So called owner/operators
Discussion in 'Car Hauler and Auto Carrier Trucking Forum' started by Mr&MrsPete, Mar 26, 2016.
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OK, That's your version of it. I know most of the H & A guys including Louie. So comparing that to the attitude I see from you...You hand picked a barn full of you. Paying damage just to keep dealers happy? I call BS.
But whatever...I'm goin to play golf. Have fun chaining.passingthru69 Thanks this. -
Hansen's is what he said, Canadian carrier.skinnyb01 Thanks this.
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Everyone agrees that in car hauling world there is many bad loads,
- non profitable to the truck owner,
- on other words that are being done with no profit whatsoever to the truck owner
Question is why the big company is still taking 20% off the load knowing it's a f u c k e d u p load.
These 2 guys here are talking nonsense to anyone that is reading it, a business that is taking on a work with no profit is doomed business. Every load must bring profit, period. 's h I t left must be consumed directly by the one who took the contract, which in my opinion is a fraudskinnyb01 Thanks this. -
Ever load does have a profit. But like I explained earlier, profit to everybody is different. Everyones cost is different. Everyone is looking for a different profit margin. Industry standard in new cars is usually 20%. Most companies take their cost and add 40%. If they can put it on their company trucks they get the whole 40%. If they give it to a guy that is leased on, he gets 20% of the profit and the o/o gets 20%. If they give it to the subhauler they sell the load for what ever profit they can. Where the difference comes in is the cost. Big companies CPM or CPT is much lower than a single truck subhauler. Company is usually getting a huge break on truck purchases, insurance, fuel, tires,etc. That way when they start bidding, they bidding according to their cost not the subhauler. Reason for this is that they are ultimately responsible for the contract not the subhauler. So yes there is a profit built into every load. Otherwise the company would never make any company. Plus subhaulers don't have the cost of office space, office supplies, admin people (Terminal manager, Dispatcher, yard person). Those people have to be paid too. In my case, My new T/M is gonna cost me $60k per year, UP is charging me $1100 per month to have an office at the railhead. Then another $500 in admin charges. Subhaulers don't have that expense
passingthru69, SLANT6 and brian991219 Thank this. -
Adjust for real wear and tear and depreciation and many many loads are under water.
Mr Pete is talking like a recruiter.
It also varies, some companies are better than others. I don't know anything about his business but the rule of a thumb is that when you lease to an xyz company you will be doing loads with a loss.
And while you puff and huff and hussle trying to deliver load with a loss an xyz company is enjoying their 20%
So they don't care when they bid that 75% of the loads are shi t t y , they still cut 20% or more and b here on the forum they say it's OK, it 's OK guys, just take that cr ap of the table, they are hungry for 20%skinnyb01 Thanks this. -
Long story short when owner is loosing money they still make money by taking 20%
Dominion Transportation Thanks this. -
...and that 20% is where the wiggle room is found to make it profitable for me to do the run if it really has to get hauled. Figure slightly more of the total bill as "FSC" with slightly less as "freight" because I get 100% of the FSC but only my percentage of the freight. Accessorials are another way to increase what gets paid to my truck. I don't care how you make it look on paper, but if my pay for doing the run isn't going to exceed my costs, I won't be doing the run. Period. If you think it's so profitable, put it on one of your trucks. If you want me to do it, pay me enough to make it worth my while. I don't work for free.skinnyb01 Thanks this.
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Well looks like there 3 of us that aren't team players hey.
I wonder who he undercut to get this BIG contract he's bragging about. I'm sure there was a little money in it last year dunno about this year.diesel engine and Terry270 Thank this. -
Isn't that the truth. Everytime I hear someone new has the contract like they're something special I think to myself, wow I wonder how cheap these morons bid.skinnyb01 Thanks this.
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