try it.
What does iaa pay typically?
@@merkur1853 - $1 per mile, no load or unload fee. Good way to stay broke
The law specifically states that the winch cable DOES NOT count as a tie down. You must have four points of tie down, at least two of which are adjustable for vehicles under 10k lbs. all four tie downs must be adjustable for vehicles over 10k lbs.
Only thing I've noticed that was wrong, is your winch line does NOT count as a point of contact.
This is the WORST advice that could have been put in this video. In WA state (I’m sure in many others) DOT sees that and they’re going to pull you over and before you know it you could lose your license. Just cause you see the IAA and CoPart guys doing it DOES NOT make it right. If anything you should be doing the complete opposite
Depends where your at , like if I’m on the highway and it’s -20 and roads are slick in throwing it up with a hook and a winch to get off the highway ASAP
@@minnesnowda2510 same here in New York . Winch and one j hook and get off . You can tie down once you’re off .
Maybe in your state but in Washington it does.
@@kennethorme3925 no it doesn’t Kenneth
I'm a electrician working normal schedule...
But I'm working part time job driving a tow truck I will like to learn more about this so I can do my towing company
GREAT SHOW ,,, ALWAYS LOOKING FORWARD TO THE NEXT ONE THANKS FOR YOUR TIME !!!!!!!!!!!!!!!!
We have some great shows in the works for you 8power0.😀👍🏽 We're so happy you're enjoying the content and we really appreciate the support. Is there any industry you'd like to see more of?
THANK YOU FOR THE REPLY, YES I AM ALWAYS INTERESTED IN THE AUTOMOTIVE REPAIR INDUSTRY, AND THANKS AGAIN.
JCKDTV IN THE BUILDING!!!!
I would love to show you the heavy duty side of towing. Our company specializes in heavy duty and we’ve been doing it for years I’m a second generation in our company
Cash for junk is the new wave 🌊
I WENT FROM TOWS TO REPOS. WAY MORE MONEY.
I'm very interested in buying an old tow truck and getting into repo work, am I crazy? Or is it a good idea?
Nice video! i want to star my tow truck bussiness in El Salvador, but i dont have any idea, just know i gonna be the best companie in this country in a few years and now this video give hope and strenght to do reallity all my dreams !!
If you want to learn the nitty gritty of starting any business, please head on over to our blog and listen to our podcast for more detailed information. Best of luck to your new biz! 👊
There's no way I would ever haul for IAA or Copart ever again. You might make $50,000 with them but in the end you are left with .50 cents and a wore out truck.
ALL HAIL.............................The snatch block.
$400k a year in revenue is not the same as profit.
Thats right, thats why we always ask about their profit margins!
exactly bs clickbait glorifying these occupations let’s see the tax returns
No one in there right mind would work for this guy.
You guys make great videos you guys should make a video about owning a body shop or a collision center
Agero, swoop, nsd,allstate, and so on only pay so much money if you have higher rates the will call you last they the insurance company always will call the cheapest company first
More stuff like this!!! Simple everyday jobs that are also small business’
We got you Mondo. 😀😀Thanks for tuning in. Should we stay in the same industry?
Ken is a really good guy ❤
The winch doesn't count as a tie down. It is a mechanical device that can fail. In reality that winch line is held in by 1/8 in screw holding the wire rope.
Seems like a nice guy but he’s running his truck into the ground for very little to no profit towing for IAA and CoPart. I manage and drive for a larger and successful tow company with 15 years experience. I check the numbers frequently on each driver to see their work performance through the dispatching software we use that tracks all our calls and revenue. I do mainly private tows, private property enforcement, police towing and some roadsides that pay higher and I average $450,000 year in revenue for my truck alone for 85% light duty and 15% medium duty towing. Depending on experience and work ethic the drivers range from 200k-450k in revenue per year at about 50 hours a week and take home 30%-35% commission off that.
If you can pull it off getting a contract with the local police departments and get into private property towing that’s where the real money is at for light duty. Heavy duty towing has a lot of money in it too but the startup costs are very high.
There’s money in towing if you do it the right way but don’t do what this guy is doing. You’ll go broke while being constantly stressed and burned out. This guy will be out of business in the next few years unfortunately.
Been doing it for 3 years started with one truck and now I have four trucks with one of them being a Medium Duty Wrecker.
I think that’s good . There isn’t enough room for 10 million tow companies as long as there are willow willing to tow for the iaa’s coparts , and Agero’s of the world . We really need to boycott them all as they’re no longer needed . When it’s all cash call as it should be there’ll be room for everyone to make a nice chunk
Which state are you in?
@@kennethorme3925 are you the guy being interviewed in the video?
@@nuttyjobstillsucks yes I am
Depends on your state in Louisiana you must have a chauffeur license for a 26,000 lbs truck.
This man is the definition of WORKAHOLIC damn, sleep is one thing i wont give up.. lol i gotta get my 8 or ill be the crankiest person at work
You should do more shoestring businesses. You have a much larger audience with no money and trying trying make money than with the hundreds of thousands needed to start these operations.
Great interview! Love it! Thanks.
Thank you! So glad you enjoyed it! 😊
Ma boy, real entrepreneur 👏👏
Geico lets you add time and equiment costs if you contract with them
"If I can't find a job I'll make a job"
that phrase paid the whole video....
I bet you his “drivers” don’t agree that they work at half his pace. Reminds me of lots of older people I worked with in retail who believed they worked twice as fast as everyone else when it wasn’t the reality
All I can tell you is that the numbers tell me that I make more money than they do. I wouldn't state that statement if the numbers said differently.
@@kennethorme3925 more than likely if the miles don’t add up and they’re doing half the billable work
And they’re only earning a measly 30% if 400 a day which is poverty wages if you expect 12 hour shifts ……….. if it was me it’s be because I was using your truck and gas to run my own calls between yours . Easily done especially if they sign up for motor clubs that you aren’t already with . No gas no insurance so those cheap rates suddenly become quite profitable .
100k per truck? But the drivers salary & upkeep costs with workers comp would be like 70k 😂
right interesting
Yeah he said he only has iaa . That’s why it’s so little . And he feels bad about the hookup fee . That’s why it’s so low . He’s actually charge $25 fir a fuel delivery . That’s why it’s so low . $65 for a lockout I’m a tow truck?!?! That’s why it’s so low . He’s crippling himself . $300k- $500 k gross per truck is more accurate where I’m at
@@rapidroadsode8789 300k+ is what would make me get out of bed forsure, thank you for the info Rapid
@@drobgyn5615 yeah if you ride solo you can net 1000 a day . I have a hard time grossing 1000 a day in a service vehicle in a 14 hour day . If I could tow I’d easily be able to net that though . Hiring 3/4 drivers to run the truck 20 hrs a day 7 days a week while I stuck to roadside would net me less but allow me to scale up the business net another 5-800 a day on top of my roadside .
Should get a Google ads campaign, partner with motor clubs, build relationship with insurance agencies, body shops and mechanics.
2:45
I find it peculiar on the way he strapped the left rear of that highlander, folding the bumper in
perfect questions bro!! you didn't miss anything
We appreciate that Maliek. We try to be as thorough as possible when doing our interviews and we love getting great feedback.😀Please let us know what other types of businesses you'd like to see featured on the channel?!
Can't find a job make a job. This is American - Powerful