Load 1 Florida office ?

[Rocketman]

I guess, for my part, in the original topic of the thread, the question should be "who cares?". We all know there are cheap rates out there. It is no surprise to me at all. If I were brokering freight, I would be offering cheap rates too. Why not? It's a business, it's not a social club. I'm sure that these people know they will have to pay more on some of those loads to get them moved, but why not float 'em out there cheap at first to see who bites? It's a business...the more money that stays in MY pocket, the better.

If I remember correctly, the OP was all over a Chinese knock-off of the espar heater a while back. He didnt care that its construction and safety had not been proven as the Espar has. He cared about one thing....PRICE. There is not one single difference in the basic concept of a consumer saving a dollar anywhere they can and a broker offering a cheap rate to see if they get the load covered cheap.

My biggest problem with the topic of this thread and with the OP is the same that I always have. There is a small number of members here that, I guess, would be classified as "alarmists"?. Every time they post, it's bad....oh my, is it ever bad. The sky is falling, somebody is doing something wrong....all the time. Here's a news flash for ya. It ain't gonna change. Business is business and you won't be taken advantage of if your on top of your game. If your not on top of your game, your cash is welcome in the economy How do I know this? Believe me, I have and still do make my donation from time to time.

 

[highway star]

Sounds like 95% of brokers are giving the other 5% a bad name.

 

[davekc]

Well the way I read what Rocket wrote it seemed clear what he was saying. Lets see if I can say the same thing differently so you can comprehend it.

You are running a truck under your own authority all the while thinking you are earning and keeping more $$ than a leased truck would for the same amount of work. The fault in that logic is you are doing more work than a leased truck is. Using already stated percentages of 25% / 75% heres the point. Figuring you and a leased truck were both awarded exact loads, the only difference being the 25% for having your own authority. When all is said and done you likely made the same or less than a leased truck.

The reasons that is the case boil down to a number of things.

1: time spent getting the load. Leased truck 5min.
You far more monitoring load boards.

2:Fuel discount programs.
Carrier based tends to get better discounts vs independent.

3: insurance discounts
Same as above reason.

4: Lawyer retainer / law suits chasing money.
The leased truck has their money in a mater of days and need not worry.
You, could be waiting 30-60 days at best.

So the remaining question is what is your time worth? For many the reduced headache is well worth the 25%.


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That is the very reason I lease to Panther. I am basically paying 15 percent of what I book for your described services. If I do it myself, my costs will be very close to the 15 percent when it is all said and done.

As for the east coast, I think that may be a carrier specific issue. We do very well out of there with rates to the truck anywhere from 1.60 to 2.00 plus per mile to the truck. This is standard straight load. No reefer or anything like that. That isn't to say there is cheap freight there but there are some pretty decent loads.

 

[chefdennis]

As i think about it, in the 5 yrs I have been doing this, I can't remember 1 single instance where anyone forced me in anyway to take a load that I didnt agree to take...no gun was put to my head, no one threaten me, nothing..I make the decisions on what freight I run at what pay..yea my dispatchers call and offer, i either take it or turn it down...my decision and choice...

If you went into business and didnt set yourself up financally to be able to make the decisions that will let you be profitable based on "your" own decisions, then thats your problem, not the guy that wants you to run as cheap as he can get you to...He owes you nothing..he is in business to make as much as he can, just like each of us...

Rate doesn't meet your requirerments, don't take it, its that simple...I just took a run from Findlay, Ohio to Mt Vernon Wasington...it paid good, nothing over the top. I got a few extra bucks to run out , but not enough to cover all the DH i will have to get to a good freight area for MY CARRIER..but i knew that going in..i chose to take the run based on more then what it paid..i visited friends and family...when all is said and done, i will run over 1500 miles on my own dime..but again I knew that when i took the run...You do what works for you in every decision you make in any business not just this one...

John pointed out that when you know the going rate coming out of a certain area averages $.90 and you need to Average $1.50 per mile to run your business as you see fit, then you had better get $2.10 per mile going in....or don't go in...

Why does this keep coming up with people that run their own business and make their own business decisions?? I just don't understand it...

 

[davekc]

John pointed out that when you know the going rate coming out of a certain area averages $.90 and you need to Average $1.50 per mile to run your business as you see fit, then you had better get $2.10 per mile going in....or don't go in...

Why does this keep coming up with people that run their own business and make their own business decisions?? I just don't understand it...

I think the biggest reason is undercapitalization. Some are surviving on a load by load basis and that creates this kind of situation. Some of it driver driven, and some is carrier driven depending on what their policies are. Acceptance ratings, first outs, being "blackballed" for not accepting "luzers" all create a mirage if you will.
Mismanagement of revenue is the biggest on the drivers side. The money you see wasted is unbelievable. Read through a month of posts and it is easy to see that personal agenda/poor business decision items kills quite a few out here.

 

[ATeam]

If you went into business and didnt set yourself up financally to be able to make the decisions that will let you be profitable based on "your" own decisions, then thats your problem, not the guy that wants you to run as cheap as he can get you to...He owes you nothing..he is in business to make as much as he can, just like each of us...

Rate doesn't meet your requirerments, don't take it, its that simple...

That is true to a point, but keep the people in mind who are making truck payments today or servicing other debt based on the freight rates they enjoyed afew years ago. Businesses of all kinds can get wiped out when yesterday's then-valid assumptions are not supported by today's realities.

Worst case scenarios should be built into every expediter's business plan. People are all for stress-testing banks these days. How many of those same people are willing to stress-test their own finances?

 

[blizzard2014]

Nope, Thats wrong, the buck stops with the person that says "Yes I will take it!". We get excellent rates, most the time. And we take losses to move a truck. But that stops with me. I dont care what the shipper or broker says. They better renegotiate or take a loss cause Im NOT moving unless I get P-A-I-D! The simple truth of the matter is. Why are you depending on brokers in the 1st place? The only reasons that brokers exist is because its the easy way out. Does Load 1 use brokers to move their trucks? NOPE. They have brokers, but do NOT use brokers. Agents yes. Whats not to understand about a broker? Its the middle man stepping on the load to make a profit. Go direct with the shipper to make the money you want.

I guess NLM is not a broker? Active On Demand is not a broker? Menlo is not a broker? Ryder Integrated Logistics is not a broker? Expeditors International is not a broker? Landstar is not a broker and I bet Load One and you as well move loads for Landstar agents. The only way to cut out the broker is to get the loads directly from the shipper without having a third party logistics company as the middle man! Please explain how no one in the expedite industry goes through brokers to find their loads?

 

[chefdennis]

That is true to a point, but keep the people in mind who are making truck payments today or servicing other debt based on the freight rates they enjoyed afew years ago. Businesses of all kinds can get wiped out when yesterday's then-valid assumptions are not supported by today's realities.

Worst case scenarios should be built into every expediter's business plan. People are all for stress-testing banks these days. How many of those same people are willing to stress-test their own finances?

Yes all kinds of businesses fail for all kinds of reasons, most of them going back to the people in charge and their "failure to plan"...they certainly didnt "plan to fail" which goes back to the fact that the broker, agent, carrier, shipper owes us as O/O's / drivers nothing....

As you said Phil, "Worst case scenarios should be built into every expediter's business plan.", if its not, there is no one to blame but the person who failed to do so.....

GM employees all over this country bought homes and motorhomes and boats and suv's Corvettes in the late 80's and early 90's based on their income that was just jammed full of overtime...then the overtime went away...then the bubble busted and alot of them (more then you might think) lost it all and more. I personally have lost more money in some business ventures then I have made from them...it happens and as i said above, most often it is because of the "failure to plan" by those taking the hit....no one else.....

In this business if you bought a truck and have payments based on what you made 2-3 yrs ago and didn't plan for slow times which everyone getting into this business should know happens, then shame on you..not the guy offering you a subpar rate....

 

[ATeam]

I agree with you, chefdennis, but wish to take a softer tone.

People who are in difficult circumstances of their own making are still in difficult circumstances. It is a painful thing to fail in a business venture, regardless of how the failure came about. Stern warnings are appropriate for people looking at getting into the business. People who are washing out are served best not with criticism but with compassion.

 

[Dynamite 1]

no one makes you say yes nor should you let company policies { if there are any }get in the way of you running your business. put on your big boy pants and make your own business decisions. doesnt matter where or how many hands the freight is in. if it isnt good business, say no. there are times when taking a lower rat makes sense. { notice i didnt say cheap rate } say max 15% on a 1.50 all mile load. the previous information is true, more no's and rates will improve. it is definitely the ones who fail to plan that are helping low rates by having to take every load no matter what.

planning is the key to running a business. look at a few examples here.

chef dennis, runs loads takes time off deadheads enough to make me crazy and eats out alot but he run his business pays his bills and doesnt complain.

ken ovm, just lost a motor was down a week after being home for 2 weeks. he deadheads also. paid the bill for his repairs and motel, back in service, no complaining {whining maybe LOL } why, he runs his business.

caffees, bob & linda. brand new truck, payment, just off of home time for a couple of weeks, truck gets hit. probably be down a few more weeks for repairs. will they survive, i bet so. why. they run their business.

my wife and i. we have had more time off this year do to personal and family reasons but still have to pay ourselves a pay check every week regardless of rather the business has a pay check or not. we have personal and business bills that still need paid. so they get paid. why, you know the answer.

never let anything or anyone run your business for you. you run your own, take into account for changes and alwasy plan for the future. you have to have the ability to say no, be able to wait and not let things influence your decisions. you have to get to that point to be stable. this running because you over extended yourself and failed to plan is the problem. live within your means and your business is much easier to manage.

 

[fastrod]

no one makes you say yes nor should you let company policies { if there are any }get in the way of you running your business. put on your big boy pants and make your own business decisions.

I think it was about a year or so ago that some panther drivers with their big boy pants on and making their own business decisions had their contracts terminated. I believe panther referred to their business decisions as cherry picking.

 

[Tennesseahawk]

I think it was about a year or so ago that some panther drivers with their big boy pants on and making their own business decisions had their contracts terminated. I believe panther referred to their business decisions as cherry picking.

Yep... some companies want you to do your business THEIR way.

 

[Dynamite 1]

if thats the way it is, then thats the way it is. there are plenty of places to run your business, guess that why we dont lease there nor would we want to. we much prefer a place that lets us run our own business.

what im talking about isnt cherry picking. big difference between that and making good business decisions. if your gonna sit around and only take 1000 plus mi. runs and turn everything else down then maybe they should reprimand you. thats not the way we operate. there is alot more to making good decisions than the length of a run.

 

[fastrod]

if your gonna sit around and only take 1000 plus mi. runs and turn everything else down then maybe they should reprimand you.

So now your saying that these drivers should be reprimanded for doing what you said they should do in your previous post, "no one makes you say yes nor should you let company polices get in the way of running your business". So which is it?

 

[Dynamite 1]

So now your saying that these drivers should be reprimanded for doing what you said they should do in your previous post, "no one makes you say yes nor should you let company polices get in the way of running your business". So which is it?

yep thats rite. making good decisions involves taking all kinds of loads. short, medium, and long. you shouldnt let anything get in the way of your decision on any of these. if they arent good for your business dont do them. any of these loads can be good or bad but to be one of these people who think that only long runs are good and all else should be turned down is rediculous.

cherry picking is totally different then making good sound decisions about load offers. cherry picking as you put it usually involves not doing a load cause it doesnt meet a mileage requirement one has set, it usually has nothing to do with rather a load is truly profitable. that frame of mind that the only profitable loads are 1000 plus mile loads is silly. there is a difference between turning down a load because its not profitable and turning one down cause it doest meet a mileage requirement. am i wrong on the definition of cherry picking ?

 

[BigCat]

yep thats rite. making good decisions involves taking all kinds of loads. short, medium, and long. you shouldnt let anything get in the way of your decision on any of these. if they arent good for your business dont do them. any of these loads can be good or bad but to be one of these people who think that only long runs are good and all else should be turned down is rediculous. cherry picking is totally different then making good sound decisions about load offers. cherry picking as you put it usually involves not doing a load cause it doesnt meet a mileage requirement one has set, it usually has nothing to do with rather a load is truly profitable. that frame of mind that the only profitable loads are 1000 plus mile loads is silly. there is a difference between turning down a load because its not profitable and turning one down cause it doest meet a mileage requirement. am i wrong on the definition of cherry picking ?

Well if your with the companies such as e-1,tristate or panther that has the fixed rate per mile then you do need the longer load.






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[Dynamite 1]

i guess, but 4/800 mile loads is the same as 3/1000 mile loads. but i do agree that at a fixed rate it does matter how many loads your carrier can get you in a week. 3000 miles a week is 3000 miles a week no matter how you get them.

i do stand corrected that on % pay there are more things to consider than when running on a flat rate. but, cherry picking is still cherry picking. we have ran on a flat before and still ran all kinds of loads. not just long ones. but i do see the difference.

 

[BigCat]

i guess, but 4/800 mile loads is the same as 3/1000 mile loads. but i do agree that at a fixed rate it does matter how many loads your carrier can get you in a week. 3000 miles a week is 3000 miles a week no matter how you get them.

i do stand corrected that on % pay there are more things to consider than when running on a flat rate. but, cherry picking is still cherry picking. we have ran on a flat before and still ran all kinds of loads. not just long ones. but i do see the difference.

Well let's say we get offered a load at x.xx amount going 600 miles then another 250 miles at same rate. Or we can do a 2500 mile load at the same rate as above why would anyone not refuse the 2 and hold out for a long one. Especially if the way they are scheduled hold you up for 2 days when you can run the 2500 in 2 days?




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[Dynamite 1]

thats all good thinking. if we could only be certain that 2500 mile load is gonna materialize. some times it does sometimes it doesnt.

 

[BigCat]

Yeah but if you keep taking all the small loads certain carriers will keep giving them. They will then take the good long load and give them to a truck with a lower rpm to increase the carrier cut. I have heard of another carrier doing this but I'm not going to name names but it is not the one im with.




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