Becoming a partner carrier>

jjoerger · May 23, 2012

Does anyone have any info on how a 1 truck owner operator with his own DOT authority and insurance can become a partner carrier with the large expedite companies?
What are the requirements?
How long does it take to get paid?
Can you factor your freight bills?
Pros or cons.
I am not asking about being leased to multiple carriers but running as a true independent.

FlyingVan · May 23, 2012

I looked into it a while ago, and some of the larger carriers will not even talk to you. You have to be in business for so many years, you have to have a certain amount of trucks, etc. Not easy.

davekc · May 23, 2012

If you are going to be a "partner carrier" you will likely run for several carriers in order to maintain success.

jjoerger · May 23, 2012

This thought process developed from a conversation I had with another O/O about carriers requiring exclusive use, yet they broker freight out to anyone they please, sometimes passing over there own exclusive use trucks.

BobWolf · May 23, 2012

jjoerger said:
This thought process developed from a conversation I had with another O/O about carriers requiring exclusive use, yet they broker freight out to anyone they please, sometimes passing over there own exclusive use trucks.

Unlike marrage I belive business these days has to be an open relationship.

kwexpress · May 23, 2012

I do it with one van and one hotshot flatbed.panther took about 3 days fed-ex said 10 trucks 6 months in biz.tri-state took about 3 days.eclipse can get you going in a couple days.most just depend on you really if you fill out paperwork complete and send back your ins certificate at the same and its made out correctly then the process is painless.but if you do it there is alot of others that can hook you up in a matter of an hour.being new alot of the loads I haul are with brokers I have never done biz with before.they just fax you a packet fill it out fax it back real simple stuff.Landstar was 2 days to set-up but if you have an agent that wants to give you a load it will be done same day.and as far as factoring goes yes you can factor any bills but alot of companies like landstar will pay in 2 days.panther will pay in 7 I think maybe 10 to many different companies to remember them all .I use a factoring company on the ones that take more than 10 days to pay and the factoring company I use gives me 45% as a fuel advance on the com-data card as soon as I am loaded and pays the rest upon faxed pod.

Rocketman · May 23, 2012

If you have your own authority you have a better chance of aligning yourself with some of the more reputable carriers. Some of the same carriers who will not entertain a non-exclusive use lease will take on partner carriers who have their own authority.

If I were going to try the completely independent route, it would be with my own authority and partner carrier agreements for two reasons. One, you could hopefully work with more established carriers at better rates. Two, you would have the ability to market yourself directly to shippers.

My opinion and plan would be to have my own shippers near my home and use the partner carrier contacts to keep me moving while away from and back to my direct shippers.

As for payment, there are a few threads on here discussing the extended collection periods in this economy. You will be waiting a good while on most of your money from what I gather...or use a factoring service. The trade off would only be worth it to me if I could see a significant increase in rates.

jelliott · May 23, 2012

If you are truly running your own authority and insurance, you would need to contact the carrier development person at the company you want to haul freight for. As an earlier post said, many will not want to deal with a new or very small operation.

lugnut1 · May 23, 2012

jjoerger said:
Does anyone have any info on how a 1 truck owner operator with his own DOT authority and insurance can become a partner carrier with the large expedite companies?

Wow! JJOERGER, this could be a wonderful Memorial Day weekend thread. Be warned though, I may not answer exactly as you may want on all topics, but I have always believed a person learns and remembers more when there is a little give and take through the process of answering how do you something.

First, read the 3 company focuses below and tell me who the company is?

1.With our 38,000 shipments per business day, you’ll have plenty of opportunities. Choose from backhauls, headhauls, dedicated, seasonal, regular, and contractual freight.

2.We’ll pay you within 20 days of receipt of paperwork or within 48 hours—your choice. Upload your scanned documentation to expedite the payment cycle.

3.Our more than 8,350 employees in more than 230 branch offices are eager to help you become a contract carrier, find the freight that fits your business, and implement EDI, if desired.

paullud · May 23, 2012

It might be worth trying to find a company that pays a higher percentage of the revenue to you and gives you the freedom/responsibility of finding and booking loads. It will allow you to still have support as far as paperwork (logs, maintenance reports, etc.) but still chose the what, where, and how much. That is how the company I drive for operates, a driver with a truck and trailer gets 90% or there are lease and rental options. We run loads for different companies and brokers, right now Landstar is on hold because they don't accept insurance from OOIDA.

Sent from my ADR6400L using EO Forums

davekc · May 23, 2012

jjoerger said:
This thought process developed from a conversation I had with another O/O about carriers requiring exclusive use, yet they broker freight out to anyone they please, sometimes passing over there own exclusive use trucks.

Happens all the time. Some carriers may have a TVAL, lift-gate, credentialed, all matter. They will intentionally hold that truck ( LOCK) back for coverage with a certain customer. Meanwhile they broker loads out right next to where that truck is sitting. Exclusive use in many cases (not all) is just something they tell their drivers. "Double dipping" goes on all day long. Certain areas worse than others. Sometimes it is rate driven. A bargain hauler/bottom feeder will haul a load for well below a contracted rate to their own contractor. Carrier books the load at their tariff and gets it covered for cheap. Profit is a big driver for some of them whether their contractors do extended rot time or not.

Eric1 · May 27, 2012

what is the difference between leased on with a carrier while having our own authority (like some carriers allow) ...... VS...... being a "partner carrier" with your own authority ?

zorry · May 27, 2012

Dave, I'm with a carrier that loves to put a lock on you. It's up to the contractor to monitor the locks. Learn what the different locks are. You have the right to remove a lock.
You've got to figure out if you think it's good for you at this time/place.
Sometimes you gotta take one for the team.
Got to protect the customers.
Am I too naive ?

davekc · May 28, 2012

zorry said:
Dave, I'm with a carrier that loves to put a lock on you. It's up to the contractor to monitor the locks. Learn what the different locks are. You have the right to remove a lock.
You've got to figure out if you think it's good for you at this time/place.
Sometimes you gotta take one for the team.
Got to protect the customers.
Am I too naive ?

I don't really subscribe to the "take one for the team" concept. They are denying your ability to operate the minute they put that lock on there.
If the carrier is that confident that they must shut the truck down for the benefit of a customer, then they should pay you detention for sitting there.
If you were a employee in a company truck, you can bet they wouldn't leave that truck sit there without a sure bet. Why should you be forced to sit for free?