Transparency of Broker's Cut, Does It Exist?

I have a pretty good deal with the man I work with the most. He will tell me what they have in it if I ask but no other broker will give me that info without lying about it.

 

Brokers are liars. I get the sob story " I am loosing money on this load" so many times that You would think they never make money.

 

Be hard to do when a lot of guys don’t have the slightest clue…

 

Are you forced to use their services?

 

Or better....
"That's all I got in it"

Meanwhile another Brokerage has it posted for higher

Scumbags.

 

This really illustrates the real problem with our industry, greed.

The owner has to run this like a business, not like a hobby where you get top dollar for everything in order to continue with the hobby.

This means as a hobby, you don't know what you will break even at or how much it will cost to sell an item or do a service but in a business, everything has to be known about your operating costs and especially what your break even point is.

When an owner solicite a broker for a load with a specific rate in mind, that rate has to be derived from the point of what the BEP is, not what they think they deserve because they are a big bad truck owner. If you tell a broker what you are looking for in a rate and they return with an offer, you take it, so at that point it doesn't matter what the broker makes, it could be making three times the rate and that's alright!

Why is that alright?

Because you as an owner need to set your own parameters and treat his as a business, not as a hobby.

When you get all pissy and upset because a broker is making money off of you, then you need to reevaluate your position in this industry because everyone has a hand in that pot of money in the industry, you are just one of many and the least important.

Without some brokers - there is no work for many owners, that's a fact.

TO try to demand they make a small margin is childish, it isn't you who did the work to get the load, it isn't you who has the financial responsibility to ensure the parties are paid, you just collect the load, drive it and collect the revenue.

What this industry needs in broker transparency is this - who originated the load and who is the responsible party for that load (for some of is it is called owning the load).

What I mean is when there are brokers who scrape loads off of load boards, repost them as their own with diminishing rates, and an owner/driver calls on them, we need to know before any negotiations take place who actually owns that load which prevents a lot of headaches. This will stop a lot of this crap where a truck isn't paid or a truck is stuck waiting for a broker who is not responsive and doesn't have any responsibility for the customer.

 

Alternative is to do the work the broker does and secure your own customer.