You neither what? you don't run for less then $1.80?

 

I know the feeling when you get screwed but I'd like to keep a good relationship with them. I bought the trailer with their cards and not only was $20,000 on 0% for 12 months but I got several hundred cash back for the purchase.

 

I know you weren't disrespectful with this comment but I think this is why people don't put their rates cause someone is always doing better. Again I know you weren't saying that or in that vain so I mean no disrespect neither but I'm hoping for some more feedback. Do you run reefer?

 

Just to add more confusion about the fuel surcharge I just found the following from an old 10Q from Swift:

our surcharge programs vary by customer


I wish I had a team of accountants and finance people advising me in this like they do. Of course the wife has the Series 4,7 and 24 but she doesn't know anything about trucking.

 

Thanks Big Diesel. You know I'm kicking myself in the rear cause the other day I made a delivery and I got to talking with the people there and when I left he made the comment to come back again and sorry he couldn't send me out with something. I was in a hurry but I should have stopped and left my info and at least got him to clarify what kind of areas he shipped out to.

But I guess that's the key to establish yourself with shippers. These load boards are something else.

 

Carry your little black book and always get #'s of shippers and receivers.
Sometimes they come through in a pinch.

 

Merrick,

Unless you do a regular run with a given broker with which you have established a rate, you have no need for the fuel surcharge. The FSC adjusts the rate up and down based on the current price of fuel. Since you are only doing one run on that day, the FSC does't exist for you.

Let's say lansdstar needs your truck this one time to show up at a shipper. there might be 5 LS trucks there and you. The LS guys that do this run all the time might be getting 1.35 + .20 FSC. You might get $1.55 + 0 FSC.

 

What this says to me is that the brokers are keeping all the FSC that they are getting from the shippers(believe me they are getting it) and they are not passing it on to the carrier,this is because their is always someone to haul the load,someone wants to go home,someone wants to keep moving for the weekend,someone needs to make a truck payment next week,or some just doesn't know how much it takes to operate the equipment.Or all the above.

I think you need to get with some shippers and cut out the middle guy,this will take some time and some patience,and hopfully you can survive during this period.

The reason the brokers are telling you that the fsc is in the rate is because they don't want to tell you that it pays .95cpm plus 27% fsc,people would be less likely to to take the load if they hear .95 cents,but if you hear $1.30 it sounds alot better.It's not but perception is reallity.

I wish you the best,but I think that things are gonna get pretty serious this winter and I hope things will work out.

As far as posting your numbers I think that is a great thing,just wait until you run the load then add in all the miles to and from shippers and receivers including deadhead miles to give a realistic picture of how things are going.

 

Thanks Mike. You know I was thinking, I remember the first time they got me $1.30 and I refused to take it but with time they got me use to it cause I trusted this guy (and it still doesn't make sense why he did what he did). It got to the point when I hear anything over $1.30 now it is great but I will get out of that.

I am not hurting to pay the bills. The wife makes good money and I have everything set up to manage. I know this will take time and I am actively seeking either my own shippers or even better my own product to haul.

I know that they are getting the fuel surcharge and it kills me to think that for a reefer I believe it is now $.34 so a load of $1.40 is really $1.06 and obviously that's not worth having my own authority.

I'm hoping that from out West to East I will do a lot better. Just a few times dealing with these brokers and I see Pepe's frustration (where is Pepe?). They were litterally offering me $1.19 to go to California. That's insane.

One thing is I am proving to be a reliable carrier and I am getting a lot of positive feedback from these people. That's all I have to offer is good service. I told the broker at CH that I will not compete with the $1.00 a mile trucks as they will not be in business long. They want a cheap truck, there is a ton of those. They want reliable service, well they need to pay for it. If they have sense they will choose the latter. It's easy to lose a customer which may take years to obtain. I'm hoping that's how they see it anyway but like you said there is always someone trying to get home.

Thanks again Mike.