Why does "backhaul" refer to cheap freight?

yeah i have tons to learn, but at the same time, i wont put myself at a disadvantage with someone im bidding with....i wont ever tell a broker "well I'm desperate for a load to get over in this area" etc. things like that that are common sense.

 

You are analyzing this way too much. Either you get the rate you want and take the load or you say no thanks, hang up, and call on the next one. After a broker sees your no-nonsense approach and you develop a rapport they will call you when they want something delivered on time with no worries.

Edit: What I mean by developing a rapport is that once you consistently deliver for a certain customer (broker) they will know what you will and will not do and what it's going to cost them before they even pick up the phone. Trust me, a business relationship like this benefits everyone involved. If you can develop good business relationships with several brokers and direct customers you will have a greater chance at success.

 

Exactly. The ones I work with regular know who I am when my number pops on caller ID. They know exactly where I live if they don't I tell them. Get the same rates for inbound as I do out. Now it's never a good idea for a random unknown broker to know this but my thing is and always has been, I do not need ANY given load and can/will go home empty. I price accordingly on what I do haul and never corner myself into a deadend. Sometimes that means round trip $4+ a mile to the truck or more. Most times I know what my reload options are and it's closer to $3 to the truck loaded. The thing is I WILL lay in the bed at the house if the rate is not to my liking and I ask with confidence when I ask for the high end rate. Let them know why and tell them it's ok if they can get it done cheaper be my guest. Move a lot of freight like this.. miss out on some too. But you know something, hauling those for less than I demand would have been the biggest loss. Cost me nothing to sit at home..

 

I agree with your philosophy and do quite a bit of spot market stuff sort of like what you do. But it's misleading to say it cost's you nothing to sit at home. If you figure 700/month insurance, 2500/yr plates, 550/yr highway taxes, 76/yr UCR, 200/yr drug consortium, I pay 45/yr to OOIDA, 250/yr to NASTC, 120/yr internet fax service, 120/month phone and mobile internet, 70/month load boards, and another 300/yr truckstop internet. total this all up and you get $40/day on 31 days per month, and $62/day if you figure weekends off. Now, if you have a loan with a $2000/month payment that would be an additional $65/day on 31 or $100/day figuring weekends off. I know you probably calculate this into your mileage expense, but truly they are timed expenses, not mileage. You are paying these things when you are sitting at the house. As much as $162/day. Especially guys with loan payments you can see why sitting and waiting for the better load may not be the best option for everybody.

 

I spent about 12 days at home in November and grossed $16,000 and over $2 a mile to the truck. That time off cost me nothing. I could have worked but I didn't want to. When you think it cost you to sit you will naturally roll for whatever rate because it's the WRONG mentality that "those wheels must be turning". Guys who think like that don't do as well. Picky pays off.

 

I disagree. I certainly don't roll for "whatever rate", but at the same time I know my timed costs are $105/day. This doesn't mean I have to jump on a cheap load just because it's 3 in the afternoon. But what it can mean is if every load I'm calling on is offering $1.60 - $1.80. I may be better off to grab a $1.80 load to a better area than to wait for that $2.40 load which may or may not pop up the next day.

 

I remember when fuel was under a buck and $2 a mile was a good thing

 

On the backhaul thing, of course they know where you live. They have to check your authority anyways, not sure how most brokers do it but you can just type in the MC# here http://www.dotauthority.com/status.htm and it will tell if the authority is active and where you're from.

That's why I try to network with other owner-ops. Chances are I am getting offers and rates from IL to where you live that you are not seeing, and you are getting offers on loads from where you live to IL that I don't get.

 

I know of guys that will work for 4 weeks with only 3 or 4 days at home that would consider $16k on less than 7,000 miles a decent month. I spent almost 2 weeks at home and made that in a month. Being picky, choosy and working smart I worked less made more, covered all costs for the month, day to day... I lost nothing sitting at home. Rolling would have had me earning less per mile in those 12 days and working harder for it. You're thinking inside the box... ...must generate x revenue per day... instead of being patient and looking at the big picture...

 

My loaded mile rate is close to $4 a mile. I deadhead a LOT. $2 is cheap on loaded miles only.