16% o/o good or bad

Well, if it is on the Interweb it must be true.

 

That's right! Now, excuse me while I go out with a French model from Jersey City.

 

Auto car LOL

 

Automatic O/O/S from what I have been told.

 

Have a hot date with a Swede from the same area, deep voice tho. Should I be concerned?

 

Aren't you a Landstar BCO?

 

The way I read the guidance on the lease is that there is a regulation that there is a lease between the operator and the carrier, you are not required to have a copy of the lease in the cab. It is about compliance and a carrier has to make sure they have a contract that states they have control over the tractor. And this is one of those items that I have never even heard someone talking about their second cousin twice removed that got shutdown for not having the document in the cab (but I am sure this statement will change that).

In short, the lease protects the O/O but is a requirement on the part of the carrier. Without it the carrier does not have control of the tractor and driver.

Regarding rates - I spend a lot of time and money on getting rates for markets. And getting ready to spend even more so that I can have access to rates by lane including contract rates, broker bid rates, average paid to carrier and the spread. And unless there are many companies committing securities fraud I can tell you that general dry van freight DOES NOT pay $3-$5 per mile. And brokers are at around 15% gross margin.

I do agree that O/O don't know the rates in a market. If they did they would be disgusted and what the customer is paying. And when you look at some of the cheaper markets that 15% is on the high side. The cheaper the market the less margin a broker is able to get.

Even LS reports a 23% margin when they combine broker and BCO (and that is now sitting at about 50/50). And that is putting them at about 15% for broker margins.

 

We just did a load on Friday from Houston TX to San Leandro CA. We booked the load from a large broker for $4500.00 on 1905 loaded miles. After loading the guy in shipping ask me who we booked the load through and after a short talk I knew the load had passed through at least one more broker. The guy in shipping finally told me they had paid $21000.00 to move the load. The truck only managed to squeeze out about 21 % of that.

 

So where do O/O's get their loads from? Load boards? Are they ran by brokers? Is there an example of what one looks like online? Thanks.

 

And you believed him?