10% Maximum

This is just a rehash of this ridiculous thread. Get mad all you want, you're welcome to research anything you like, obviously, but you continue to obsess over how much brokerages profit. The above thread is just one example. You've gotten a lot of good information here from others, but you just continue to ignore it, which I guess means that I should ignore you rather than try to explain it to you.

 

I shake my head every time I hear someone who is focussed on FSC in the spot market. Why? You should have your costs figured based on what fuel is for that week and the area you are running.

10% or min of $100. But from a brokerage side I am working for the shipper. So if I can find a carrier that meets safety/insurance standards willing to haul for $1.50/mile and shipper is willing to pay $2.20, I will take the $1.50, charge the shipper the $1.65 or minimum.

But with that said, my feeling is it will be rare to find a carrier that can meet the standards I set willing to run cheap.

 

All i can say is if it is legal dimensions, legal weight (80k) loads in 2hrs and unloads in 2hrs and is paying $4 a mile then I'm your guy....... I don't care about the rest. You can say all you want about me being the problem, but my time is money and I'd rather be making it than sitting there worrying about what the broker is getting paid. As long as I am happy then that is all that matters. There is no such thing as "fair" in life.

As for everyday loads, i think van's getting $2.00 per mile, and flats $2.75-$3.00 a mile is fair. Until fuel goes up above $4.50 a gallon.

If you want 100% of the FSC, Schneider, JB and Swift will gladly pay you that.....and .90cpm for everything else you do.

 

And this post is from a guy who cant figure out how to figure the fuel surcharge rate on loads that pay percentage. Keep digging Bill.

 

what is your standards?

 

At our company we broke out 3 to 4 loads for every one we do on our own trucks.
Some even at a slight loss just to keep the clients happy.
Mostly we make 5% to 10% because we have to keep the transporters happy in order to get them to perform.
Like every one we are opportunists and if we are given a gap we will take it.
I won't exploit a transporter because I know what it costs to run trucks.
I will however take every dollar I can get out of a Billion dollar company.
I wont even tell you my most profitable brokered out loads because you will just call BS on what I say.

No one should complain about a broker taking 10%.

Remember this.
"As you ramble through Life, Brother,
Whatever be your goal.
Keep your eye upon the doughnut,
And not upon the hole."

 

I dont think anyone is complaining about a broker taking 10%. The issue is would you take a load from a brokerage that only charges 10% (has proof up front) and isnt playing the double, triple, or quadruple broker games we all know about and just love. I would be willing to pay more if I was getting good and good paying loads all the time. I would also be calling this brokerage firm a lot. A good question is why do brokers think they are somehow entitled to more than 50% of what the load actually pays? I think they all need "Owning and Operating a Truck 101" lessons before they figure out what they charge and what they offer. Another good question is why dont they just offer the fair rate the first time and quit the haggling (and lying to me) crap.

 

This kind of stuff really doesn't translate well into the written word-I'm really not trying to ridicule you(I promise), I'm just trying to relate that there is a whole lot more to worry about in this industry than how big of a cut a broker takes, which is something you seem to continue to have a problem with. If that's not the intent of this thread, I apologize. I answered "yes" on the poll, but the percentage that the broker keeps is still a non-issue for me, the only dollar figure I care about is the one on the check written to me. You'll drive yourself crazy worrying about how much money everybody else makes. If the real question is "Would you haul EXCLUSIVELY for a broker that promises to only take 10%?" then the answer would be no, I have pretty good working relationships with several brokerages/brokerage agents, as well as a couple of direct customers, and I wouldn't promise to dedicate myself to them exclusively unless my promise was met with a promise from them that they would pay me for my availability if they ran out of work during the period I had promised myself to them.

 

I would not want to say definitely that I would haul for a broker just because he only charged 10%. It would depend on how he paid and the rates that he charged. There was a broker that I did business for a number of years that only charged 10%. He made plenty of money and paid on deliver or receipt of the signed bill of lading. There were no discounts on his quick pay. It was the way they did business. At one time that is the way most brokers did business.