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carrier/ o/o agreement

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SNAPPERS TRUCKING

Rookie Expediter
hello, been a independent o/o for over a year now. I know not long compared to a lot of you independents. have a few god brokers I've been getting good freight and good rates. and some that take more negotiating... I've been having to turn down a lot for only having one truck. so thought it might be time to increase my fleet. I only an a a o/o for one other carrier before and found a bad one. still owes about 4 grand to me tax rite off I guess by now. but the question here is what is a fair breakdown for percentages and responsibility for both parties. plates, and such. looking for info on what you all think is good rom both sides

thanks
 
paullud

paullud

Veteran Expediter
What kind of vehicles are you referring to?

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paullud

paullud

Veteran Expediter
If you are a small operation then I would take a smaller percentage than the big boys. I currently work for a small company pulling an RGN and they take 10% of the gross for loads I book which is the case 99.9% of the time or 13% if they book the load. They are completely willing to find loads for you full time but that's just not what I want, I like doing my own thing. If I were you I would try to be somewhere in that ballpark as long as they are paying for everything else. If you are fronting money for base plates, fuel, permits, etc then that should certainly come with a cost. I might be closer to paying 80-83% depending on how much I had to cover because paying those costs comes at a risk for you. Ultimately you would have to decide based on how much skin you have in the game. If you sign a guy on and he has paid his expenses then taking 10% is completely reasonable for both parties because every load he runs is money in your pocket. If you have to factor the loads to pay him weekly then it would cost you half the money you made but it still works out well for both parties.

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