Own authority
More controlPlan for full authority setup, larger insurance deposits, more admin responsibility, and direct broker compliance requirements.
Startup cash $31,495
Financed $44,200
Fixed costs $2,422/mo
Break-even rate $1.52/loaded mi
Scenario calculator
Lease-on vs own-authority startup cost scenario
Use this long-tail worksheet to compare a financed used truck under two launch paths: running under your own authority or leasing on first while you validate lanes and cash flow.
Baseline preset
Financed used truck
Mid-price used truck with full insurance and normal setup costs.
Launch path comparison
Compare cash pressure before choosing a model
The same truck can produce two different cash plans. Own authority usually raises setup and insurance pressure. Leasing on can lower some launch costs, but deductions and carrier terms still need to clear break-even.
Model Startup cash Financed Fixed costs Break-even rate
Lease on first
Lower setup loadStartup cash can be lighter, but carrier rules, dispatch percentages, rate control, and deductions still need to fit the math.
Startup cash $27,485
Financed $44,200
Fixed costs $2,422/mo
Break-even rate $1.45/loaded mi
Decision checks
Questions to answer before buying the truck
- Keep truck payment, insurance, and software visible even if a lease-on carrier lowers authority setup costs.
- Ask how dispatch fees, trailer or equipment deductions, cargo claims, and fuel-card programs affect net pay.
- Hold operating cash outside the truck down payment so fuel and insurance can be paid before broker invoices settle.
- Use the main startup calculator again after collecting real quotes because deposits and carrier terms vary widely.
Interpretation
Lower startup cash is not the only test
Lease-on assumptions reduce the cash due before dispatch, but the plan still has to cover the truck note, fuel, repairs, deductions, and owner pay.
Own-authority assumptions carry more setup work, but they may give more control over customers, rates, and compliance decisions once the operation is ready.
Lease-on vs own-authority FAQ
Is leasing on cheaper than running under my own authority?
It can reduce some startup costs, especially authority setup and insurance deposit pressure, but the tradeoff may include carrier rules, dispatch percentages, deductions, and less control over lanes or customers.
Should I still budget operating cash if I lease on?
Yes. Fuel, truck payment, insurance deductions, tolls, repairs, and slow settlements can still create a cash gap before the business has stable weekly revenue.
Can this scenario replace carrier or insurance quotes?
No. Treat it as a planning worksheet. Confirm insurance, financing, carrier deductions, lease-on contracts, authority costs, and compliance requirements before buying or leasing a truck.