Insights from Chris Grivas, President of CAG Truck Capital: 5 Key Questions
The Challenges Facing Owner-Operators As operating costs rise and freight rates decline, the smaller players in the trucking sector are facing significant pressure. Chris Grivas, President of CAG Truck Capital, continues to prioritize owner-operators in this challenging environment. Commitment to Ow
The Challenges Facing Owner-Operators
As operating costs rise and freight rates decline, the smaller players in the trucking sector are facing significant pressure. Chris Grivas, President of CAG Truck Capital, continues to prioritize owner-operators in this challenging environment.
Commitment to Owner-Operators
Founded in 1984 and based in Chadds Ford, Pennsylvania, CAG Truck Capital specializes in supporting owner-operators and addressing gaps in engine overhaul financing. They have received endorsements from engine manufacturers such as Cummins and dealers for brands like Paccar, Volvo, Mack, and Caterpillar.
Adapting to Industry Changes
CAG remains dedicated to its niche, especially as owner-operators feel the impact of tightened credit, rising insurance rates, and higher interest rates. The American Transportation Research Institute reports a 37.3% rise in average operating costs for trucking firms over the past four years.
Financing for the Evolving Used-Truck Market
The company is also navigating an evolving used-truck marketplace, where demand is shifting toward high-mileage trucks while operators are keeping their vehicles longer.
Insights from Chris Grivas
Grivas recently discussed his strategies for truck financing and risk management in an interview with Equipment Finance News. He highlighted the importance of expert knowledge when advising clients on engine overhauls and ensuring they make informed decisions.
Risk Management in Financing
To manage risk, CAG emphasizes understanding how well older trucks have been maintained, especially pre-emission models. They focus on financing vehicles that are still worth investing in, such as long-hood semis and vocational trucks, which can retain their value over time.
Supporting Owner-Operators
CAG’s approach involves understanding each owner’s unique situation and supporting them as they transition from owner-operators to entrepreneurs. They stress the importance of establishing trust with drivers and being careful in the hiring process, especially during pivotal growth moments.