owners with authority pulling reefer out of atlanta

[mikeymike]

I am thinking about getting my own authority and buying a reefer trailer. I currently have my truck leased to a reefer company out of atlanta. I am just curious as to the loads you guys pull. Are your loads hard to get, do you have contracts or use brokers or load boards? I currently run central florida and would like to continue to run that lane if possible. Can anyone give me any info. as to whther they think good idea or bad idea?

Thanks

[GMAN]

You should be able to do fairly well coming out of Florida with a reefer. However, rates tend to be soft coming out. Rates for reefers seem to be better than other types of freight in Florida. You should be able to do well using brokers. Not all brokers have reefer freight, but with a reefer you can haul van and refrigerated goods. It often takes a while to make some good contacts. Once you get your authority you can subscribe to a couple of load boards and post your truck. You can get set up with CH Robinson and a few others and use their boards for FREE.

I don't know much about your background, but there is a little more to running your authority than throwing a few pallets on the truck. If you have not had much driving experience, you may want to check around to see whether you can get insurance. I usually discourage those with limited experience from getting their authority, especially if they have limited resources. There is a learning curve when you get your authority. You are on your own without a safety net. Some are comfortable in this environment, others are not. It is somewhat difficult to advise you without knowing something about you and your experience.

[no_worries]

We've been running reefer for a few years now...if things are going well at your current carrier, I wouldn't make the move. It's starting to get ugly with rates. Coming out of FL is brutal, even with a reefer, unless you can get in with a shipper who is willing to pay half-way decent. We run team, so we're usually looking for longer runs. I used to think that a solo might be able to do alright running the lane you're talking about, but it looks to me like rates into FL have dropped a bit lately and I no longer feel that way. Of course, if you have some good contacts because you've been running that lane, it definitely changes things. With the economy doing what it's doing and fuel prices where they are, I wouldn't recommend jumping in unless you've got some deals set up.

[mikeymike]

OK I appreciate it. Actually now I come out of Florida empty 95% of the time and still do well. I know the freight coming out is slow but at my current company I get 70% of the load. I was thinking if I do well now I could still fair a bit better by cutting out the middle man and paying for a trailer. By the way I have been driving for 7 yrs now and had my own tractor for almost a year now. So here is my thinking (although I know that is not written in stone) If I run to say Jacksonville fl. out of atlanta and the load pays 950.00 then I get 70% and the company 30%. If I have my own authority I get say 85% or more then after 3 or 4 runs a week I basically have saved 30% per run and that would easily pay for a trailer? I have not spoken to the shippers that I pick up at now but I know they use independents.

[GMAN]

I think I missed something with your numbers. If you are currently making 70% and then make 85% under your own authority I get 15%, not 30%. Am I missing something? It must be that new math people are talking about. :P :wink:

I any case, that is a lot of money over the course of a year. If you have a clean MVR and have been driving for 7 years, you should find affordable insurance. Reefers will likely pay a little more since there is more likelihood of a claim being filed.

I have little doubt that you COULD do better running your own authority. There is no guarantee, but the potential is certainly there. In addition, you are not limited to a single source for your revenue. Running your authority means you can get freight from shippers or other brokers. There could be better opportunities or fewer. It depends on your resourcefulness and ability to manage your business.

[Sonny Pruitt]

Getloaded has 13 reefer loads within 400 mile of Miami for the week
10 of them are intrastate

There are 365 reefer loads leaving within 150 miles of Atlanta

[no_worries]

$950 is not enough for Atlanta to Jacksonville if you're deadheading one way running your authority and reefer. Definitely talk to the customers you currently service first. I do know that you can get nursery loads out of the Tallahassee area for $2/mile going to FL, TN, NC, SC, VA. From those locations you can probably get back to Atlanta and put together a decent 3-legged run. But I wouldn't make a move based on estimates.

[mikeymike]

OK all thanks for the info. No BMAN you math is correct I was just using that 85% figure if I had to give a broker that much. Last question on looking for a reefer can anyone recommend one brand over the other and what year should be the cutoff year as far as me buying a used reefer trailer. Also how many hours should I look for based on year of the actual refridge?

[no_worries]

If you're planning on going to CA at all, better get a 2002 or newer. New CARB rules are supposed to go into effect in January. Other than that, I tend to pay more attention to the hours than anything. Useful life should be 25,000 to 30,000 hours. Of course, the more hours the more chances there are for something to go wrong and that can cost when you're pulling a reefer. If you're running more or less a set lane you can get away with an older unit because you're empty more often and you're more familiar with emergency facilities should you need them. It's just like trucks, some guys are more comfortable buying older equipment than others. Anymore, I don't know how much difference there is between manufacturers. If you look closely at the three trailers, you'll see they're fairly similar. Each brand has it's own little things it does. Stay away from floor damage, and mickey mouse repairs in skin and lining cuts. Pick an amount you're willing to spend and work from there. If you're working the SE, you might want to find a trailer with E-track so you can deck and haul nursery and flowers. Will get you a decent load out of FL once in awhile.

[mikeymike]

OK thanks for the info. Don't plan on going into California at all. Was just trying to get a price range based on year model and age of trailer. I want a good reliable trailer. I have to look into getting my authority now. Better to do it yourself or use one of the places that do it for you? Probably better to pay someone if I am running for the company since it may require a good bit of time?

[GMAN]

Filling out the form for your authority isn't all that time consuming. It can seem a bit overwhelming, but is really fairly simple. It sure beats paying a service several hundred dollars to do it.

[no_worries]

I agree with GMAN. It doesn't take a lot of smarts to do it yourself and, in my opinion, when starting a business it's best to be involved in everything.

[mikeymike]

ohhh OK Thanks for all the info. people I really appreciate it.

[GMAN]

Look at it this way. If you can't work your way through the paperwork yourself, you can always hire someone to do it for you.