I'm a Independant Dispatcher in Training Looking for Advice

generally good rates are 5%-6%...that's what I would be comfortable with charging...I have also considered a sliding scale. But I like percentages..cause that keeps me competetive to get you the best paying freight..cause I make the best pay that way too!! And it makes you happy.

 

It is obviously desired that using a service like mine will increase your bottom line. If it doesn't, then I don't think I'm doing my job right. One of my biggest assests to the driver is that I am setting him up with direct manufactures...whereas if I'm looking on load boards all the time those are brokered loads and therefore have already had the broker fees taken out of the pay the driver will receive for transport. Using direct manufactures, there are no broker fees (which btw are usually at least 10%, but the driver never sees that.)

 

Well it is said that there are 388,000 owner operators out there. Yes...it is exactly like having your own personal dispatcher. That's what I am!!! I work for YOU...the O/O. I have seen quite a few independent dispatchers out there that work solely for o/o and hotshotters or ltl drivers. I'm not really sure how popular they are. I know I would be most comfortable working for no more than 5-10 different drivers though. And so I'm not overloaded with 40 or so drivers to dispatch for or nothing.

I actually can provide more services than just dispatching...I'm like your own personal secretary...anything you need that I can help you with I can do it.

correct. This is mainly achieved by setting up a business only limited power of attorney with the Owner operator I am working for. My name goes on none of his paperwork. I set him up with the shipper...the shipper only knows the driver as the business transporting his goods.

 

Grumman you have asked a lot a very good and worthy questions. I will do my best to answer them all efficiently.

1.My question to any prospective "dispatcher for hire" is how hard will you work to insure my truck is loaded? Will you just book the first thing you come across at $1.10 a mile and move on to the next truck.
Answer: Because I am working for you and only you, it would be very detrimental to my operation if I did book you the first thing I come across. I understand your bottom line and I'll ask you what lane rate you need to average per mile to be where you need to be at. It is my job to keep you where you need to be, financially. Sure, occasionally if your in a tough area where the loads are cheap and scarce, we may have to compromise from your needed per mile...say, $2.25 per mile (just an example) and take a $1.50 per mile load just to get to better paying lanes. That just means I'll need to work harder and find you a load that pays nearly $3 to create the average. Honestly at first I don't really want to dispatch more than 2 trucks. This is to ensure them my complete attention. As I get more comfortable and more efficient, I can add more trucks. But I place my cap at 10. I want to keep it small and personal. Though I may be busy at home, I am efficient and have great skills at this particular field. No, I will not just book the cheapest thing and move to the next truck...from the time you've left I am scouring the market for the best paying rate. Unless were in a tough spot, I won't even consider loads that pay a good bit under where you want to be.

I spend hours each day scouring the market, trying to find the absolute best freight out there. Remember I am working for you, and If i don't do my job efficiently enough I"M then one in trouble of losing my job...lol.

2. Now maybe all 10 trucks don't need a load found everyday and the more consistent direct freight you have will ease that burden.

answer. This is very true. If I have 4 trucks that want to stay very local..then I'm booking them daily and sometimes twice a day...or 3-5 times a week at least. If this is the case then all my time is spent on those 4 drivers. Whereas cross country or such would obviously provide more time/room for another truck for me to dispatch for. I'm quick on my feet and am good at getting out of the tough spot...and helping you do so as well. My ideal goal is to set up a good lane...example: Houston to Memphis, and have 4-5 direct manufactures on each end, this is of course if the freight rate is acceptable for all drivers who desire this. Of course I'm calling my drivers and keeping up with what is going on, and letting you..in the know about what's going on. I'm also available 24/7 if a problem arises. I can tell you the cheapest place to get fuel is on your route, how much fuel is going to cost you. What that lane has been averaging. Will the load be profitable to you. etc..amongst other things.

3. You will also have to figure out how you would present your gaggle of trucks to any prospective shipper client. They'll obviously be operating under different authorities.

Answer. You are very very right. Presentation to Direct Manufactures would depend on the size and shipping needs of the company. If I had a carrier with 2 trucks...and I went to Con Agra, you probably could not handle the entire shipping load of Con Agra completely. When I work for you I represent you, and you only. If I had another carrier with just 1 truck, and working for him..I represent him and him alone. I usually won't mix my carriers...because you are operating under separate authorities and are therefore separate businesses. You are not pawns in my master plan to become the sole shipper for Con Agra...NO. If I set you up with Con Agra to handle some of their shipments..then Con Agra becomes off limits to my remaining Carriers that I'm working for.
Hopefully that makes sense. I will represent each Carrier that I work for to the fullest and the most professional way I can. When i call for you...I am your secretary to the shipper. ETC..

4. What about safety ratings? Would you establish a minimum safety score for all trucking clients?

Answer. yes I do have requirements. I could send a packet if you wanted to see all the details, but my bare minimum requirements are.

× Motor Carrier Authority
× W-9 – Signed & Dated.
× Minimum Insurance Requirements of $1,000,000 BI&PD and $100,000 cargo insurance.
× SCAC
× Satisfactory Safety Rating

5. I'm not trying to slam you, just thinking about what needs to be done.
Comment. I don't believe you are..you are simple asking very good questions that are a concern to you and I appreciate that.

6. Right now it's just me and my buddy running two trucks. His common law wife sits at home looking at the loadboard when we go out but she is clueless and only finds a nut every now and then. She keeps busy doing the invoicing and collection calls.
Comment. So I guess you guys who are on the road are the ones finding the majority of your loads then. If you are comfortable with your load board booking yourself..I could just come in (example) and work to just set up direct manufactures then. This is an example of how a dispatcher can assist you..on a part time basis for you. Also, even if a dispatcher did work for you...it's up to you to either accept or reject the load. you could run half your loads that month and run the other half loads I find you. I only get paid for the loads that you accept from me.

7. When we had 11 trucks before the depression we were running for a direct shipper and did well.
We've thought about expanding next year to try and build up again. I think we'll have to hire someone to dispatch/sell intially and try to keep 4 trucks busy. I think that would be a safe number and could pay that dispatcher salary. If we grew further we could add a dedicated salesperson. A lot to think on this winter. Got to do something, don't want to drive forever.
comment. you sound like a very proficient business man. I wish you well in your company expansion!!

Thank you for the wonderful questions.
Andrea

They had been closed for a while...all information shows they are currently open. exit 115 on I-24

yes free 2 frog, yes I have a complete carrier profile to fill out for each and every carrier I work for. this way the loads revolve around you. your prefered states, what type of equipment. what authority, what permits do you have. What kinds of loads are willing to ship. will you tarp your loads(if you have tarps) with a flat bed, ummm, how much weight are you willing to carry. all code info...