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

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.

 

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

 

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

 

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.

 

That's part how I negotiation. Always strive to get better than rates posted on the board

 

Ok....you win. Solid business plan.

 

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

 

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.

 

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.

 

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.