Expediters Going Hungry, For Real

[greg334]

There is no maybes about it, and I am getting concern with the BS that there is from some experts – don’t take that personal, it has nothing to do with you. I just keep hearing it and I keep questioning it.

I said it before and will say it again, this is a business and nothing but a business. This business will sink you, and take you down with it if you are not careful.

It is a different world out there than it was a year ago and changing, many don’t think it is and there has been a lot of bad advice given lately and some inconsistent advice at that. I am questioning that advice more and more and my latest question in another tread goes unanswered and seems to be inconsistent with this one.

Comparing the learning curve to a doctor or a cook or an Indian chief is not being realistic. There are many reasons why, but I won’t go into it again.

In all honestly, many don’t just get this business for a long time and being a newbie with a graduation time of five years, it is hard to give advice on some issues, while on other issues it is impossible.

I also wish everyone well, but I also am of the mindset that I can not promote this business with any bit of consciences because of the higher than normal failure rate that we are seeing. The economic conditions are only a part of the problem, fuel prices are another problem but not a killer if there is an understanding of the bigger picture of things in the situation the person is in. I don’t mean market conditions, trends or any of that BS, the company worries about how to leverage slower times into a consistent profit and have staffs with access to a lot of info to make decisions, but what I mean is where you fit into the company and the fleet. I think that many fall for an idea that they are equals among peers which is not really true but very realistic.

I said this for a long time; I find that success is defined by the person, not anything else. It is the company that determines how and if you reach your success more than anything else. I keep hearing that failure is because the people didn’t do things right or were not proactive enough but in reality some didn’t fit into the company while others do and in many cases within many companies, there is some sort of peaking order with the dispatching staff and/or favoritism. Many claim that there isn’t time or it don’t happen but seeing is believing.

Success is not all about numbers; it is not all about personal satisfaction either but a balance in life. If it paying the house payment and a car payment and that is all, well meeting those goals is success. If you want that $2500 payment and that super expediting RV, well that too is a success goal. But again the company is in control.

Picking a company is a personal thing more than a business thing and so is picking an owner. Many don’t get that and look at the money and do themselves an injustice by thinking this is all about money (read my previous paragraph). The same goes for owners; many potential drivers do not take the time to select an owner that fits their goals. Many are unlucky; many don’t get why I say you need a lawyer and an accountant but many do this with a handshake and get screwed in the end.

In the past, I think since I started here on EO, I have said that you need two tools to help your climb up the success ladder and now I am reading it more and more from some that you need them. It seems strange to read this now after fighting the same people on the same issue. Those two tools are an accountant and a lawyer.

Being versatile with qualification and equipment is another issue. Just because I have a reefer does not mean I will use that reefer or the company will look for reefer work. Just because they offer to process security clearances, does not mean that they will do that for everyone in the fleet. There is no reason why they won’t, they just won’t for some.

The story in this thread is only a little of what I saw in my travels. I met people who have been in business for years and enter this field and fail. It was neither their expectations nor their lack of enthusiasm nor their lack of work ethic but just bad luck. Luck that one claim does not exist in this business but seems to make them money unless…... never mind…..

 

[ThibodeauxBayou]

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[Paul56]

So the real question is: Is it the slow freight or is it the poor financial decisions of the drivers that didn't prepare for the slowdowns?

There are usually some common factors with those who fail in all forms of trucking:

-The person(s) had no idea of exactly what it was they got themselves into and how deeply it would affect their lives.

-They heard about others being successful and thought "that can be us too" without realizing what it took for those others to be successful.

-Failing to realize that everyone's situation is unique and that what works for others may not work for you. There is no "paint-by-numbers" kit to achieve success.

-Not taking the time to learn the business and to continue that learning and adapting to the changing environment as they go along.

-Being overly concerned with the equipment at the expense of business planning and what equipment can actually be afforded.

-Developing or having an arrogant "I am a trucking God." type of attitude after achieving some measure of success. Very often failures take some time to develop and can happen even after success is achieved.

-Having an insufficient support network or perhaps no support network at all. As an example, if your family are against this trucking venture from the outset you need to ask them and yourself the reasons why.

-Making the assumption that trucking is an easy business.

-Jumping in with insufficient financial resources. At a very minimum have at least 6 months living expenses and an alternate plan in case trucking does not work out. Do *NOT* sink all of your available capital into equipment! Make sure your cash flow is going to work not only in the best of times but in the leanest as well.


The specifics of what has worked for Nicole and I will be useless to anyone else simply because everyone has a unique situation and what worked in that situation cannot necessarily be applied to other situations and achieve the same results.

 

[Moot]

All I am trying to say is success in Expediting isnt any tougher than opening up a
deli, embroidery , or dry cleaning biz. They all have their learning curve.

Fact is expediting is easier than the above mentioned business. Unless you have your own authority and are going it alone. Or if you are a fleet owner.

For the one truck O/O leased to a carrier you are paying people to do the marketing, billing, customer relations, load procurement etc. etc. etc.

I do agree there is a learning curve and I learn something new every day. But most of what you need to know should be figured out by the end of the first year.

If you had financial problems and credit card debt while working a job with a steady weekly income then this is certainly not the job for you. If you can't manage your personal finances don't expect to be successful running a business as simple as this.

Expediting is not rocket surgery! But it does require some discipline, hard work, an accountant and a wee bit of common sense.

 

[greg334]

Moot, saw you picture in the EO mag this morning and I started to laugh. Wife asked what is wrong with me and I showed her your picture and told her that you must of eaten all of your chinchillas because you also look starved.

 

[butterfly610]

When we first started expediting, we really struggled. We didn't have any experience with this type of trucking, didn't know anyone who did it, and unfortunately worked for an owner who wasn't the most friendly for a new driver. You don't get paid for your first 3 weeks, ( I know that's normal) but he wouldn't advance more than $100 dollars a week for 2 people, and you had to use that money for food, as well as anything the truck needed like fluids, tolls, etc. He would reimburse you AFTER you got paid. I litterally got a 20$ check one of the first times because he would deduct things before he would reimburse you for it. Reciepts would always get "lost" in the mail, it was always something. We didn't have any money saved up, which would have eliminated all the problems to begin with, but like I said before, we knew NOTHING about expediting. It was really hard, but I am a very determined person, and I was determined to make it and learn this business.

I just looked at it one week at a time until the money started coming in, and I probably annoyed the dispatchers and my fleet owner so badly with all my questions, but hey, I got them answered and learned from it. I found this website and started reading all that I could about anything I could possibly find useful. I started talking to drivers and asking questions about certain states and areas, and after talking to so many that said the same things, I found it to be pretty accurate. I didn't much pay attention to the negatives. My fleet owner was pretty knowledgeable about the areas to run, I will give him that, and it's paid off. We have been here over a year now, and we do really well. I think we've found our nitch. I still read and ask questions and try to learn more everyday. It is really hard in the beginning, and it takes a great deal of patience, but you can do it. I personally don't think that everyone has what it takes to succeed in this business...not to be mean or anything, but some people just give up too soon. All I know, is that first three weeks of being really hungry was hard, and even harder to see a good outcome, but we stayed positive and weren't afraid to get help from anyone we could. And here we are! We love it!

 

[x06col]

Thats good info for em there Butterfly. Good info. There is no instant gratification in this business. And there shouldn't be in any others either. That week to week thing you mentioned, is what gets most of em, they can't get past the $hitbird employee attitude, that {someone} owes em a living. Go ahead be mean with your analysis of your peers, they may not like it, but, you are really doing them a favor, IF, they read it well. Hungry is a good thing actually, as long as you realize what caused your hunger, then fix it. Most don't/can't for one reason or nuther. Keep having good "LUCK".

 

[ATeam]

All I know, is that first three weeks of being really hungry was hard, and even harder to see a good outcome, but we stayed positive and weren't afraid to get help from anyone we could. And here we are! We love it!

butterfly610, you warm my heart!

Great story. Thank you for sharing it.

 

[dabluzman1]

Going into expediting without resources to carry you for a couple of months will be tough.
My wife and I are proof in these hard times success is waiting for those who know how to be successful.
I found it extremely easy to get into this biz.
I Looked on the EO help wanted, found an owner, spoke a couple of times to him, two days later he is handing the keys to a 150,000.00 truck and wishes me luck.
He was their for support when we had questions.
Simple to me, tough for others.
I dont want to make this this sound trite or trivial, ALL business ventures are a RISK.
This may be a leaner time than the past five years, but this may also be the new future of expediting.
I hear the old timers say all the time, business is bad or slow, it was better with Roberts.
Maybe it was, I wasnt around then to know or compare.
What i have is today and the last 365 days to weigh.
Our experience is what we were hoping.
And it continues to get better for us.
Not everyone will share our thinking or success.
So, some may worry about what others are stating here, but I dont speak as a naive newby to the business world.
This is a career we decided to get into to set ourselves up for retirement.
After the first year my wife and i are very pleased.
Contrary to some school of thought here......oooppps.
But our proof is in the bank.
Again to all coming into expediting at this time, do heed the nay sayers and
approach this with a critical eye as it will eat you up if you are not prepared for the
challenge.
Study, listen, talk to people who are expediters, nothing new there, just solid preparation.
If you have a good work ethic, can adapt and can learn and are prepared with knowledge and a few months reserves you have done what is required to attempt to be a successful
expediter.
No guarantees, just opportunities.
Good Luck!

 

[Kyreax]

That was a positive post!

Thanks to everyone for not putting a layer of syrup on everthing for us newbies...keep telling it like it is and we become well-informed nooblets.

Hey, I just saw a Sterling leased to Landstar this morning at the Triple T in Tucson. Didn't have time to go talk with him tho'

Nice 84" sleeper and liftgate setup.

 

[davekc]

I think without a doubt, there are many that are successful in the industry. As a percentage, it is a small number verses the many that enter. As one reviews current and past threads one will realize that the names you see now, are much different than say several years ago. It is for that reason, you will see some of the "naysayers" post as they do.
Industry turnover is well over 100 percent, and that can't be ignored. But, those percentages could easily be applied into other industries.
With that being said, one must really be prepared to enter with (not gloom) but realistic expectations. Some get those two things confused.
One that enters with those expectations, knows and understands the market, doesn't enter under capitalized, doesn't have a employee mindset, and can adapt to the business as a lifestyle rather than a job, will do fine.

 

[greg334]

Driving for an owner does not really put you at risk but sets you up in many cases to learn that employee attitude many speak of. I am now calling it the 'mommy culture'. Sure it shortens that learning curve and yes it is easy to learn some of the business that way but really it still is one third of what you can know.

A short time ago I took great offense at something that x06col said (I assume he was saying it to me) but it got me to thinking what I am doing wrong and how I really need to look at things. I am no longer part of the 'mommy culture' of expediters and I am learning the best I can but truthfully, it really is a struggle and I know that many can't make that transition - it is akin to someone coming from OTR to expediting.

My limitations are my truck, it is not my work ethic, it is not the market bad or good but my truck. I see where I am failing at some points and know how to correct them, but my goals are not the numbers but stability. Imy goals are not the numbers but consistency. If that makes no sense at all, well you haven't failed enough to learn what I am talking about.

Adapting is easy to say, many keep repeating it and others don't get it but in reality adapting has to be defined. Adapting to what? changing market conditions? price of fuel? being frugal when you need to be and doing without? Not idling so to conserve fuel? I can go on but I think that adapting can't be done without some fortitude and learning about failures and how to avoid them.

I keep hearing from a few experts that many newbies are successful because of their numbers while these experts themselves have not had failures. To me, maybe it is just me, but I would rather hear from the people who struggled, like butterfly, and others who had a few failures along the way then to hear from someone who points out success all the time while at the same time starting at the top. There is nothing to learn from people who started at the top, the knowledge is from people who make mistakes and admit to them, they are the ones to learn from.

The one thing I think that many miss when we talk about the differences between a driver, an owner and an independent person is the first two seem not to understand that you are 100% dependent on the company to do their job so you can do yours. I know this is what offended me at first when x06col said it because I grew into a dependency of find a position and wait for the company to call me with a load offer.

 

[x06col]

Dave, names on here that change is only part of why I type most things. I hope y'all are not tagging me as a naysayer, for I feel as a fact there has been and is, opportunity.

However, folks that visit this site i'd say are a miniority of expediters, in the grand scheme of things. It is in fact a place to kill time, IF you are a techie. In most cases time spent here, would be better spent taking care of other details of your personal life, your business, and particularly, your equipment. Folks need to study where they have been, so they MAY get a better idea of where they want to go.

Most, I think you will agree, that left tihis business, that posted here, and read here, dismissed what they read, or, didn't have the discipline to do what they needed to do to be successful. Many just can't be successful working by/for themselves, for a myrade of reasons. The largest problem as I see it is... Many can't see what needs to be done(they need to be told), many others, see what need to be done, an jes don't do it, for whatever reason.

 

[davekc]

The Colonel brings up a good point. A lot of the information gets reformulated because of the new people that come to the site.
That does cause some repetition in some of the responses as many questions are similar.

Greg does make a good point in that if a company tanks, how well could they adapt in the market place? I think some would do fine, and others would be in trouble. I think the more you do on your own the better, if the need would arise.
When expediting took a crash 8 years ago, it was tough on many. It was certainly a wakeup call for us. It took a lot of creativity to keep us afloat until things picked back up.

 

[dcalien]

I have been expediting for almost three weeks now. I have so much to learn, I don't even know what I need to learn yet.

One thing is certain to me. It is a good thing I had a substantial amount of money to do this.

I have made so many mistakes. Little ones that cost me a bundle in fuel. I know I will continue to make mistakes, just hope not to make the same ones too many times.

I am thankful for this site for the access it provides me to so much knowledge about this business.

Can't wait to have some money come in to help offset the money going out.

 

[Kyreax]

.I have made so many mistakes. Little ones that cost me a bundle in fuel.

Now imagine that in a straight truck that gets 8 mpg and start to cry

 

[dcalien]

Ha Kyreax, no crying for me. Glad to be here. Glad to be doing what I am doing.

 

[Tennesseahawk]

dc and Kyreax bring up a good point that hasn't been touched. Now more than ever, the difference between success and failure can come down to errors. The more you make, the less your chance to succeed.

For me, meticulous study of the situation helps me to determine the least amount of fuel I use... from the different routes I can take to the drop to where I layover. I'm more than likely to stay put after a drop, if I'm already in a good area. If dh to shipper is an issue, it's one I'd rather my company help pay for, even if I know being closer to a good area would highten my chances of being loaded. $.50/mi in a straight truck makes some savvy.

-Driving 60 miles after a drop to a t/s is $30.
-Driving 70 miles to avoid a $20 toll costs $15 more.
-Taking 35 from Dallas to OKCity, then 44 to St Louis, rather than US69/75 to 44 waists 150 miles, or $75.

I'm not saying I'm ahead of any curve here. Anyone trying to lower their costs probably have been doing the same thing for a long time. But anyone just getting into the biz wouldn't know that off the bat, unless instructed. Unfortunately for those who aren't instructed, this is not the best time to learn from one's mistakes.

 

[ATeam]

Unfortunately for those who aren't instructed, this is not the best time to learn from one's mistakes.

And THAT, ladies and gentlemen, is the beauty of the Open Forum. You don't have to wait to get into the business to learn from your mistakes. You can study the business ahead of time and learn from the mistakes of others.

A careful study of the Open Forum enables you to look before you leap. Careful study means more than a few hours of casual reading. It means going to school on a year's worth or more of posts, taking lots of notes and writing down your questions. It means following up on some of the advice given here; like getting recommended publications, teaching yourself how to complete recommended spreadsheets, going to recommended events, and talking to recommended people.

When Diane and I researched a career move into expediting, we viewed doing the research as a part time job. Before we felt ready to jump in, we put over 1,000 hours of time and effort into learning the industry. Doing so enabled us to hit the ground running. Yes, there was a learning curve. But by going to school on the Open Forum, we climbed a good portion of it before we got in a truck and hauled our first load.

 

[greg334]

So Phil, for the people out there who don't know what you are talking about, I wonder if you would fill them in on the following;

What are recommended publications?

What are the recommended spreadsheets?

What are the recommended events?

And who are the recommended people?

Maybe the answers to these four questions will help everyone out.

I can't help but thing that the events you are talking about are Rutherford's seminar and the spreadsheet is the OOIDA operating spreadsheet but I am really puzzled about the people.