Owner-Operator Profit and Loss Statement

Making Sense of Settlement Statements

A settlement statement contains a lot of information and numbers, and most of it is not presented in any type of measureable manner. Therefore, a lot of O/O’s tend to focus on one number on the settlement…the “check amount”, also known affectionately as “take home”. From week to week, the check amount is too often the only way of measuring success, or lack of success if the check is smaller than expected, or worse, negative. Sound familiar?

OOBT can help you understand and take control of your numbers (and your business!) by converting every settlement into an Owner-Operator Profit & Loss Statement (P&L). And once the settlement statement is reconciled and balanced on the P&L, we can also add out-of-pocket expenses to ensure that financial reporting is accurate for all aspects of the business, and that level of accuracy will prove valuable at tax time.

Why an Owner-Operator Profit and Loss Statement is Important for Each Settlement

• It’s Good Business Practice – An O/O’s business is typically settled on a weekly basis, sometimes bi-weekly and sometimes even on a per load schedule. Therefore, it just makes good sense to measure and review your business on a weekly basis as well. Plus, P&L’s can be “rolled up” to represent performance of a specified period of time, from one week through a full year!
• What Gets Measured Gets Improved – Measuring the key performance indicators of your business allows you to identify and correct the things that are not working so well, and, make even better the things that are working well.  Make those adjustments and you’ll see measurable growth in your weekly and annual earnings
• Itemized & Organized Revenue & Expenses – We provide sense and order to your settlement numbers by itemizing each penny of revenue and expenses in accurately matched line item categories.  All revenue items, such as Loaded Miles, Empty Miles, FSC and Accessorial are called out individually for you to quickly identify where your money is coming from in both a per mile and percentage basis.  Same with expenses, with each item measured on a per mile and percent to revenue basis so that you have the knowledge and the power to manage your business for improved income.

• Compare Performance  – OOBT can help you compare your performance against industry standards and your original budget to identify areas for improvement.   Manage your business to turn those bad numbers into good numbers, and turn good numbers into great numbers!
• Secure Financing – Your ability to show solid and improved results over time will greatly improve your chance of securing financing for equipment and repairs.  And, the only way to show those results is with an accurate and detailed owner-operator profit and loss statement.  Come to the table with those records and you’ll be way ahead of the pack in your effort to secure funding.
• Tax Records – A detailed and accurate P&L is essential for tax related recordkeeping.  The P&L is the record of your business’s operation that is used to determine taxes owed on profits earned.  By accurately recording every allowable business expense you’ll have a better chance of reducing your overall tax obligation.  By keeping accurate and timely P&L’s, your stress level will go down at tax time, and, your tax preparer will love you for making their life easier

OOBT will not only compile your P&L’s, we’re here to answer your questions and offer guidance based on the factual results.

Coming Soon – New On-Line Services Offered

Soon, OOBT will be offering an enhanced and secure on-line system for storing and accessing all of your receipts, settlement statements and performance reports.

Some of the things you’ll be able to do:

1. Run key performance reports for a specified period of time, from one week to one year or more!
2. Save and store your business related documents, such as receipts and settlement statements in your own secure account file.  Retrieve and print as needed!
3. Access and view easy to read charts and graphs created specifically for your business!

OOBT is committed to make the recordkeeping portion of your business simple, accessible and convenient so that you can focus on what you do best…Making money!