Lease to small or large company

Not sure that smaller is bad. Depends on what their business model is. The larger carriers may or may not be that great also.

I am leased to a smaller carrier and have done far better than I have ever done, even with the slowdown of the economy. These guys have a real solid customer base and a handful of sales people that really beat the weeds to line up decent customers. Get a broker load once in a while, but most loads are preplanned customer stuff. I am home every weekend and usually get by the house once or twice a week as well and am doing better than I ever did running 48 and Canada. The Upper Midwest freight has not hurt me with the economic downturn, so I prefer to stay in that region.

Running percentage in these times is not really a good move. Freight rates are in the dump and therefore percentage rate to the truck is not going to be that good. Some may have something going on well with a percentage, but most would be better off with a mileage rate until freight rates start going up again.

I haven't been with a large carrier since the 90's and would not like having to join up with one again. I have done better with small carriers. You just have to ask a LOT of questions on how they do things, who their primary customers are, try to get a picture of how they have their business model set up, etc. I know that some carriers are not very forthright with such information, but I am running a business and if a carrier desires my business to team up with their business, I am going to know how their business in structured. If you look at any lease on with this type of mindset, you will reduce the risks. Think just like any CEO of a corporation and how they would view going into business with another corporation. You are going to want to know details and not ask the same questions a company driver would ask. You can find a lot of information, though you may have to pay a fee for it, by going online and researching the carriers business and credit ratings. And just a glance at the SAFER rating at the FMCSA can enlighten you on what kind of carrier they are. For instance, if they have a high score in driver compliance, it is probably because they do not know how to preplan freight or just get whatever load they can and the driver or O/O will have to do goofy things trying to make the pickup or delivery on time. If they have a high score with equipment, either they are not making enough to maintain the company trucks they have, or the O/O leased to them are just squeeking by and are not doing required maintenance cause they can't afford it. Maybe in either case, they have a group of lousy drivers that I would prefer to not be associated with.

Good luck.

 

sure go lease to a big one then you can run cheap both ways.