I am the owner of Bad Boy’z Incorporated, a single vehicle pilot car company now based in Mesa, AZ. I started this company in December of 2008, quitting my job and using the money I had in my 401k to assume equipment and to finance expenses. Having done very thorough research into this industry, and having 15 years experience as a heavy haul truck driver, I thought that this was the business that I needed to get into. Now, 6 months into business, I am really wondering what I am getting myself into.

Basically what I would be doing is following behind or driving in front of a Tractor Trailer hauling an over-height or over-width load. My job is basically to be there as a safety precaution to warn traffic of the hazards presented by the truck going down the highway.

After spending nearly $5,000.00 on equipment and modifications to my Ford Explorer, I was ready to work. I had been thinking for a couple of years about opening up this business, and had talked to quite a few people who were doing this everyday. I had already signed sub-contractor agreements with the 2 large companies that dispatch pilot cars. I called these companies everyday and made sure that they knew I was available and ready to work.

After about 3 weeks with no business, spending 10 to 12 hours a day on the telephone talking to customers. things were looking very bad. I had gotten into a business, that because of the economy, had no business. I pushed on, and did everything I could to keep above water because I had faith that this business would take off. Finally, about 4:30PM on a Monday, a customer called me and advised me they had a load that needed to be followed to Chattanooga, TN. It was scheduled to be leaving from Longview, TX at 7:00AM the next day. After a restless night waiting for the time to pass, I arrived at the starting point at 6:00AM just to be sure I would not be late. This load went mountainous, we made good time to the destination, and 2 days after I was finished, I received a check for the run. The only problem was on arriving at Chattanooga, there was no additional work to get me headed back home, so I paid for the fuel to get attend.

Things went like this for about 3 months, just to the point where things were really starting to spy up. Of course, as you know, when things launch to look up, Mr. Murphy comes in and rains on your parade. During this time, the woman I was dating was helping out by answering phones and calling customers while I was on the road. I had changed my insurance company since the novel company was fair about half what I was paying for my business insurance before. She received the cancellation notice in the mail one day, and called the company that I had been getting the most work from, and advised them I didn’t have insurance anymore. They immediately terminated my contract because of this and refused to do anymore business with me. I advised them that I had never had a lapse in insurance, and that I had, as required by our contract, provided them with copies of the recent policy, but I was advised that the decision had been made, and would not be changed. I could be considered to work with them again, after 6 months. OK, here I am down to unprejudiced 1 customer and trying to preserve bills up at home, and keep my vehicle on the road. It is getting even tighter.

I have been able to keep the business open, for the last 2 months relying only on a fragment time job, and having to move in with family to lower my expenses. I have tried to get some type of credit established, and have had no luck since the business is less than 2 years old, and has less than 1 million dollars in assets. I have not even been able to find vendor’s willing to give my company a small line of credit even for office supplies or computers. When I talk to them, I am always told that the economy is very bad and that with the number of business that are failing, that they are not giving credit to smaller companies. Even my bank, which I have had a relationship with for nearly 15 years, is not willing to make loans to any company that has been in business less than 2 years, even with a personal guarantee.

I am at the point now, that I am working a part time job, trying to run a business, and not really distinct where to turn. I am not very optomistic at this time that my business will be able to conclude open even until the 1st of July. Auto purchase credit is not available, equipment credit is not available, and even small business credit cards and gas credit cards are not available. Basically, if the economy does not turn around, Im out of business.

This has taught me some very valuable lessions about starting a business that I would like to share here.

1. Be sure if you start a business, have the financing in space to initiate your business suitable and keep it operating for atleast 6 months without making a dollar.

2. Make sure that you have at least 1 year of living expenses saved before you even consider starting a business.

3. Never initiate a business with someone you are dating. If you are not married, they are not a part of the business. I know this sounds harsh, but from my experience, it can turn out to be a bad situation.

4. Research your business very carefully. Evaluate the condition of the economy and decide what that will do to your business. If you provide a service, and there is nobody to buy that service, then it is a expedient time to step assist and re-evaluate your business.

I am really hoping that I am able to continue my business, but realistically looking at the bottom line, I have not made any money at all since December, I am nearly thru all the money I had in the bank, and things are still very slow. The construction industry has yet to pick up, and I have yet to see an increase in business because of President Obama’s economic stimulis package.