Why pay Landstar over 30% of the load when you can have 100% with your own numbers?

Oh, so that's not a quote for your own numbers. I knew that was too low for a new entrant authority.

 

Like @Dave_in_AZ I pull van for LS. We do a couple of things different. He runs a LS trailer I own my own. My trailer earns me an additional 7%. of line haul. Over the span of a year totaling up "the Booked value of the freight" and "the Money that gets paid to the truck", my to the truck revenue worked out to about 75% the booked freight value.

So what do I get for that 25%? I would say they save me over a day per week in office, admin, and phone call work.....

They handle the government B.S. that I have zero inclination to deal with. I do not have to hustle home to deal with a DOT/CSA audit.

They pay the agents that find freight for me to haul. They are called agents cause they are supposed to represent the carriers (Landstar B.C.O.s) and get them gigs.

They pay me so I do not have to do strong arm collections.

They do not give me any crap about taking several week long breaks throughout the year and running under 100k miles a year. Heck they even maintain good relationships with shippers while I do my real life thing.

 

That's why my dad is leased for the moment at least. Lot less hassle and still makes out good because his company doesn't move the cheap stuff

 

Does Running your own van for LS lose you a lot of drop/hook stuff...?

Just asking...

 

Yeah but its not factoring, but it's being paid.

let's say you have five loads you did for a broker who then decides to screw you over the work, that's a lot of money and if you factor it out at say 5%, and they can't collect, then you get those loads back and owe the factoring company.

You now have to chase that money or take a loss.

You lease to a company then it is their problem to get that money, not yours.

Also the time involved costs you downtime. You can't be chasing while driving.

Albeit the costs are higher than they should be, I think 20% at most is what you should be paying but this system also has a lot of access to freight and if you leverage that access right, then you will make that up.

 

Dave when did they start charging for cargo insurance?

 

The last 15 years of my career,I was with Landstar Inway HH,and the last 5 years,as I was winding down into my retirement,I ran less than 10k miles a year. No issues,If I didn't work for a month or two,someone from LS would call,just to make sure I was still kicking.
Learn their system,figure out how to make money,keep your nose clean,do as you like. Was a great operation for my lifestyle. Old contract,got 74.5%.

 

Do LS guys get burned by brokers or freight agents?

 

Not a clue, only been here a year.

 

By burned, you mean screwed up loads?

Yes. Typically it's a fly by night agent. I've had two that were AFU, and pretty much knew it just by talking to them. So I kick myself for that.

By not getting paid? We always get paid. Once freight bill is issued, you're covered. I mean if the load cancels you're just gonna get a TONU. But once you've loaded it, as long as you deliver it, Landstar is going to pay you. They deal with money part with the customers. LS is the bank so to speak.
And the money flows, believe me.