Own Authority VS lease...

There is nothing wrong with running percentage. If you lease to a carrier that pays percentage, you are legally entitled to see the rate confirmation. There are a number of carriers who now pay percentage. Landstar, Universal Am Can, Mason Dixon, Jones and others pay percentage. There are others. You know what the load pays before taking it with any of these carriers. All of those carriers that I listed have vans and open deck trailers. Some have dispatchers, others do not. Many of those that pay percentage don't have dispatchers. It is close to how it is when you run your own authority. I would prefer to run on percentage. Some are not comfortable on percentage and would prefer to run at lower rates and know what they will make per mile on each run. Percentage offers the opportunity to make much more than running by the mile. When you run your authority you are still usually running on a percentage of the load. You probably will not know the rate the broker gets from the shipper.

 

As an O/O running under own authority...do brokers require the EOBR's? I have read somewhere on this board, that CH Robinson is requiring them. Is this true or is it "something coming" with this CSA BS?

 

It is not cheap to get your authority and run your business until the money starts to come in. I think when Allow Me mentioned the cost of getting your authority he was talking about the down payment on your insurance. The authority only costs $300. It is a one time filing fee. That is the only cost for authority unless you pay someone to do the filing for you. It can now be done on line yourself. Authority will NOT be granted without having insurance and registered agents on file.

It is best to have a decent amount of money put aside to run your business. Many fail due to a lack of capital. Many owner operators do as well or better leasing to another carrier as they would on their own. Perhaps you should consider finding a different carrier to lease your truck. If you saved $200-300/week, it would not take too long before you can afford to go out on your own.

What type of freight do you plan on hauling?

 

EOBR's are not required by any entity, including the feds at this time. A bill has been introduced that will require everyone who owns a class 8 truck to have an EOBR. If it passes it will be a few years before it will be fully implemented. OOIDA and others are fighting it right now. Some carriers have already moved to install them in their trucks, but there is no current law which requires them. I expect that they will eventually be required. Some carriers have gone with them to try to make sure drivers logs are more compliant. When EOBR' were first discussed those who have worked with the CSA BS wanted to require them of carriers who had poor safety scores or OOS violations. A handful of major carriers (about 6) want to force all owners of class 8 equpment to install them in their trucks. They are the ones who wrote and pushed the EOBR bill.

 

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I knew way back then when they started that talk it was just to "get the camel's nose under the tent" so to speak. You give the government an inch and they with their corrupt corporate string pullers will take a mile. Just so the big guys can monopolize another industry in a long list they've already monopolized. Hopefully ooida and individuals can stop this.

 

If you follow redforeman's thread I think it is call no experience but getting authority and he starts on around page 15 or line undetermined yearly profit after expenses starting around page8. Both of those will the you a idea of how to get started. Other folks are right on the trailer there are good ones on the market for way less.

 

I hope that this can be stopped. It is my understanding that the bill was written by the CEO of Maverick and USA Trucking, JB Hunt, Covenant and US Xpress signed on and pushed the bill. These carriers are based in Arkansas and Tennessee. They presented the bill to be co sponsored by Senator Pryor of Arkansas and Alexander of Tennessee. The bill is a means to limit competition by these major carriers. They cannot compete on their own so they want the government to do what they cannot do on their own. Basically, 10% of the industry wants to control the other 90%. That is the direction of major industries and our government. For those who are interested, you can contact these senators and express your views about the bill when it comes up again. I am sure that OOIDA has current information about the status.

 

I can't seem to PM you because I don't have enough posts. Drop me a message and I'll give you some real numbers and let you decide for yourself.