Landstar brokers.....bottom feeders of the load boards.

Some BCO's or owner operators have a problem with Landstar due to the owner operator running where they want to run rather than following the freight. I have known a few who would take a load to the west coast for a much lower rate than I would consider and then have trouble getting out. They should know that it would be difficult to get out of those areas before taking the load out. They would sit for several days and then take something to cover fuel just to get out. They would then repeat the same scenario and then complain about not making any money with Landstar. I have also seen the same thing happen to owner operators who are leased to other carriers. I don't always go where I would prefer, but I follow the rates. If I can get a better rate going to the northeast than to the midwest, then I will go to the northeast. I may want to stay in the warmer climate during the bad winter months, but my rates may suffer. I know that I can usually get better rates running where others don't want to run. You need to understand where the freight is and check often. Things can change quickly. Chicago has historically been a good area, but in recent years has lost some of it's luster. Other areas may produce more freight with better rates. It is the responsibility of the owner operator to constantly monitor freight and rates so that they can be more profitable.

There is no doubt that 3PL's have gotten into much of the freight and that has driven some freight down. Some agents have their own customers and others rely on other brokers or these 3PL's for their freight. It drives rates down to the owner of the truck. Ultimately, it is the owner of the truck who is responsible for the rates for which he runs his trucks. If a load sits, rates go up until someone takes the load.

 

We had a dedicated contract. It was $1.90, all miles. Landstar signed a new contract for $1.35 all miles. The other drivers quit, immediately. My husband asked me and I said, "Let's see what happens." He took one load. We lost $1000. Landstar drivers would make $0.88 a mile on the contract and get 1 load a week. He was told, "We had to lower the rates because the competitors didn't think it was fair." The competitors make a run for $5500, once a week, that's not part of the contract. We had the option to buy a trailer for $65,000 and haul loads for $3.68 a mile.

I promptly booked a load for $3.83 a mile, on our trailer. We have to gross $15,000 a month, to profit. Landstar can do what they want. We don't have to haul it.

Landstar signed a contract for 3 years, at $1.35 a mile. Drivers are required to drive back, empty. Landstar also charges the driver for the trailer. Nope!

You can accuse drivers of making bad choices, if you like. We got an e-mail with the rate change and we had nothing to do with it. It was all Landstar.

 

You did the right thing by refusing to haul loads for less than it would require for you to make a profit. With Landstar you are the one who decides what you haul and where you go. I would not have hauled the first load from them at the discounted rate. If Landstar can't find BCO's to haul those loads then the shipper will need to renegotiate the rate or give the business to someone else. Any agent to would cut the rate that much should find something else to do. I would rather walk away from business if I can't make a profit. With Landstar, or any other carrier who pays percentage, they can make a profit when the truck can't. They have little or nothing at stake with those rates. It is the truck that enables everyone else to make a profit. Without trucks no one makes money. A good agent will not book freight where the truck can't make a profit. One nice thing about Landstar is that you are free to NOT take any load. It is entirely your decision. I would just find other agents who have better paying loads and forget about this agent. You can't give the farm away in order to get the business. Unless you can make a profit you won't stay in business very long.

 

I have made excellent money on LS loads, I treat them as I do any other broker.

Does every LS load pay fat?

No.

Do I haul stuff that's not paying?

No.

Am I a LS bco?

No.

 

My truck doesn't move for less than $3.00 a mile. I average about $4. On backhauls I'll run for $2.50 or better. Usually not less than $3. I hear you on the landstar load boards. Below there was a guy who posted about loads from military bases. The Govt pays two ways according to the contract. Hourly at $150 or $15 a mile. Whoever took that landstar load at $1.20 a mile got raped. I dont bother checking their load boards any longer. I consider them with the ranks of UTI and TQL.
It boggles my mind that with fuel prices so high we still have truckers taking loads for a buck!

 

I wouldn't even start my truck for 1.20.
DH for better rates. Let that #### sit. Only way it will ever go up is if you stop hauling it.
I recently hauled a decent load for LS. Other than that, it's all been crap every time I call on one.
I just laugh and say no thanks.

 

So the "dedicated contract" was not yours then. Besides, Landstar makes no BCO do nothing as you stated almost at the end of your rant... So that's also a lie. Competition is fierce out here, we all know that! And there's always but always somebody willing to do it (whatever "it" might be) for less money... We all know that one too. Too bad the gig (not dedicated contract) was over, as all of them eventually are. If you went into trucking business hoping for stability, I wonder how many more times you gonna be pissed when the rug is pulled from under your feet. Next time you land another gig just enjoy it while it lasts. Nothing last forever and in trucking, you can say that twice!!

 

Where do you get your loads from?

 

We all know what hay pays out of north dakota to texas. Why even try and brag about that? flatbeds lined up there begging for a load back to texas for that 1 more load of pipe. If it works for you more power to you but I wont pay to ship someone's frieghy

 

pay attention to the area codes and phone numbers on Landstar loads. Ask what agency you are calling. After awhile you will figure out which ones are crap. Landstar is a mixed bag, there's a few of them that post tons of cut and paste loads. Simply taking other brokers loads with a posted rate and reposting it with a smaller rate. Often without permission.

Sometimes they cobroker with permission too. These aren't leftover, picked over BCO loads, these are non-Landstar loads, I guess some people like to book loads through LS because they're setup already, fuel card, quickpay, so they get people to run them.

Other times it is picked over BCO loads nobody wants.

And other times it is loads that fell through, hot loads, etc... These are the ones you want, you see them listed with unfamiliar area code, an agency that doesn't post a lot of loads on boards. A broker who sounds like they actually know something about the load and not reading off a computer screen. Then you can sometimes book a decent load with a LS agent.