What do Brokers get paid?

Discussion in 'Freight Broker Forum' started by b1234, Jul 8, 2019.

  1. b1234

    b1234 Bobtail Member

    1
    0
    Jul 8, 2019
    0
    Hello, I have a trucking company, my own authority and run several trucks. I have a broker friend who has put together some freight deals and charges me 15% of the gross loads. Is that percentage too high? Say the load is $6000, I pay my driver 25% of that which is $1500, I pay the broker $900, and I take home 40% to cover fuel, taxes, truck expense, insurance, etc. Wondering what you think the broker should be getting?
     
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. mp4694330

    mp4694330 Road Train Member

    1,526
    1,453
    Aug 30, 2010
    Chicagoland
    0
    Are You happy from that deal ? Compared to others deals around You ? If yes I would not worry one bit what he is making.
     
  4. kranky1

    kranky1 Road Train Member

    2,253
    8,843
    Sep 16, 2015
    Ontario, Canada
    0
    Theres no way to tell how much he’s making. I ran a brokerage for a couple of years in the 80’s. It’s a filthy racket. Brokers are bottom feeders, and as big a problem as publicly traded mega’s, if not bigger. Here’s an example. I book a load that pays $4.00/mi. Decent money so I have some room to make some for myself. I book the load through a numbered company I also own, knock $2.00/mi out of it, and broker the load to myself through my primary business. Then I broker the load to you at 80-85% of the $2.00/mi. You only see the PRO bill for the $2.00/mi and have no idea what the shipper actually paid. That’s only one scam they run. So, you tell me how much he’s making.
     
    Badmon, Avrakotos and Lite bug Thank this.
  5. kranky1

    kranky1 Road Train Member

    2,253
    8,843
    Sep 16, 2015
    Ontario, Canada
    0
    My partner and I run 5 trucks of our own and have 2 Lease Op’s. I won’t deal with brokers. Yes we haul 3rd party freight, it’s near impossible not to anymore, but we only deal with originating carriers. I just feel that you need to own and operate trucks and employ truck drivers before you go sending out invoices for transportation.
     
  6. Western flyer

    Western flyer Road Train Member

    2,807
    6,785
    Mar 13, 2014
    0
    A lot more than drivers,for half the work.
     
  7. 86scotty

    86scotty Road Train Member

    3,930
    10,222
    Aug 27, 2017
    Appalachia
    0
    That's like asking what a truck driver gets paid. There are a million different types out there doing a million different things and also go-getters all the way down to lousy ones in every niche. You could spend a life trying to answer this question and still never know. An ambitious independent with experience and good contacts probably makes 2-300k a year just like a really top notch owner operator but the ones who answer the phone at the big 3pl's probably make 50 or less. They aren't actually brokers, they work for a broker.
     
    Mattflat362, Lite bug, PPDCT and 2 others Thank this.
  8. brianv31

    brianv31 Light Load Member

    198
    513
    Mar 5, 2010
    IL I-74 mile 149
    0
    As much as the broker can get, every time. It's the same as your business operating trucks. I would hope you try to get every dollar you can on every load too. There's enough loads that "trucking" happens, and you've got to make every one as profitable as you can. We can sit here and debate what a broker is worth, and perhaps there's many times a trucking company takes a brokered load at less than what a broker will pay to have it moved, but shame on every one of us if we don't ask for a better rate every time than what's posted or offered 1st. As the initial response was given, if you're happy with the rate you get, what does it really matter?
     
    shanman, Badmon, Mattflat362 and 3 others Thank this.
  9. Moonpheonix

    Moonpheonix Bobtail Member

    1
    0
    Dec 17, 2021
    0
    Hello i al
    New here and am thinking of buying a truck could i pick your brains for some information?
     
  10. scoobertdoo

    scoobertdoo Road Train Member

    1,512
    2,599
    Nov 11, 2020
    0
    Did you found landstar? LOL
     
    Avrakotos Thanks this.
  11. Avrakotos

    Avrakotos Medium Load Member

    366
    579
    Jan 22, 2020
    BC
    0
    I was thinking the same thing...."Then I broker the load to you at 80-85% of the $2.00/mi.

    Yep sounds just like some real deal bottom feeder Landstar/Glendale Gang shenanigans right there.....
     
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.