Edit post

Edit your reply below.

Post Body
Enter your post below.
[quote]QUOTE: Originally posted by mudchicken (1) Talk to Limited Clear (2) If you want to fail like so many do, go in there thinking about just running trains and ignore the track structure[}:)] (3) look for income outside of train operation's carload billing[}:)][}:)] and find people that know how to work/ take pride in what they do. (work for the Company with a capital "C"!) [/quote] Thanks for the plug MC. BTW, for those who don't know, I am Limited Clear, for all that is worth. I have been around for the start of quite a few short lines, I've even sat in a senior and not so senior management chair. As has been said above, it is not a pursuit for the faint of heart nor is it one for those who don't expect to bring ca***o the table. In my own humble experience it will literally take years for someone coming from the outside to penetrate the industry to the point where a Class 1 will seriously consider leasing or worse selling a line to an unknown. Anything they do offer, LOOK OUT, it is probably something all the "real" players have turned down. As to cash, you'll need a minimum of $100,000 in just working capital to start with, and that's assuming you can lease your property from someone and lease or contract out pretty much everything else. If you are buying a line, you'll probably have to bid against others and the Net Liquidation value (NLV) is a place to start. That is usually well into the millions these days. But, if you want to get in, you have to buy a ticket and there are people willing to invest in a good deal with the right management team. It does take more than just managers and a business plan. You'll need industry credibility as I mentioned above. Before you decide to go this route I'd recommend you attend one of the ASLRRA's annual meetings which has all sorts of short line folks and Class 1 people (usually those dealing directly with the SLs there and a trade show with all sorts of vendors, so you can figure out how to price all your equipment and contractors or at least get a feel for it. Go to www.aslrra.org and look under meetings. I think this year it'll be in Orlando in April, but look for yourself. It isn't cheap, but it is a great place to start, if you are really serious. Oh, and a word about the STB book. It is out of date as is the set Eric is referring to. Most of the rules have changed since the ICCTA of 1997. Before you run out and start looking, you need to learn the business. Remember, even those of us who've gone this route don't always stick with it. Some of us have other jobs to pay the rent too... LC
Tags (Optional)
Tags are keywords that get attached to your post. They are used to categorize your submission and make it easier to search for. To add tags to your post type a tag into the box below and click the "Add Tag" button.
Add Tag