I don't think it needs to be a law, simply because we are lawing ourselves into some pretty narrow spaces in this country. I do think it would be cool if someone started a load board that was based on total transparency. If the trucker, the carrier and the broker all knew exactly what each was making off of a load, it would drive some of the jerks out of the brokering end of it in a hurry. As it stands, you do have the right to see the broker's invoice to their customer after you have delivered. Probably would be a time consuming process to obtain one, and there would be brokers who didn't believe that- but it is true. I would have to research it more to tell you if there is a time period that has to be observed or anything like that, but I do know it is your right. No one ever asked for this where I worked. I wondered why. It may not get you any more money in the short term, but you'd know what you wanted to ask for next time. If a broker was a real jerk, they'd probably not want to load you again though.
There should be a law... rates on load boards
Discussion in 'Freight Broker Forum' started by windsmith, May 28, 2012.
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I've found that brokers are holding back roughly 30% on what they're quoting when you call.
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There was a article years ago in a land line type magazine that has stuck with me. It was about a guy that moved a ltl one pick two drops.(plus what ever else he had on his trailer) Wanting to say it paid $2500 to the truck. There was a issue at delivery & the truck owner had to do some digging. Anyway, it was gov't freight that he later found out paid $6500 to the broker. So brokerage grossed $4000 compared to the trucks $2500. Like I said, this was a few years ago & do not remember all the specifics other than the dollar split.
While you guys are correct that no one forces a o/o with their own authority to move freight for any particular dollar amount. If there was transparency in the orders(shipper-broker-3pl-carrier), I would think rates to the truck would have to improve. Too much cheap crap gets moved based on load board stats, ignorance & games played by brokers.
Have had friends that were carriers, then brokers on some level & 45% of gross was the target number to keep in house. -
I was a broker - just thought it might actually be nice for trucker and carriers to know they weren't being ripped off, and might get rid of those brokers for whom ripping off is the goal. But maybe that's a bad idea? It was a thought I had. Something to explore- go ahead and point out any pros or cons, because I'd like to know why you think it isn't a good idea too.
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Maybe I'm different but if I make what I want on a load, I don't care what the broker made. We're all doing this to make money, who am I to say how much someone else should make. One guy might think a broker should only make $2.00 on each load, others might think $2,000 is fair. I just laugh when guys think these brokers are on the beach somewhere with a laptop posting loads while sitting on a pile of cash. Lol -
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But there is whole lot of guys on here that say, Oh I don't care what they make, as long as I made enough on this shippment I got a good deal. Does anyone go out shopping like that? I don't care what it cost, as long as I got enough money to pay for it thats all that matters. Or I don't care what the shop is charging me for this repair, I'm sure there giving me a good deal on this.starsonwindow Thanks this.
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