How to Know how much to charge when taking a load?

Discussion in 'Questions From New Drivers' started by FTLS, Jun 12, 2021.

  1. Kenworth6969

    Kenworth6969 Medium Load Member

    303
    780
    Jul 3, 2020
    0
    When all loads are posted for $2-$2.50 a mile on a lane i can't go asking for $5 a mile anymore.

    Too many drivers willing for taker cheaper and cheaper van loads now.

    I am spoiled, I like huge rates so back to flatbed it this.
     
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. Kenworth6969

    Kenworth6969 Medium Load Member

    303
    780
    Jul 3, 2020
    0
    It is very simple. When $2 a mile loads are flying off the load board in seconds, the brokers know that too.
    The market has changed in Van.

    What negotiation powers can you have when endless people lined up to haul cheap freight?

    Most often loads I call on are already gone. When I posted my truck I get 5% the volume of the calls I did a month ago.

    Part of the game is knowing the market and Van is sliding downhill now
     
  4. Dockbumper

    Dockbumper Road Train Member

    2,893
    6,590
    Apr 29, 2020
    0
    That is a very disconcerting statement right there. Also, EVERY SINGLE DOLLAR you have spent in parts and supplies " not doing maintenance" on your truck, whatever that means, is a business expense, and part of your Profit/Loss and Balance Sheet. I would highly recommend that you find an Accountant that will put a solid set of books together for you. (Yes.....he or she will be another expense). The way you are currently thinking/ running your business is a recipe for disaster. You should know where every penny from income and expenses is coming from and going to. Your haphazard "accounting system" is going to cause you more headaches with the IRS than you can even fathom. Remember, the average net profit in the Trucking business is 4-6%. Good luck
     
    Artax Thanks this.
  5. skallagrime

    skallagrime Road Train Member

    1,480
    2,822
    Apr 10, 2012
    Indiana
    0

    Yes, but no, using past costs to estimate future costs is imperfect, and perhaps replacing all 8 drives wont be a yearly occurence, but using your ending heuristic, not to spend more than you make is a good starting point.

    Also you are going the repair route and perhaps doing it yourself to save a buck, and right now that might only be break even as you also have to aquire tools.

    BUT if theyre starting out and your numbers as to what you can run on would be similar then, also, you are running say 500k preventative maintenance, thats pretty equivalent to buying a new truck every 5 years, thats an easy number to calculate.

    Fuel+ driver + 175k*interest/500k + fluff

    If they had presented some numbers and asked if they were off base it would be more reasonable.
     
  6. Kenworth6969

    Kenworth6969 Medium Load Member

    303
    780
    Jul 3, 2020
    0
    That's part how I negotiation. Always strive to get better than rates posted on the board
     
  7. Dockbumper

    Dockbumper Road Train Member

    2,893
    6,590
    Apr 29, 2020
    0
    Ok....you win. Solid business plan.
     
    Artax Thanks this.
  8. Concorde

    Concorde Road Train Member

    1,124
    2,216
    Jun 29, 2016
    West Melbourne Florida
    0
    If you’re only planning on running in a small area of the lower 48 you need to concentrate on daily revenue. Don’t get fixated on rate per mile. Personally, in this current economy I try to stay in the $1,500 - $2,000 range per day..
    If you decide to run as I do you, you’ll only look at rate per mile for entertainment :)
     
  9. MysticHZ

    MysticHZ Road Train Member

    5,498
    4,939
    May 28, 2010
    0
    Asking these question on a forum isn't research ... it's lazy.

    He should already have detailed business plan, including cost and revenue projection before he even bought a truck.
     
  10. Jaebo74

    Jaebo74 Medium Load Member

    433
    1,851
    Feb 4, 2021
    0
    I forgot, I'm on everybody here does everything right the first time forum. Don't ask any questions, they'll make you feel like a #### fool, forum. The guy seems new, he didn't ask an unreasonable question. Contrary to your beliefs research does include asking more knowledgeable people. Sometimes people can't comprehend things unless they're in simple English. Sometimes things get overwhelming trying to research, and you just need a little help. The man was just asking for help, maybe a point in the right direction. I'm sure you're infallible, that's great! I for one wouldn't be where I am without a little advice.
     
    Speed_Drums Thanks this.
  11. Ridgeline

    Ridgeline Road Train Member

    17,739
    75,135
    Dec 18, 2011
    Michigan
    0
    And?

    this is another issue with load boards, you can ask for what ever you want but it isn’t the loads that are on the boards, it is the load that the broker knows about and holds for their favorite, become the favorite.

    I learned a long time ago there is so much freight that can be hauled, the low hanging fruit is for the cheap operators.

    one reason I think the land star system is a great place to start for a new truck owner is it allows someone to learn how to sell the truck and services to a closed system. It allows experience to be gained without a lot of losses.
     
    Jaebo74 Thanks this.
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  • Draft saved Draft deleted