Local Dock for Drop and Delivery - New Business Idea Good or Bad?

Discussion in 'Ask An Owner Operator' started by lmicu, Nov 10, 2014.

  1. lmicu

    lmicu Bobtail Member

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    I was wandering, I am a new Truck Driver out of Chicago and was wandering what do you guys think if I am to rent a warehouse with one or two loading docks and act as a drop location for OTR drivers. They would basically pull the truck at one of the docks, then I will unload him and once I get the bill of landing they can go to their next load. I would load it in my truck and deliver it for him.

    What do you think, I am pretty sure that there is a service like this already but as a startup I think I can be competitive with the rates.

    Any suggestions?
     
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  3. AEMTransport

    AEMTransport Bobtail Member

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    EDIT:

    Read everything wrong what was posted by OP.
     
    Last edited: Nov 10, 2014
  4. Scott101

    Scott101 Medium Load Member

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    Cross-docking is illegal?
     
  5. AEMTransport

    AEMTransport Bobtail Member

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    Ahh my bad. Didnt read it correctly from him. No it isnt illegal for cross docking.
    I need more coffee :biggrin_25518:
     
    Scott101 Thanks this.
  6. MACK E-6

    MACK E-6 Moderator Staff Member

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    I think I understand what he's after. He wants to deliver the freight that goes to the locations that the big trucks can't access.

    The big problem I see with that plan may be a lack of demand. Not many people who operate in such inaccessable locations usually have that much in the way of truckload shipments coming in.
     
  7. lmicu

    lmicu Bobtail Member

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    Well, let me see if I can explain my self a bit more. So if you are arriving in Chicago on a Friday and have a pick up in Michigan, I would unload you, take the load to where you were suppose to take it and you can go and take your Michigan load in the same day. You would have been stuck in Chicago for the weekend.

    Does this makes sense?
     
  8. rollin coal

    rollin coal Road Train Member

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    Carriers can't re-broker freight to you if they don't own it. Not enough money in freight for an extra hand in the pie anyways.
     
    jbatmick Thanks this.
  9. EZX1100

    EZX1100 Road Train Member

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    there used to be a big New Jersey business doing that years ago (long before i got into trucking)

    a big truck would drop their load in fort lee or jersey city, someone with a smaller truck would take it into the boroughs and manhattan

    and whats interesting, even today, MOST 53's are illegal in NYC (they dont enforce it much)

    if the freight can be broken down, then a 53 is illegal

    so the idea is a good one, i am not sure about the profit in it (maybe save a big truck the hassle and tolls (supposed to go up to $105 to cross the GW in January)

    i have no idea about chicago

    profitablity depends on the carriers charging the shipper to go into NYC
     
  10. wichris

    wichris Road Train Member

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    If it's a licensed and bonded warehouse it's not brokering, it's a re-delivery. But who's going to be responsible for any OSD? And the originating carrier can't get paid until they receive the clean BOL's from you. The shipper may not allow it except to a warehouse of their choosing. Off the top of my head I can think of at least 15 dry and reefer warehouses that we do this with for LTL.
     
  11. Big Don

    Big Don "Old Fart"

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    I thought outfits that did this were called "drayage companies" and they certainly are not a new idea. No idea how profitable they are. Do a Google on "drayage" and see what you come up with.
     
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