Nayone has their own authority pulling staright truck non cdl freight?

greg334

Veteran Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

Just trying to get a sense for the thinking behind the question. There are a number of business models in expediting. I was hoping to learn more about this one.

Learn about what? Not getting a CDL is an easy and a affordable way to enter the business Phil - you already know that..But because you have me on the ignore list, you won't read this.....


Henboy,
I would seriously think about getting your brother a Class A somehow unless Landstar is against that. They may allow him on board with your present truck/trailer and you may have a lot more work with it than changing altogether.
 

henboy1

Expert Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

Henboy- I think the first thing you should do is call some insurance companys and find out if you can insure your proposed venture. I had to search long and hard and spend big money to get my son-in-law insured so he could operate under my authority( he was 23 at the time and had 5 yrs with a CDL A, no accidents, or tickets. Price went way down when he turned 25.
Also, having your own authority is NOT like leasing to someone. Be prepared to handle volumes of paperwork like you've never seen before. Miss an important deadline and have your authority suspended. Show up at an FMCSA audit without the right paperwork and get reamed out by the auditor(and possibly have your authority pulled). I took 2 large file boxes of paperwork with me on my first audit. I run 2 TTs under my own authority and I spend a minimum of 10hrs a week doing paperwork, billing, dispatching, bidding on loads, etc., etc., etc. I don't do any driving myself. Having your own authority makes you 100% responsible and accountable for EVERY aspect of your operation. Of course, you could hire someone to do all of your paperwork(for a fee) but you will still be responsible.
Then there is the issue of finding loads. If you bid on lanes you will probably get rejected because you don't have enough trucks. So you wil be doing the broker thing or using 3PLs like Landstar. Guess what. Now your doing what you did before. Paying a cut and being at the mercy of someone else. And in some cases waiting 6-8 weeks to get paid.
When there were 20 or 30 loads available for every truck out there you could be fairly successful. We haul steel and its been estimated that at the moment there are only 1 or 2 loads available per available truck in Ohio. This makes for some stiff competition and low rates. And the big guys get most of them. I've bought two more trailers so I can handle other freight. I'm not taking any pay myself so I can pay my guys. I have to kiss a** all the time get loads. We've been keeping the TTs spotlessly clean, and the guys wear clean uniforms and act extremely professional at all times(kiss a**) just to project a more professional image. This way we get requested sometimes. And we are trying to squeeze every bit of fuel out of these trucks. Tough with C15s.
The only times that LTL has done us any good is if we have room on a full truckload for it and we just look at it as a bonus. Very hard to make money doing LTL(for us anyway). We will also do them for fuel money occaisonally but only if its very little hassle.
If I have discouraged you a little, I've done what I intended, because I think you need to do some homework before you jump in. It WILL be tough in this economy.
I forgot to mention that it would be real nice to have 20-30K stashed somewhere to back you up in case of emergency. Or a Sugar-Mama.


I am aware of most or all of your cautions about getting ones authority.This discussion is pretty much moving away from the original post but we have both decided that he might need to get his CDL and my insurance agent is saying that if he wants to drive either a CDL or no CDL truck he will need to get his own authority and insurance.

Beyond the scope of this topic, I have been approved for the authority.I now have the MC# and the same USDOT# I had when I first got my base plate at IRP.I even have the IFTA stickers and the insurance cert.I am waiting to do the UCRs(single state permit) on wed.I also need to join a drug consortium at CONCENTRA medical and get the MY KYUs and NM stickers.My first month in running will be factored bills and then I will wait on payments in about 30days at most.I have already talked to D&S factors and Apex.
My next task is to sign on with Schneider, Landstarbrokerboard,Ch Robinson,TQL and eflatbed.com.I already have an ITS account.

There is nothing to it about running your own authority except maybe the IFTA paperwork,getting paid in 30days,brokers that will not pay(but I will check their credit through RTS)and being responsible for your own actions.Landstar was good to me but I cannot keep going with this company when they nickle and dime on every paycheck.Last year they took out $3600/yr in settlement deductions while running my own #s will cost $4039/yr in insurance(I left $1000 down and $345/month for 1million liab, $1,00,000 cargo and $30k collison).Even with the $3600/yr deductions with Landstar, I ran my own base plate and those deductions did not include collsion coverage.
My wife is about to have twins and I have to look out for my family and not messing with a company that I sometimes end up in many dead areas that I cannot find freight from their intranet.
 

pjjjjj

Veteran Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

... my insurance agent is saying that if he wants to drive either a CDL or no CDL truck he will need to get his own authority and insurance.

Why is that? You should be able to add another OO onto your policy?

henboy1 said:
My first month in running will be factored bills and then I will wait on payments in about 30days at most.

What leads you to believe you will receive payment in 30 days? Why will you need to factor your first month, and not after that? If you can't make it for 30 days waiting for your receivables to come in for your first month, how will this be possible afterwards? Are you counting on the ability to last the next 30 days to come from the profit you will make in your first 30 days?

henboy1 said:
My next task is to sign on with Schneider, Landstarbrokerboard,Ch Robinson,TQL and eflatbed.com.I already have an ITS account.

You realize you will be getting the runs their own people can't do, right? Freight is down, people are hungry. How much excess will there be? And how much will it be paying once it hits the boards where any number of trucks can compete for them?

henboy1 said:
There is nothing to it about running your own authority except maybe the IFTA paperwork,getting paid in 30days,brokers that will not pay(but I will check their credit through RTS)and being responsible for your own actions.

Don't forget the part about searching for loads, making superquick phonecalls to get loads, negotiating loads, filling out reams of paperwork. Will you be doing this as you are driving? Will you stop on the side of the road while on your way to a dropoff, to make the call for your next pickup?

Do you know how much time it takes between seeing a load, checking credit, and making the phonecall? Sometimes those few seconds it takes to check credit can equate to losing out to someone quicker, or someone who isn't doing their due diligence before bidding.

Sometimes the credit history that shows is not exactly up-to-date, and even if it were, things can change pretty quickly, especially in this economy.

henboy1 said:
.... I sometimes end up in many dead areas that I cannot find freight from their intranet.

And you believe it will be easier to find freight from the other sources, the same sources piles and piles of other trucks are also using, perhaps many of them already established carriers who already have relationships built with many of those brokering the loads?

Like previous posters, I don't want to rain on your parade, but it's just not easy out there, and it's especially not easy if you're going to be a brand new, unknown. Be sure not to burn any bridges.
 

henboy1

Expert Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

Why is that? You should be able to add another OO onto your policy?



What leads you to believe you will receive payment in 30 days? Why will you need to factor your first month, and not after that? If you can't make it for 30 days waiting for your receivables to come in for your first month, how will this be possible afterwards? Are you counting on the ability to last the next 30 days to come from the profit you will make in your first 30 days?



You realize you will be getting the runs their own people can't do, right? Freight is down, people are hungry. How much excess will there be? And how much will it be paying once it hits the boards where any number of trucks can compete for them?



Don't forget the part about searching for loads, making superquick phonecalls to get loads, negotiating loads, filling out reams of paperwork. Will you be doing this as you are driving? Will you stop on the side of the road while on your way to a dropoff, to make the call for your next pickup?

Do you know how much time it takes between seeing a load, checking credit, and making the phonecall? Sometimes those few seconds it takes to check credit can equate to losing out to someone quicker, or someone who isn't doing their due diligence before bidding.

Sometimes the credit history that shows is not exactly up-to-date, and even if it were, things can change pretty quickly, especially in this economy.



And you believe it will be easier to find freight from the other sources, the same sources piles and piles of other trucks are also using, perhaps many of them already established carriers who already have relationships built with many of those brokering the loads?

Like previous posters, I don't want to rain on your parade, but it's just not easy out there, and it's especially not easy if you're going to be a brand new, unknown. Be sure not to burn any bridges.

Your advice is well taken.So tell me something,put yourself in my shoes and tell me what I should do.remember, the wife is 8 months pregnant and I am the bread winner.So you are with Landstar, you find your own loads on Landstaronline.com and also take into consideration their deductions I just mentioned above compared to the quote I signed up for.Out of atlanta and on their load board within 100 milesradius there are 12 loads posted withing the last 3hrs (flatbed/stepdeck freight) compared to the countless options I have running my own authority.So let's say freight is down and you need to be home everyweek to see your family but you are dealing with a loadboard with only 12 loads that may put you on the road for another 2 weeks before you get a route closer to home.They pay on PC miler miles and not HUB miles compared to the loads when you run your own authority.You deadhead more to get to a load with Landstar.Landstar is the closest thing to running your own authority.They make you pay for your IFTA,base plate, deadhead,bobtail,occupational hazard,transflo,permits($210/yr),adv. state tax,Comdata usage and others.
Not that I am saying running under your own authority easy and I know the paperwork involved is a lot but I will trade that with what Iam dealing with now.I am factoring my bills now to get enough cash for fuel that will run me until the 30 day payments start coming in.
Besides ITS and RTS credit check which other credit check sites do you guys use?
 

BillChaffey

Veteran Expediter
Owner/Operator
US Navy
Please forgive my Ignorance. Could someone explain the meanings for - UCRs, KYUs, NM, D&S factors, IFTA, IRP.
Thank you for your indulgence.
 

pjjjjj

Veteran Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

.... So tell me something,put yourself in my shoes and tell me what I should do.

-Before you close any doors, sign up for some of those loadboards to see how many actual loads there really are for you at any given moment, compared to what you have access to right now.
-Talk to many others who are driving the same type of ride as you, including independents. See how they're doing; see if any potential opportunities present themselves.
-The issue of having to be home every week will be an added problem to deal with, no matter who you are with, including yourself independently;
-I'm wondering if it might serve you well to look into a carrier who will not only offer you loads, but will allow you to also find your own loads under their authority (Panther comes to mind). (I'm not sure if LS allows you to do this?)
-I'm confused about the $3600 you say LS collects in various fees from you.. are you saying that is the total they deduct, for an entire year.. and that this is a problem because you can get your own insurance alone for more than that? Don't forget to add onto your side of the equation, the cost of any loadboards you sign up for, (some are hundreds per month), and the cost of factoring, various permit costs, some things have additional signup fees, etc. If I'm understanding that correctly, it could be that $300/month including insurance, turns out to look pretty attractive.
-Perhaps look into a dispatch service, or the possibility of sharing costs with another independent.

I'm not saying there aren't a billion reasons why it would be nice to run on your own. I'm just saying you might be trading one set of issues for another set. If times were plentiful, I wouldn't hesitate to say 'great idea', but times aren't plentiful.

That said, I am not familiar with how much freight there is out there for your type of application in relation to how many of your type of truck are available; it could be that you might indeed have more opportunity with a flatbed/stepdeck independently than you have right now with LS. Be sure to check all possible options out before making a move.

To say there are only 12 loads posted for your type of vehicle, within the last 3 hours, within 100 mile radius of where you are, actually sounds pretty good to me?

If those 12 loads take you to somewhere where you know you aren't going to get home to see the family for a couple weeks, I think you need to decide what has to come first right now. Of course your family should come first always, but if that's going to mean you will put your family's financial welfare at stake, perhaps this should be re-thought until times are better.

Another thing that is causing me to hear and see bells and red flags, is that you are/will be factoring to pay for fuel while you wait 30 days for payments to come in. Again I ask you why you believe you will be paid within 30 days. What people say, and how things turn out, are often 2 different stories. It sounds like you are not in a position of having a large cash reserve at the beginning of this new venture, and I believe it's mandatory, at least for success.

I can't offer any possibilities for credit check companies as I am in Canada, but the issue is not which credit-check company, the issue is that even if you check credit ratings and things appear to be ok, it might not be up to the minute accurate at any given time. Are you prepared and able to be stiffed here and there?
 

aukinet

Seasoned Expediter
The best credit check co I've seen so far is called "First Advantage". They publish the "Gold Book" of brokers. They will also credit check companies that ship with individual carriers. If you are a broker in the Gold Book you have to adhere to certain standards. You can find out pretty much anything you want about brokers and shippers from them. You can also get lists of shippers in various places if you want to do some cold calling. Their prices are pretty reasonable with different levels of service. They are at First Advantage. Might I also add that getting your authority is the easy part.
Dave
 

henboy1

Expert Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

-Before you close any doors, sign up for some of those loadboards to see how many actual loads there really are for you at any given moment, compared to what you have access to right now.
-Talk to many others who are driving the same type of ride as you, including independents. See how they're doing; see if any potential opportunities present themselves.
-The issue of having to be home every week will be an added problem to deal with, no matter who you are with, including yourself independently;
-I'm wondering if it might serve you well to look into a carrier who will not only offer you loads, but will allow you to also find your own loads under their authority (Panther comes to mind). (I'm not sure if LS allows you to do this?)
-I'm confused about the $3600 you say LS collects in various fees from you.. are you saying that is the total they deduct, for an entire year.. and that this is a problem because you can get your own insurance alone for more than that? Don't forget to add onto your side of the equation, the cost of any loadboards you sign up for, (some are hundreds per month), and the cost of factoring, various permit costs, some things have additional signup fees, etc. If I'm understanding that correctly, it could be that $300/month including insurance, turns out to look pretty attractive.
-Perhaps look into a dispatch service, or the possibility of sharing costs with another independent.

I'm not saying there aren't a billion reasons why it would be nice to run on your own. I'm just saying you might be trading one set of issues for another set. If times were plentiful, I wouldn't hesitate to say 'great idea', but times aren't plentiful.

That said, I am not familiar with how much freight there is out there for your type of application in relation to how many of your type of truck are available; it could be that you might indeed have more opportunity with a flatbed/stepdeck independently than you have right now with LS. Be sure to check all possible options out before making a move.

To say there are only 12 loads posted for your type of vehicle, within the last 3 hours, within 100 mile radius of where you are, actually sounds pretty good to me?

If those 12 loads take you to somewhere where you know you aren't going to get home to see the family for a couple weeks, I think you need to decide what has to come first right now. Of course your family should come first always, but if that's going to mean you will put your family's financial welfare at stake, perhaps this should be re-thought until times are better.

Another thing that is causing me to hear and see bells and red flags, is that you are/will be factoring to pay for fuel while you wait 30 days for payments to come in. Again I ask you why you believe you will be paid within 30 days. What people say, and how things turn out, are often 2 different stories. It sounds like you are not in a position of having a large cash reserve at the beginning of this new venture, and I believe it's mandatory, at least for success.

I can't offer any possibilities for credit check companies as I am in Canada, but the issue is not which credit-check company, the issue is that even if you check credit ratings and things appear to be ok, it might not be up to the minute accurate at any given time. Are you prepared and able to be stiffed here and there?


Your advice is well taken but you are not telling me anything new that I am not aware of.I said a few times in this thread that I have logged on to internettruckstop.com.I even have membersedge account(OOIDA), getloaded.com,Schneider brokerage account,CRST,Eflatbed and CH Robinson account.There are numerous loads out there compared to Landstars'.I have been reaserching on getting my own authority for the past 4years.Anyone running under Landstars' authority can pretty much make it on their own without a truck payment because Landstar is as close to running your own authority.Even if I sign on with a company like MERCER or CRST, I believe they will let you get your own loads and broker it through one of their agents.If that broker you found is not set up with CRST,Landstar or Mercer, the process will take longer and guess what, they will take their cut.About a year ago, me and a few BCOs(business capity owners) at Landstar wanted drivers for our equipment, we kept sending in drivers to apply with Landstar.Landstar kept turning all the drivers down.My point is .........it is hard to get a driver hired on with Landstar and as I plan on buying a second truck next year I want to have the ability to run a drivers MVR,criminal background and credit check myself before feeding him to my insurance agent.
 

pjjjjj

Veteran Expediter
Please forgive my Ignorance. Could someone explain the meanings for - UCRs, KYUs, NM, D&S factors, IFTA, IRP.
Thank you for your indulgence.

The first 3 are some of the permits needed to run in certain places, IFTA is regarding fuel tax reporting that larger trucks must do, IRP is plates that larger trucks must have, and D&S is a name of a factoring company.
Yur welcome, happy to indulge ;}

D&S Factors : Where Truckers go for Cash!

IFTA, Inc.

Step #2 - How to Get Your IRP Apportioned Plates
 

pjjjjj

Veteran Expediter
Re: Nayone has their own authority pulling straight truck non cdl freight?

... I said a few times in this thread that I have logged on to internettruckstop.com.I even have membersedge account(OOIDA), getloaded.com,Schneider brokerage account,CRST,Eflatbed and CH Robinson account.There are numerous loads out there compared to Landstars'.

Sorry henboy, I guess I missed that part where you said you already had all these things and had already been logging in, and already know there's more for you out there than you are seeing via LS; I won't argue with you. I was just putting out a caution that it'd be wise to check it out first.. but you've already done this.. so, good! Best wishes for every success in your new venture.
 

henboy1

Expert Expediter
What is an Inway??? Is that like a Henway???

Let me answer your question in two different ways with different approaches.

1.Landstar has Ligon,Inway,Ranger,Gemini and express.I maybee missing one more.There is nothing within Landstar called henway.

2.Since you may have too much time on your hands, my name is Henry Tannor and that is where I got the handle from.I have never in my life seen a blue jaybee, then again it maybe in some movies.Keep holding that steering wheel.
 

bluejaybee

Veteran Expediter
Let me answer your question in two different ways with different approaches.

1.Landstar has Ligon,Inway,Ranger,Gemini and express.I maybee missing one more.There is nothing within Landstar called henway.

2.Since you may have too much time on your hands, my name is Henry Tannor and that is where I got the handle from.I have never in my life seen a blue jaybee, then again it maybe in some movies.Keep holding that steering wheel.

Hehehe!...Never been in a movie to my knowledge.

There is a thread where alot of us told how we came by our online names.

Appreciate your humor. It helps to have some(humor) around here. Hehehe!
 

henboy1

Expert Expediter
Got my authority and rolling.

Hehehe!...Never been in a movie to my knowledge.

There is a thread where alot of us told how we came by our online names.

Appreciate your humor. It helps to have some(humor) around here. Hehehe!


My authority was approved by the FMCSA on 6/5/09 and cancelled my lease with LANDSTAR on 6/26.My commercial insurance is cheap and I will not complain on the rate.
I then signed on with the major 3PLs and they include:
SCHNEIDER BROKERAGE
LANDSTAR APPROVED CARRIER
PITTSBURG LOGISTICS
GTO2000
CH ROBINSON
ITS
MEMBERSEDGE
BENETT MOTOR FREIGHT.

I did a couple of local runs in GA and then started going OTR.This is my 3rd OTR trip and it is exactly what I expected.yes, the paper work is headache.I just did my first IFTA and KYU taxes.Fax,email and scan a broker your w-9,insurance and cert. of authority and then check their credit rating out.No surprises, I expected all this.Hopefully I can sit back and dispatch someone when I get my second truck next year.yes, the rates are horrible but so far, I have hooked up with 2 good brokers.I did an OD load that I even got paid cash money at the consignee.Getting my own authority is something I had researched for about 3yrs.
I also threw out the idea of my brother buying a straight truck.
Who said this cannot be done?Yes, I move mountains and there are many more to move.
 

60MPH

Expert Expediter
Tell ya whats funny about Landstar is they would not lease me on with them. Then I got my authority and I applied for the Approved carrier program and they accepted me. Ceva did the very same thing. I guess it is alright to haul there freight when there leased on trucks do not want it. Go figure!!:rolleyes: Henboy I wish you the best of luck with this, it was a rough start for me but now I got things up and running good. And I now I will never LEASE onto a carrier again. Just keep 'em big 'ol wheels ah roll 'in down the road.:D
 
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henboy1

Expert Expediter
Tell ya whats funny about Landstar is they would not lease me on with them. Then I got my authority and I applied for the Approved carrier program and they accepted me. Ceva did the very same thing. I guess it is alright to haul there freight when there leased on trucks do not want it. Go figure!!:rolleyes: Henboy I wish you the best of luck with this, it was a rough start for me but now I got things up and running good. And I now I will never LEASE onto a carrier again. Just keep 'em big 'ol wheels ah roll 'in down the road.:D



Landstar will sign anybody on as an approved carrier as long as you have insurance that meets their staandards and your insurer is among the AMBEST ratings.Signing on as a BCO is a different animal.They are picky as hell.I sent drivers there who had a good dac record,good driving record and had driven in snow and ice and was still turned down.Everyone wants to get signed on with Landstar but they don't know the nickle and dimming you will recieve on your settlement.Expect to have at least $150/week(besides the 35% from the gross) plus 150/week taken out of your check when pulling their trailer.
The only thank you to them was teaching me how to find and book my own loads.
The hardest thing in getting the authority is the paperwork and the transition of your recievables.Hopefully some checks should be waiting for me when I get to the house.
 
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