How to get direct shippers, cutting out the (Thieves, this is my opinion), brokers

Discussion in 'Ask An Owner Operator' started by pktruckdriver, Jun 10, 2007.

  1. pktruckdriver

    pktruckdriver Bobtail Member

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    I am new to having my own authority and do believe that I have jumped into the pool without checking to see if there was any water in it first.

    With truck payments, insurance, factoring, fuel and the tons of paperwork involved with going out on your own is very overwhelming to me and I could use all the advice that I can get to help me wade thru this nightmarish maze of endless tricks to be successful at this business.

    OOIDA has some helpful programs that help us, but getting it out of them isn't the easiest thing to do. Maybe this forum might give me better ideas that I will use to make my business successful. So here is my requests for help in the following areas:

    1. How best to get direct shippers? Cold Calling?, Shipping directories?, Yellow Pages?, web based directories? State business directories? Orr ask shippers that the brokers you used to get loads from before and is this allowed,(legal or not?) and who enforces this?
    1a. How to get these directories?

    2. Services that can help handle all the paperwork that goes with being an O/O , like log auditing, fuel taxes, maintence file keeping, drug testing pools and all the others that I'm forgetting that need to be kept for those AUDITS THAT YOU WIIL GO THRU.
    2a. What should these services cost you?? Whats too much??

    3. Without Direct Shippers, then what boards are the best for vans and reefers?
    3a. what are these to cost??

    4. Associations that might be useful to join? And why?

    5. Tax Preparers for truckers only??
    5a. What do these cost???

    6. And as always, what have I left out?
    6a And what will cost me, lol??

    Well I hope that this info will be available here somewhere but I am not to good on this computer yet to find this stuff on here and hope all you people out there will overlook that and still help me anyway, thanks!!!
     
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  3. Brickman

    Brickman Trucker Forum STAFF Staff Member

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    LOTS OF HARD WORK. Thats how you get your direct shippers. Not all brokers are thieves, as I've worked for a couple honest ones in my time. But most are, taking up to 30% or more of the line haul and their only expense is their computer and other office equipment and office. Usually a room in their house.

    As for going to the shippers you've brokered thru, I don't have a problem with it. Usually your load confirmation paper work has a non compete clause in it from the broker. Stating that you won't try to direct solicit their customer for a set period. Usually one year from the last date you've hauled for that broker. The only way thats enforced is if the broker catches you and is able to prove in court that you breached the contract.
     
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  4. pktruckdriver

    pktruckdriver Bobtail Member

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    I am not out to become like most brokers and steal there shippers , but what happens when the shipper offers you to haul loads from them, is that something you work with the broker or have the shipper deal with the issue?

    As for the other info I was after it seems that to me O/O's that are making it out here, are not to forth coming in helping out us who are struggling to survive, maybe it has al ittle to do with competition, but then again if they are like me they have little time for boards like this.

    But I am asking anyway and hoping that others will respond????
     
  5. jamwadmag

    jamwadmag Road Train Member

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    My co. started their own brokerage business a year ago last Jan---freight has never been the same!! Poor...dont know details, just what I've seen from a driver's 'end!':biggrin_2557:
     
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  6. MACK E-6

    MACK E-6 Moderator Staff Member

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    You know, I am a firm believer in the saying "Too many cooks spoil the broth". Why don't the shippers simply deal with the carriers directly instead of having to involve the third parties? Life would be so much easier.
     
  7. weggie

    weggie Light Load Member

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    If "too many cooks spoiled the broth" were anything but a cliche', we would travel to the nearest Maytag factory to buy a washing machine, and to the refinery to buy gasoline. How much easier would that make life?

    It's called free enterprise - like truck drivers, if brokers weren't needed, they wouldn't exist.
     
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  8. Eskimo6804

    Eskimo6804 Heavy Load Member

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    Pktruckdriver you are absolutely right. Many of the successful small business owner ops. are very reluctant to help the "new" guys. We tend to keep things close to the vest because we know that knowledge is power. He who has the most knowledge in any game will ultimately be the winner. The question is; How do you gain that needed knowledge? The answer is; You play the game and get your butt kicked. By that I mean that you must never make the same mistake twice. Learn from your mistakes and adjust your business accordingly. You will survive and scrape by on shear determination and work ethic for awhile, but you will be much better off if you learn from your own mistakes than trying to do what others tell you. This will give you a much better appreciation for what you have accomplished.

    I will give you one tidbit of "knowledge" though as a general starting point. To begin finding direct shipper frieght, go to all of the small "mom & pop" companies in your area that ship in very low volume.( 1 or 2 loads a week type volume) These are considered the small players in shipping and thus get no attention from the large carriers or brokers.(the schneiders,jb hunts, and ch robbingsome's of the world) Just make an appointment to talk to the shipping manager/plant manager/owner....whomever is charged with finding carriage of their product. Don't try to be someone you're not as these people appreciate hard working small business people because that is what they are. Make sure you go in with a professional appearance and attitude and have your ducks in a row. If you go in acting like the stereotypical trashy truck driver and without a solid grasp of your own business capabilities, they will see right through you. Many times you can talk them into giving you a chance to pull one load. Keep in mind that that is the only chance you will get so don't blow it. Pick up early, deliver early, with no damage and a great attitude and they may give you more loads. It is a slow process but well worth the effort.

    Hope this helps, and good luck to you.
     
  9. MICHAELJAYCLARK

    MICHAELJAYCLARK Light Load Member

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    Appearance is everything.

    The reason brokers exist is that the company is outsourcing. They no longer need a person that takes calls and or calls out to find trucks to take their loads, thus saving them money. Just like every place you go has lumper service. These companies are saving millions in insurance costs because they are cutting the risk factor of guys or gals :) being hurt by unloading trailers.

    After awhile you will know what brokers are rip offs and which are on the level.

    I like brokers (ok stop booing) they cut out the time factor it takes to call or visit shippers when I'm out roaming the country. I can use getloaded.com, truckstop.net, or truckersedge.net online to see posted loads. Then one can plan out an entire week in one day. This removes the time it would take to find loads.

    But then again if you have a wife at home that can call all the shippers around the area your going to be at you can make more money, of course.
     
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  10. Eskimo6804

    Eskimo6804 Heavy Load Member

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    I agree there is a need for brokers on the backend, but outbound it is easy enough to develop a relationship with a shipper/shippers. I also have a professional salesman on staff who works for straight commission that I can send into an area to develop sales if we have trucks in that area regularly. Before you go and think I'm some kind of big shot, that salesman is my father in law. He is a retired vice-president of marketing from a major international corporation and thus he is worth every penny we pay him. I know that not many people have that luxury available to them but anybody can make a sales call to a LOCAL shipper.
     
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  11. MICHAELJAYCLARK

    MICHAELJAYCLARK Light Load Member

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    I'm finding that a lot of shippers wont talk to truckers. they would rather have a broker handle it. one call from them them, sign a contract for services, and all their loads are done with one call to tell the broker what they have.

    I agree having someone call the area and find direct shippers is the best thing to do. But arn't you paying the person commission? meaning they are actually the broker?!!??!!?

    anyway, dealing with the sites to find posted loads also means the broker has to be honest and pay. if they dont, they dont last long.
     
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