Entrepreneurship Class Assignment

Discussion in 'Ask An Owner Operator' started by CollegeStudent, Jun 10, 2019.

  1. Midwest Trucker

    Midwest Trucker Road Train Member

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    It’s not as easy as Ridgeline said in being a real broker. (Although I did like his trucking responses for what that’s worth) You do actually need a business plan just like any business. That’s sort of like saying owning a trucking company means you get your authority then sign up to load boards and make lots of money. lol. So much more has to happen. There are good threads in the brokering section about getting insurance, surety bonds, authority, factoring, customers, carriers, load boards, etc.

    It really just depends how in depth you want to go with this assignment. Do you want to just complete the assignment because it was assigned, or do you want to do a deep dive because your passionate and want to learn.
     
  2. CollegeStudent

    CollegeStudent Bobtail Member

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    Before this assignment, I didn't have any interest in learning about any of it. Mostly because I really have no interest in actually do it. However, I am not the kind of student that likes to do the bare minimum. If I am going to do this assignment, I am going to do it right. I want to get a decent understanding of how it all works that my business plan is reasonable and not fluff.

    I have been reading a lot of the posts in the broker forum and researching things that have been mentioned, like the licensing and surety bonds. I have looked up a lot of national and local brokers. I have gone on some of the websites for the load boards. Reading articles on trucking & brokering is how I found this forum.
     
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  3. Western flyer

    Western flyer Road Train Member

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    What does having capital for A/P mean
     
  4. Ridgeline

    Ridgeline Road Train Member

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    Just go look at all the threads made by owners who never were paid by a broker, that's why.
     
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  5. TallJoe

    TallJoe Road Train Member

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    A/P Accounts Payable. Still Brokers can factor just like owners. I guess the surety bond is tough to come up with --- is it 75K? Can't they take a loan on that too? If so, starting a broker business with a little of own capital but plentiful of contacts could make sense. I can see an experienced ex CH Robinson or TQL broker who can pull off something like that successfully. Business from a home office sounds like a dream come true to me.
     
  6. Ridgeline

    Ridgeline Road Train Member

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    You don't pay $75k for the bond, it is a form of insurance so it is a small percentage of the 75k.

    I wish it was $250k.
     
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  7. Iowalobertarian

    Iowalobertarian Light Load Member

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    I've known more than a few truckers that went broker after medicaly disqualified, it a great way to get in shape, but if your a heavy sleeper don't do it, late night early morning phonecalls happen every night
     
  8. CollegeStudent

    CollegeStudent Bobtail Member

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    In this situation having capital for A/P means having funds available to pay the drivers while waiting on the payment from the company
     
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  9. Western flyer

    Western flyer Road Train Member

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    Brokers have 30 days to pay the carrier.
    How long do shippers have to pay brokers.
     
  10. Rideandrepair

    Rideandrepair Road Train Member

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    Depends on the Shipper. Most products are sold on 30 days due. Some are collect, upon delivery.Usually once credit worthiness is established, 30 days due plus additional interest afterwards for late payments. The examples I’m reffering to are for wholesale food to restaurants and grocers. I imagine it’s a standard. I’ve heard auto companies pay at 21 days , And Government always pays on time. Making them very desirable Customers.
     
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