Internet Truckstop

Eskimo6804 · Jul 20, 2009

M.Enterprises said: ↑

I would second that, although the caveat is that you will be raising your cost of doing business. Since rates are so much better, you will definately want to make sure you are getting that high paying freight. Otherwise, you'll end up getting plowed under even faster than the more economical business plan of hauling grain or dry freight.

I'll have 1 reefer guy for sure this week. Possibly 2. The second guy might be full of ish. He claims he gets $6400 from Salinas CA to Miami FL. The guy is loaded and doing well, but I doubt it is that high. I asked him to email me the contact, so I could start getting him rolling. He didn't send it to me. Once again, I don't know what this guy is really made of, but he is paying $8500 to get his reefer unit CARB approved so appearently he is making enough to do that and DH from Vegas into CA and still make money. We'll see.

The reefer guys I quoted 3% broker fee, because I don't want to make money off them. I want to see just how much money is in reefers. If it is as much as I think (extra $700/week from van) then I will be leasing a reefer and hauling the freight. If not, I made some burger flippin' money and I can raise the rate or leave them at any time. The lease/dispatch deal works really good in theory.
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His numbers may be just a bit on the high side, but not much. Produce from Salinas to Miami is paying $5800-$6200 right now.

JasonTheRock · Jul 20, 2009

M.Enterprises said: ↑

Is Idle Air not powerful enough to keep you cool in 116 degrees?
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The problem was the windshield I was on the side that got the afternoon sun head on. I need to buy reflective window curtains (do they make those, anyone know where to get em?) or window reflectors. I have just regular fabric curtains. I should have stayed in a motel room anyhow, my idleaire bill (about 24 hrs.) was a much as the motel next to the truck stop!! LOL

112racing · Jul 20, 2009

iowa 80 has some nice insulated custom fit ones

_ton bundle · Jul 20, 2009

CH Robinson 1st Quarter 2009 Earnings Call

For the first quarter ended March 31, 2009 our gross revenues declined 15% to $1.68 billion. Our net revenues were flat at $338 million. Our income from operations increased 1% to $137 million. Net income decreased 1% to $85 million
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http://seekingalpha.com/article/132170-c-h-robinson-worldwide-inc-q1-2009-earnings-call-transcript?page=1

If you or I posted ratios like that, we would be out of business. The only reason they can do what they do is because of the scale of their opeartions and volume.

I wanted to ask you first on your thoughts about the transportation gross margin which was a very impressive number, quite a bit above what we thought it might be, the 22.6 number.
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http://seekingalpha.com/article/132...e-inc-q1-2009-earnings-call-transcript?page=3

There's the answer for how much they keep out of every dollar, 22.6 cents, on average. Of course, they have major operating expenses, etc. to take out of that number.

Also...

Transcore did a survey of their brokers in 2009 about their numbers in 2008. I think you'd have to be an idiot to respond to this survey, but 5000 brokers did. This is what they found based on their responses...

Margins Erode by 5%, Year Over Year
Although some brokers reported increased revenues due to fuel surcharges, profit margins declined, according to TransCores Second Annual Broker Benchmark Survey. Profit margins averaged 15.8% for this years survey respondents, representing a 5% decline from last years average of 16.6%. Margins tended to vary with haul length. Hauls of 200-500 miles yielded average margins of 15.9%, while long hauls of more than 1,000 miles returned gross profits of 12.8%, on average.
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http://news.3sixty.transcore.com/bl...-survey-reveals-5-margin-decline-in-2008.aspx

So the average broker keeps from about 13% to 16% on average on each load. Like I said, I think you'd have to be a moron to publish your margins in a pure margin- based business, but no one ever said you had to be smart to be a broker.

7mouths2feed · Jul 20, 2009

Although some brokers reported increased revenues due to fuel surcharges,
SNIPPED

Hmmm..... If FSC is passed through 100% why would a brokers revenue increase?

Winchester Magnum · Jul 20, 2009

Although some brokers reported increased revenues due to fuel surcharges
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The broker rates are "all inclusive" (for the most part/generaly speaking) and they get a percentage of that inflated (for higher fuel) rate.

M.Enterprises · Jul 21, 2009

Eskimo6804 said: ↑

His numbers may be just a bit on the high side, but not much. Produce from Salinas to Miami is paying $5800-$6200 right now.
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NO WAY!

He said sometimes they only accept $5800 or $5900, but usually he gets $6400.

Okay, so when does produce season end? When did it start? and how am I going to get a carb compliant reefer on the back of my salinas driven truck?

M.Enterprises · Jul 21, 2009

JasonTheRock said: ↑

The problem was the windshield I was on the side that got the afternoon sun head on. I need to buy reflective window curtains (do they make those, anyone know where to get em?) or window reflectors. I have just regular fabric curtains. I should have stayed in a motel room anyhow, my idleaire bill (about 24 hrs.) was a much as the motel next to the truck stop!! LOL
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And to think...Idle Air is a great deal when fuel gets over $5/gal or so. I really like that business model. Wish I'd thought of it.

I think we will see motels doing quite well when that happens.

M.Enterprises · Jul 21, 2009

5mouths2feed said: ↑

Although some brokers reported increased revenues due to fuel surcharges,
SNIPPED

Hmmm..... If FSC is passed through 100% why would a brokers revenue increase?
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I brought this point up in your thread, 5mouths2feed. The idea is that the broker is going to take a bigger cut into the load pay, since the driver is demanding a FSC. It all equals out. Everyone gets paid what they are worth or whatever other measuring stick you use. No matter what way you slice it, the driver gets screwed when fuel prices go up, because even if rates go up...so goes the cost of living.

........But I don't see how they could take part of the FSC?

_ton bundle · Jul 21, 2009

5mouths2feed said: ↑

Although some brokers reported increased revenues due to fuel surcharges,
SNIPPED

Hmmm..... If FSC is passed through 100% why would a brokers revenue increase?
Click to expand...

Revenues would increase as revenue is the base rate + accessorials + FSC. It's the net income (profit) that should remain the same if the broker is passing 100% of the FSC onto the carrier.

The spot market doesn't ever have fuel surcharges as a spot rate is all inclusive. It kind of defeats the purpose of having a spot market in the first place if there were contracted fuel surchrges.

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