Owning but not driving

Discussion in 'Ask An Owner Operator' started by theboss, Aug 30, 2012.

  1. BigBadBill

    BigBadBill Bullishly Optimistic

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    Wow, that is a great deal. I would jump all over that.
     
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  3. DrivingForceBehindYou

    DrivingForceBehindYou Medium Load Member

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    Yes, I do check in quite a lot under a different company name. There are also quite a few loads that need to get there asap and they do.
    You could call them leftovers, the truth is not everyone can do those but lately I am not even under pressure anymore- plenty of freight available with no waiting game for the load to get hot at all.
    I was skeptical about a lot of things thay said, not anymore.Dispatchers are paid hourly,in the range of 10-15 $ , so yes they can afford them obviously,I do not think they work for free there. Arka said they pay 85% but it is under their insurance and with discount at their shop.
    I know it might be hard for me in 2-3 posts to correct stereotypes about Eastern Europe,not everything is shady ,cold and has something to do with bears and snow
     
  4. rollin coal

    rollin coal Road Train Member

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    OK, here's what you're missing. They very well may have a $2.20 a mile average to their trucks. What their trucks do and what the contractors leased on to them do are vastly different. The contractors are more or less extra capacity that is mostly forced dispatched if they have a large customer base and you're willing to give up so much control, what you will end up doing as a contractor is covering a lot of the lanes and areas where deadhead is higher for the company trucks.. But when they slough that freight off on contractors it doesn't matter. In other words contractors are just excess capacity covering the crap freight and lanes. Where do you get that 10% number is that what they pay contractors 90% ??? If a 500 mile load pays $2.20 a mile after they take 10% that's $1.98 a miles. If you run 550 miles to do it all of a sudden that $1.98 a mile turns into $1.80 a mile.


    And what about deadhead to pick up that "500 practical miles" load how do they pay that? At zero? If you deadhead 100 miles to pick it up that $1.80 turns into $1.52 a mile. That is how what you're explaining to me is going to work. You're going to be averaging $1.50 to $1.60 for every miles you turn, and what about going home on weekends, that's going to bring it down even more. That's how their contracted freight making them $2.20 a mile average works out when they farm it out to contractors covering excess loads. That's why most companies just pay 95 cents a mile plus surcharge loaded and 95 cents empty with or without a surcharge equalling out to about $1.40ish on "practical" miles because it's just easier that way. You've given up so much control over your operation, you THINK you're making $1.98 a mile, when reality is you're making the same money as a guy in a mileage lease with Schneider or any other mega. It's not profitabale for you. You'll never make money like that. If you want to make money in this game you HAVE to take on more responsibility. No-one is going to give you $2 a mile every mile you turn on everything all miles in and say, "here, go do it". Not going to happen. If you want a $2+ a mile average on REAL, ACTUAL (practical miles are the same joke as HHMG miles) miles you are going to have to work for it driver. There ain't no easy street out here..


    Any "fringe benefit" like fuel discount doesn't make up for what you've lost. What are they offering 6 cents off cash price maybe? Or are they one of the "better ones" offering up to 30 or 40 cents off cash depending on the location? That's maybe a few pennies of value driver but it ain't gonna make that $1.50 turn into $1.98. And I can get the same 6 or 30 cents a gallon off cash price wherever I fuel that you get with the card we use... Nothing they are doing for you is worth what it's costing you.. None of it has any real value making you any real money...
     
    Last edited: Sep 8, 2012
  5. DrivingForceBehindYou

    DrivingForceBehindYou Medium Load Member

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    I can hook you up
     
  6. DrivingForceBehindYou

    DrivingForceBehindYou Medium Load Member

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    Thanks for posting all this,you make some wild guesses though . I do mean empty and loaded by a practical mile. I dont think they know what "excess capacity " exactly means- the co has about 40trucks and they are not that evil minded yet. All the freight is off load boards. Dispatchers are paid per hour and shoot for the same average all day long ,it is family like atmosphere,nobody wants to get the small guy. I actually asked to be dispatched by the person and they made a swap.
    They obviously have owner-operators for a reason which is to make profit of them so no surprise that some money is spent on the services provided. The biggest thing here is not buying, insuring and maintaining a trailer, than parking, than dispatch, than paperwork ,a fuel card,discount rates at local shop and what not. Did not find anything better yet in Chicago area. I guess to net those 3000+ per week, I will have to haul a reefer but like I said I like lazy,will see.
     
  7. rollin coal

    rollin coal Road Train Member

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    You posted up some very limited info until this last posting. So you don't want to be bothered with running a business? Just want to ride fast in a largecar? A "steering wheeel holding only" operation? You'll definitely leave money on the table by not taking an active role in your "business" count on it. Also question where are these numbers the "dispatchers" are throwing at you coming from? Have you seen an actual ledger from any of those 40 trucks detailing rates and actual miles. If someone is telling you what they made on this load or that but doesn't have documentation are you just going to take their word for it? I document every mile I roll and penny I earn in a notebook takes about 5 minutes a day to tally - it's much funner driving when you're not blind and know exactly what you're making. A man can lose his shirt pretty quickly if all he's willing to do is hold the wheel - won't even know until it's too late. What are you talking about "practical miles pay" for if you're hauling all spot market freight?? "practical miles pay" has no practical (no pun intended) meaning with regards to loadboard freight or percentage pay. ??? What kind of smoke is this company blowing and where to? You're in for a hard, costly lesson. Have fun driving, just don't come on here complaining about cheap freight.
     
    Last edited: Sep 9, 2012
  8. JerseyJim

    JerseyJim Bobtail Member

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    Feb 26, 2012
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    theboss, where do you hail from? Something that nobody has touched on,that a buisness with a female as the controling entity has the distinction of being a minority owned buisness has has certian bidding privilages and associated entitlements for being minirity owened. If i am wrong then my deepest apologies,
     
  9. DrivingForceBehindYou

    DrivingForceBehindYou Medium Load Member

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    Gps counts the miles by state,yes I do compare to their printout of what I am paid for at the end of the run. Other trucks' business is not mine, as long as I make what I was promised I am good. Now I know what to watch out for in detail,so your advice and warnings did not go unnoticed
     
  10. Go Getta Trucking

    Go Getta Trucking Bobtail Member

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    So how much revenue would need to be generated to make a profit after paying driver and fuel tab with these rates going now???
     
  11. DrivingForceBehindYou

    DrivingForceBehindYou Medium Load Member

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    For my sitcom ( dry van OTR) above 1.65 per mile
     
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