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Offering a helping hand

24th September 2009
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Page 52, 24th September 2009 — Offering a helping hand
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Which of the following most accurately describes the problem?

Truck drivers are still keen to become owner-drivers, and Suffolk-based used truck dealer Roy Humphrey is helping to facilitate the process.

Words / Images: Steve Banner Despite the recession and the myriad of daunting obstacles that confront fledgling hauliers, there are still drivers out there who want to become owner-operators So says Jamie McDonald, used heavy truck sales specialist at Roy Humphrey's sprawling Brome, Suffolk site.

"Over the past few weeks, we've had a lot of drivers coming in looking to buy something and start up on their own — certainly more than we've seen in the last nine months," he reports.

Have they been made redundant by the big logistics companies? "That may be the case with some of them," McDonald replies What he does not do, however, is just flog them a truck and then wave bye-bye.

Instead, he provides them with as much informal advice and information as he can on the mechanics of setting up a small haulage business. That includes pointing out to them that they will require an 0-licence, as well as explaining the obligations associated with having an 0-licence.

One immediate advantage for the novice haulier is the fact that they may use the 92-acre site as an operating centre —"We've got 24-hour security," says McDonald — and take advantage of all the facilities it offers With a frontage that stretches several hundred yards down the A140, it can maintain trucks — Roy Humphrey is a Renault service agent — repair them in its large, wellequipped body shop, and refuel them, too, thanks to its diesel bunkering facilities. It also runs a rental fleet, provides vehicle-washing facilities, operates recovery rigs and sells used vans as well as used trucks.

If the novice haulier prospers, then they may eventually want to treat themselves to one of the used prestige cars that the business also retails.

A one-stop-shop

"We offer the whole package," says McDonald. "The workshop is open seven days a week, with a night shift in place five nights a week Monday to Friday."

Having benefited from helpful advice, and with extensive support on their doorstep if they happen to be local, there's every chance that the fledgling haulier will stay loyal to Roy Humphrey for the foreseeable future, reckons McDonald. "If you treat them right, then, hopefully, they'll stick with you," he remarks.

Unfortunately, some prospective operators fall at the first hurdle when it comes to acquiring a second-hand truck, because they cannot obtain the necessary finance in the current economic climate.

Mc expl rent nce again, Roy Humphrey can step in to help, reveals onald."We offer something called 'rent-to-buy" he ains. "If the customer sees a tractor unit they like, we'll it to them at a sensible rate for, say, two-and-a-half to three years, with the option for them to buy it at a pre-greed price at the end of the rental period."

Since the truck is hired, the operator can always hand it back and walk away — always assuming that it is brought bacl in an acceptable state — if things do not work out.

e rental period will give them time to accumulate the fun s to buy the vehicle. If they have to take out a loan to do o, they will be able to show whoever they approach for inance two or three years' worth of accounts.

ot surprisingly, 'rent-to-buy' is proving popular, says McDonald. And it means the vehicle concerned is rating revenue rather than sitting around unsold. what are novice and established hauliers looking t the present time? "They're after what I would class gen for as mid-range tractor units that are priced at £20,000 to £30,000," he replies.

With that sort of budget, an operator can obtain a 2004-registered Scania 4 Series Toplirte Classic or a 2005-vintage Volvo PH 460 XL Prestige.

Three-month warranty

"Units of this age will have covered between 520,000km to 820,000km," McDonald says The higher the mileage, the warier many customers are likely to be, but all trucks are sold with a three-month driveline warranty that is backed by Roy Humphrey.

"We're also careful to check them over thoroughly before they are offered for sale," says McDonald.

The truck's history is thoroughly investigated, too.

"If there's any uncertainty about it, then we'd be uncertain about selling the vehicle concerned." he states.

McDonald accepts part-exchanges, but typically trades out anything dated earlier than 2000 to 2001. "We don't think they are vehicles we can warrant and retail," he states.

Stock is obtained from a variety of sources — from major fleets, from owner-drivers, and from Roy Humphrey's own fleet of rental vehicles. McDonald seldom, if ever, buys at auctions. "If there's anything good offered for sale at A Jamie McDonald: an auction, then everybody wants it, and that drives up Of the whote the price," he observes.

haulage package At present, Roy Humphrey has around 25 to 30 used trucks and trailers in stock. "We're happy with that sort of level," says McDonald.

"In the past, we've carried 50 to 60, but we wouldn't want to hold that many at the moment given the way things are with the economy."

With sales dominated by tractor units, Roy Humphrey attracts customers from as far afield as the north of Scotland and the Republic of Ireland. And as you might expect, the intemet helps here. "We're updating our website," McDonald concludes. •

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Locations: Suffolk

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