Should I own a truck?

Grain growers are often tempted to own their own truck as a convenience. The question of whether to own a truck is complex and such a decision should be made with an understanding of the economics and other influencing factors. This fact sheet outlines a process to help make that decision.

Key Points

• Careful analysis is recommended before committing to owning a truck
• When looking at a major plant purchase, such as a truck, review it in conjunction with the goals and objectives of the entire business
• Know the cost differential between owning a truck and using a contractor
• Owning a truck enables the delivery of commodities direct to an end user at a time that is mutually convenient to both parties
• Harvest logistics can improve when a grain-growing business owns a truck
• Owning a truck provides the opportunity for effective labour use in the farm’s off-peak times
• Owning a truck and delivering grain can help cover labour costs by converting an existing cost (freight paid to others) into an income for the farm