Question for Brokers " What do brokers consider a fair rate per mile for freight?"

Discussion in 'Freight Broker Forum' started by robbiehorn, Feb 4, 2014.

  1. Tesla49

    Tesla49 Bobtail Member

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    frogbalz Thanks this.
  2. Tesla49

    Tesla49 Bobtail Member

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    Aug 17, 2016
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    yes it sucks having to play games, but its on both sides, carriers would post line haul rates but every week the fuel surcharge rate would change, the O/O hauling for the trucking co is supposed to get all the fuel surcharge, but the carrier either keeps all the money as a revenue generator, or only gives the O/O a portion of what he billed the Broker or Shipper. If rates all stayed the same, that would be considered collusion between all the brokers and carriers and is a big no no, you wouldnt want insurance companies doing that nor where you buy your tires, you are playing a game with them to bargain the best rate you can get, so how are you any different when you are a consumer. The fact is that if you own your own truck and start your own company you are fighting against all the other guys that are doing the same thing, from college grads, to high school drop outs, when truckers are more plentiful than freight what you see is what you get. If you don't want to work for a broker that is your call, you can say no, no one is making you pull their loads, but good luck going direct to the shipper, now your are adding more hats to what you already have to do on the road, you now have to be a salesman, and play the game of accounts receivables and collection agent, to me quick pay is a scam on truckers, I pay every week, but I can tell you this, you arent going to find too many shippers paying every week and quick pay in most instances wouldnt be an option unless of course you work specifically for 1 company and you are basically their house truck. Next year will be the test for rates and the tightening of truck vs freight with the electronic log laws, so if you think the only thing you have to worry about is the broker that is screwing you, you better look over your shoulder because Obama and the liberals have big plans on putting a lot of you guys out, to help their union voting block.
     
  3. gokiddogo

    gokiddogo Road Train Member

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    Ontario Canada
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    I have been doing exactly as I said. The guy I haul for (he is a broker) gives me the same rate, always has since I started this lane. The reason he does that is he knows I will be at the shipper when I say and I will be at the delivery when I say. This is important more so on the receiving end because he has a team of about 5 lumpers at the place I deliver to ready for my arrival. If I am late, for whatever reason, he has to pay those guys regardless. I have been getting the same rate for 4 years now. It is still very profitable. We do not talk about small changes in fuel price because I make enough on it I don't care. If fuel goes back above 3.00 we might have a chat, I'm sure it won't be a big deal. I don't see where you get the collusion idea. My cost to move it is roughly the same to do this load, with small changes in fuel price or if I take the toll roads or not. Should I bid it so skinny my profit and loss is equivalent to if I drive with a tail wind or a head wind?

    I have also went the route of finding my own direct customer. Yes it can be done with a one truck operation. Yes it can be done even though the place I was pulling for was moving like 20 loads a day. I had bid on a certain lane running out of their place leaving out the same day every week to the east coast. The money was very good. It turned out not so well when the shipper was way too unrealistic with their delivery expectations. I am talking staying awake and driving for well beyond what might even be do-able on paper. 36 hours with no sleep into the busiest cities in the country? Recipe for disaster. Not sustainable. They didn't listen that I need some time to sleep, so I eventually just told them I am not available. Many carriers have said the same to this shipper. It has not effected me really.

    I am aware of the electronic log mandate and run my business as such. In all honesty, I don't see it being that much of a big deal. When everyone is on it, it will be black and white, this is how long the truck was at the shipper and receiver, this is when it can make delivery. The good drivers will make good use of their available time, and if the shippers expect us to continue saving the day by making the time wasted at their dock disappear, that will just not happen anymore. It will be an entire industry shift. Speed limiters are the same thing. I can tell you they do suck to drive with them, and they do cause more road rage from 4 wheelers especially, but you learn to live with it. Myself, if there is lots of truck traffic, I will run usually 62-63 instead of 65. It makes a difference of a few minutes a day. When there is nobody around me I put it back on 65. It sucks, but it isn't the end of the world.

    When I am a consumer I don't automatically select the cheapest peanut butter on the shelf. I like my Kraft smooth peanut butter tyvm. I look at the cost as cheap brand + 0.50 or whatever so really it only costs 0.50 for my favorite peanut butter. For my car I buy fuel at the local guy in my town. There is only 1 gas station. The next closest town is 15 miles away. He is sometimes a bit higher sometimes a bit lower. I like being able to buy it here so I win some and I lose some. Same goes for groceries. I can drive to the city (30 miles) and save probably enough to offset the fuel spent, but I don't want the local guy (also 1 store in town) to close up when everyone starts doing that. Soon enough I will live in a town with no businesses. Eventually nobody moves here and now my house is worth maybe half of what I bought it for, if I can sell it all. Yeah, I really saved money.
     
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  4. Mikesallah

    Mikesallah Bobtail Member

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    I am a new owner operator but reading your post, I really appreciate you a lot because I hate brokers that think they need to make more than the owner operator that puts up with all the cost of running that load from pick up to delivery. I rather sit than run my truck for predatory broker offering cheap rates
     
  5. Mikesallah

    Mikesallah Bobtail Member

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    Hey are you still a broker? I would like to work with you . You sound like a honest one.
     
    chato Thanks this.
  6. boredsocial

    boredsocial Road Train Member

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    Louisville, KY
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    This thread is really old. I'm a freight broker. Ask me a question and I'll answer it.
     
    nax Thanks this.
  7. Mikesallah

    Mikesallah Bobtail Member

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    Just looking for good loads all over the US. I don't do loads less than $2 a mile even in FL, that's my rule. My $2 a mile a rule also has some caveats to it, load must be more than $1000 a day or I am not moving my truck. I will not drive 70 miles just to make $700 when load delivers the following day, I will rather drive a 500 mile load and make $1000 or more. My $2 a mile rule also applies depending on the market conditions and the area I am at because it can be $5 a mile in some areas if I see there are less trucks to load ratio or I am not moving my truck. I don't do monkey work and baboon eat business, so I leave no room for brokers to milk every dime of that load from me. 10% fine but if I feel like the load should pay more than the broker should be paying , I will park my truck and not move an inch and get the well deserved rest. Thanks and I hope to do business with you
     
  8. rank

    rank Road Train Member

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    50 miles north of Rochester, NY
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    Did I read that right? Rough math tells me the extra $300 that you "made" went up the stacks and therefore you donated time, risk and wear
     
    Last edited: Feb 21, 2017
    LoudOne and SL3406 Thank this.
  9. boredsocial

    boredsocial Road Train Member

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    Yeah... I don't work with people like you. Neither does any decent broker. You probably hate all of us because that vibe you're giving off is scaring off anyone who actually has freight worth paying to move.

    You've got a really bad attitude man. You need to realize that the brokers aren't your competition, aren't hurting you, and mostly deserve more than they are getting paid... just like you. I make what a broker SHOULD make but many are working for less than half of that.

    You need to ditch all these rules and learn to run a business. You'll definitely make more money.
     
    nax, LoudOne and rank Thank this.
  10. Mikesallah

    Mikesallah Bobtail Member

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    Yes, you read that right. My math is just perfectly right. Instead , it is the other way around for driving a 40, 000lbs load for 70 miles and spent 24 hours in your truck probably running that reefer at -10. You just got a whole day wasted for $700 whereby for me I just did a 10 hr day with probably a lighter load and less reefer fuel for a cool $1000 or more. And guess what? You are going to run harder with loads like that b4 the end of the week trying to make a good week because the 70 mile load is going to pay you just $200 if you think you are making money doing that. You will learn the hard way b4 the end of the week that loads like that will end of costing you more time, idle time fuel and money. You see , on average if you run your truck at 400 to 600 miles a day, you should just be fine without putting wear and tear on it unless you got a junk with you. As a good business person you should always look for freight were you can utilize your 11 hour day drive and maximize your earnings. But taking these shot runs, less money , more weight on your truck and probably wasting a whole day just doesn't make too much sense to me. I can run 3 loads like that in a week and make money while you, yourself have to run the whole week to make money. If you have a truck note you are toast. You see for me, I don't have a truck note and I just wait for the good paying loads and don't have to run myself all over to just make a broker happy. I make myself happy first b4 the broker. I have turned down load b4 for just a broker to come back and pay me $400-$700 more. This really made me sick about brokers, that huge of a difference is really disturbing to me. Especially TQL as one example, I don't even pick up their calls anymore cuz to me they are the scumbags of this industry. Like one time, they wanted me to take a load for them from Jacksonville, FL to Vineland, NJ for $1200 and I told them I won't move my truck for anything less than $2000. Guess what after hours of calling me back and forth they did end up paying the $2000. One thing about me when I am in an area I look at how may trucks to loads are available in the area and if you come on to me with the usual this area doesn't pay $2 a mile I just tell you to go find another truck but that load ain't going on my truck. Yes as a broker you should make money but trying to take 20, 30, 40 percent for doing nothing is absolutely disturbing to me.
     
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