Question about Authority

1. Rate of pay is often not posted. You call and whatever amount you agree upon with a broker or a customer is the amount you will be paid. No rate cut out of that amount. (Unless you screw something up)
2. Yes, develop relationships with the good brokers. There are many that will lowball you every single time but when the tables turn they are insulted that you are asking for a large rate. You can play this however you like. Also - never rely too heavily on one broker. If they know you need them for return trips they usually skim off more as they know you don't know many others to call for work. Get as many as you can at first then narrow down that list to a handful of good ones and do repeat business with them. If you score a direct shipper, even better. Just don't back solicit a good brokers customer then hope to still get any loads from that broker.
3. I don't do flatbed but I know the winter is a more difficult time. I would guess it heats up again when the snow melts and many construction projects resume.

 

As mentioned, the rate you see (or negotiate) you get. When you agree on the load the broker will send you a rate confirmation. To get paid, you will need to invoice the broker and include the rate confirmation and BOL...along with any other necessary items...lumper receipt for instance.

I'm not sure if you are aware but I wanted to mention that brokers can take 30 days or more to pay. If you sign up with a factoring company to get paid right away...they will take their percentage..typically around 3%.

 

I am pro factoring because it keeps a cash flow. Obviously, if you have the means to make it through without it...the 3% does add up over time. Most brokers have a quick pay option but that comes at a price too. Perhaps Sureway pays in 3-5 but as a previous post mentioned...you do not want to limit yourself to one broker.

I don't really like promoting a service but I will say that Triumph Business Capitol (factoring company) has worked out well for me. Their interface is simple. Their billing process is easy...just submit an excel file and a PDF. They set you up with an EFS account and they have a credit check feature right on the home page. I can't say how much better they are then other factoring companies because I only tried one other...but it works for me.

 

Take this for what it's worth..

Live by the board die by the board.
If you are making a move to obtain your own autority and going to use a broker your still only making 80% and in some cases less... how do you think the broker gets paid. Either seek out your own customer base or ask the company you're leased to.. if you can try to find you're own back haul instead of deadheading all the time.. however that too is a double edged sword.
Good luck to you

 

WHY for the love of god would anyone use a factoring company.. it tells me one thing.. you have no operational capitol
So you're using a broker who' taking 20 to 25% if not more off the top then your gonna lose another 3 to 5% to get paid a little quicker... that makes a ton of sense to me.. good luck

 

Mark, I'd be glad to walk you through it
Email me your number at rkillmer21@gmail.com