Cost Per Mile

If you're talking just fuel, it should be .39 -.45 per mile running east of I-35. If you include every cost, somewhere in the ball park of $1.50

 

Landline or ooida, or DAT did a story on this about 2 years ago. And the avg cost per mile with reefer van I think was bare minimum of $1.30 All miles. That is just to break even, cost of operation as an independent small carrier. The Megas can cut that cost per mile in half.
And all the small carriers still are trying to play the game like a mega, including the elog.
I predict many small carriers going out of business next. Because small carriers can't play the number games like the big guys.

 

That's true. Small carrier's often times get drivers that have only driven for megas so they think the TA is the only place for repairs, and the other corporate truck stops are their only option. There are so many ways to cut costs and time.

 

There is more to it.
Like a small company can't afford to run half of their fleet at a loss per mile just to keep a contract.

A small carrier can not drop 50 trailers to get a contract.

A small carrier can not run elog and think they will be competitive against a big carrier.

The swift type carriers rent new trucks for 3 years than the dealer buys them back.

Small carriers can not relay a load most of the time.
The list has more but I do not know that much.

 

Yea but you forgot something important. A large mega can't provide the quality of service of a small carrier in most cases.

Quality over quantity. All it takes for a shipper to get pissed a few times and they dump the mega and are willing to pay for A+ service

 

That is possible. But in my local area I saw a tight small carrier lose a local gig running b trains from a mine to none other than JB hunt.

 

Since you haven't got much help with your question I'll give you my numbers. Now my truck is not an older truck and I have a payment. My cost per mile is $1.27 a mile and that includes everything except my pay. A truck as old as you're asking about may not have a payment but you should be putting back at least what I make as a payment and what I put back for maintenance so you're numbers won't be far off from mine. Your insurance will be cheaper and fuel cost could be the same but I bet yours will be higher. So all in all you're not going to run for much cheaper if you treat it like a business and do it right.

 

Megas really can't cut their cost on half. Look at the number of terminals they have and all the money it takes to keep one open. Small guys don't have that expense.

You guys think these Megas are hauling $1.00 a mile freight and it couldn't be further from the truth. Sure they might have a little of it just to keep a customer on one lane happy but there majority of their freight is paying enough to make you blush.

If a small guy can't make it on ELOGs then he needs to go out of business. I don't like them either but they aren't going to stop me from being profitable. If a small guy is doing it right he doesn't need all his hours anyway.