why does landstar pay alot more

There are thousands of people that didn't make it at Landstar just like anywhere else that doesn't dispatch, including single truck authority holders. You have to run a business here, it's not a glorified company driver job. Building relationships, freight market knowledge, and knowing your financials are what it takes to be successful here. The folks that think outside the box, that can recognize a niche and capitalize on it, those are the ones that make above average revenue, no matter what the sign says on the door.
Your friend may be content in his life, or he may be mediocre, at best, in running a business. There is a tremendous amount of the latter in this industry.

 

You missed the point also...........

 

Exactly. We got the same deal at mercer. Some of us figure out how to make money and others don't. Those that don't always say it's the companies fault. It's like they think success is supposed to be guaranteed.

 

It really has nothing to do with LS. It has all to do with the O/O. Just like within the LS framework, any industry, field, or business type has winners, losers, and everyone in between.

 

I did pretty well at LS... things slowed up in my lanes and with a child on the way I didnt want to do the weekend peek a boo game at home. I dont blame LS for any of that.

Most of the LS failure stories come from guys with high overhead starting out and not know their freight lanes.

 

My friend is niche and he is struggling to make money. He has $20,000 in extra niche equipment. I would say it's not easy to make a good profit. When even my friend is working 4 months straight.

People will say I did not know how to run my business if it failed. Most of LS freight is van. I would say after 12 years and 1,000,000 safe miles in the LS system. I knew the LS system, I just don't think it easy to make a profit. When I see my friend with pulling a $35,000 niche trailer and he struggling. Maybe he also does not know how to run a business.

 

I don't know your friend so I'm not speaking about him personally, just general observations of guys I've seen operating over the last 25 years. No market stays great forever. You always gotta be looking for the next big boom or when it seems you will struggle. Just look at the oil field as an example of that. All those hot shots crying the blues today cause they didn't have the foresight to plan ahead.

 

Maybe he doesn't understand he needs to adapt and change his operation. This year, I've seen my number one agent go from 75-80% of my freight to 25% due to the customer upgrading equipment instead of rebuilding. I've adapted by not just running out and back to FL. I'm still not out more than 2 1/2 weeks AT MOST. It's definitely more difficult right now, but that is industry wide. Shippers don't care if rates allow a profit just like we didn't care if our rates allowed them a profit in 2014.

 

What's your average fuel surcharge $ per mile YTD. Thanks

I normallly see FSC being about 10-15% of revenue.
$2.60 going for how many miles?
78% is great for own flatbed, this site misprint then...saying 73% for both company & own flatbed
https://www.nonforceddispatch.com/owner-operator-pay

 

Fsc will be all over the board. Just depends on the customer and the freight contact. As fire percentage of revenue, it used to be the same..if you didn't have a trailer they would rent you one for 165 a week. Note: i say used to be cause it's been years since i was up to date with landstar.