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Thread: Power Only Interstate Dist. Looking for owner ops with own authority,

  1. #1
    Sheepdancer is offline Senior Board Member
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    Default Power Only Interstate Dist. Looking for owner ops with own authority,

    Ok guys, after all the years Ive been on this board, im finally going to use up my one job posting.

    Company Name: MDR Global Logistics
    Contact: Craig Richardson (Sheepdancer)
    Phone: 479-531-6663
    Job Description:
    Power Only Program
    Operating under this business opportunity you maintain your company identity hauling under your own authority and liability and cargo insurances. Interstate’s strong Sales and Marketing team provides consistent year-round freight while our experienced Operations group is the key to keeping you running.

    We have freight hauling opportunities in our 48 state fleet, regional fleets in the eleven Western states, and a Southwest fleet that runs in the tri-state areas of California, Nevada, and Arizona.
    Key Features 20 day pay cycle
    Settlements via wire deposit
    $150 advance per day available (for 48 state fleet fee assessed)
    Part of our daily truck freight hauling capacity Choice of fleets – 48 states, regional, refrigerated No trailer rental fees

    Compensation 80% of gross revenue on all loads in our 48 state fleet, 11 Western state fleet, and Temperature Controlled with experience and Hazmat. 100% of customer paid fuel surcharge

    Requirements:
    * Contract or Common Carrier Authority Appropriate Licensing and Permits
    * General Liability Insurance $1,000,000
    * Cargo Insurance $250,000
    *Trailer Interchange Insurance $25,000.
    * Maximum tractor fifth wheel height of 48”
    Pay Rate: 80% of the load, 100% fuel Surcharge

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  3. #2
    syl77dar is offline Board Regular
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    Are you looking for company drivers or Owner Operators?
    Have a safe driving day!

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    Bigmon is offline Senior Board Member
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    Quote Originally Posted by syl77dar View Post
    Are you looking for company drivers or Owner Operators?
    Syl, you have to have your own Authority.

    Sheepdancer, It says no trailer fee....Why would you pay a trailer fee to pull their trailer and freight?

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    GMAN's Avatar
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    Long time no hear, Sheepdancer. It seems that there are more who are going this route rather than putting more owner operators on. Your old company keeps sending me emails about their program. That seems to be the trend to have owner operators get their own authority.

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    Bigmon is offline Senior Board Member
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    Quote Originally Posted by GMAN View Post
    Long time no hear, Sheepdancer. It seems that there are more who are going this route rather than putting more owner operators on. Your old company keeps sending me emails about their program. That seems to be the trend to have owner operators get their own authority.
    Gman,

    I've run into a few companies that are getting O/O's to get their own authority. They said the reason is a few bad drivers can bring problems to the company, but if the drivers have their own MC then it's the drivers problem and they can eliminate some of the office overhead. The good news for the driver is they can have as many relationships as they want and pick their own freight.

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    GMAN's Avatar
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    Quote Originally Posted by Bigmon View Post
    Gman,

    I've run into a few companies that are getting O/O's to get their own authority. They said the reason is a few bad drivers can bring problems to the company, but if the drivers have their own MC then it's the drivers problem and they can eliminate some of the office overhead. The good news for the driver is they can have as many relationships as they want and pick their own freight.

    I can see the advantage to the carrier. They eliminate the financial risk and capital investment of running their own trucks. They also throw the cost of insuring their trailers to the new carriers. The last time I spoke with JB Hunt about their program they wanted a 14 day commitment for any trucks that I decided to run under their program. I don't know if that is still the case. I think that they have since dropped their requirement for cartage insurance. It could be advantageous to the owner operator who gets his authority if he can use other brokers for freight. My guess is that some carriers are moving toward this to avoid some of the problems that they had in Washington about having to pay time and a half to over the road drivers who are being paid by the mile. That was a raw deal and those who participated should be ashamed of themselves. There has been something of a move by the IRS to force carriers to pay taxes on owner operators who lease to them as well as being responsible for their workers comp. This could be a way to circumvent this type of extra cost to the carrier. It is much easier and less expensive to act as a broker than to run your own trucks. All you need is a bond, phone, fax and computer other than a few people to make calls. I can see it really making a difference in the overhead.

  8. #7
    Sheepdancer is offline Senior Board Member
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    Quote Originally Posted by Bigmon View Post
    Syl, you have to have your own Authority.

    Sheepdancer, It says no trailer fee....Why would you pay a trailer fee to pull their trailer and freight?
    From what I understand there are power only companies out there that DO charge for use of their trailer.

  9. #8
    Sheepdancer is offline Senior Board Member
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    Quote Originally Posted by GMAN View Post
    Long time no hear, Sheepdancer. It seems that there are more who are going this route rather than putting more owner operators on. Your old company keeps sending me emails about their program. That seems to be the trend to have owner operators get their own authority.
    Yeah...I know a few people still at JB recruiting for the power Only over there. I really dont know a lot about JBs power only, except whenever I get one of their power only owner ops on the phone, its REALLY EASY for me to talk them into leaving JB and going to Interstate...lol.

  10. #9
    Sheepdancer is offline Senior Board Member
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    I tend to try to stay on the owner ops side of things right now. But I still can hire company drivers for many companies

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    GMAN's Avatar
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    Quote Originally Posted by Sheepdancer View Post
    Yeah...I know a few people still at JB recruiting for the power Only over there. I really dont know a lot about JBs power only, except whenever I get one of their power only owner ops on the phone, its REALLY EASY for me to talk them into leaving JB and going to Interstate...lol.

    I spoke with some of their power only people about 3 years ago. Those with whom I spoke with seemed to be happy with them, but rates were pretty low. I think at the time they were paying about $1.40/mile with the fsc. I spoke with a guy a few weeks ago who said he was making about $1.70/mile or so with the fsc. He seemed to be pleased with them. I don't know if it is something that I would do, at least at this point.

    Whether it is JB or any of the others who are doing this, it would be a less painful way for someone to get their authority and to get up and running without having to go to the expense of buying their own truck. There is little difference in doing the power only than leasing to a carrier. I would think that some are more comfortable with that type of arrangement. What kind of rates are you getting at Interstate, if you don't mind me asking on a public forum?
    Last edited by GMAN; 08-09-2011 at 07:17 PM.

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    Chunker is offline Member
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    Not sure if it matters to any owner/ops, Interstate was purchased by Saltchuk Resouces Inc. a couple months ago and Interstate will still maintain its current management.

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    GMAN's Avatar
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    I didn't realize that they had sold out. I figured they would reman a privately owned business.

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    Sheepdancer is offline Senior Board Member
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    Generally speaking Im hearing from my drivers about 1.65-1.80 for every mile driven. Thats with the FS. They just started a guarantee where if you have a slow month or get some cheap loads that month...they guarantee at least 1.05 plus the FS for every mile driven including deadhead. It seems to be working pretty well right now. When i get small fleets on the phone, I can usually talk them into giving me one truck...sure enough a few weeks later they are happy to put other trucks on. They also started a quick pay thing...under 80% of the load it takes 20 days to get paid (that was a problem for a lot of drivers)...now they will do 77% of the load and pay in 48 hours. They are also about to do a fuel card with discounts over the next few weeks. From a recruiting standpoint, Im loving interstate. Its a really easy job to find drivers willing to try it out. In fact, besides hiring drivers for our own company, Interstate is really all I have been working.

    Speaking of the company I work for MDR Global logistics...We are looking for owners and small fleets with their own authority too. But we need drivers and fleets with a reefer trailer. We pull Chicken, Dairy and produce all through the SE. Preplanned for 10-14 days, Usually plant to plant transfers, very little deadhead. Our drivers are averaging about 1.85 to 2.00 bucks per mile, with a few really good owners making 2.20 Plus per mile.

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    another middle man ripping the system

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    GMAN's Avatar
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    Quote Originally Posted by mitchno1 View Post
    another middle man ripping the system

    There are several independent recruiters who cater to the trucking industry. Most charge the carrier a fee for every driver or owner operator that they recruit and is hired by the company. Carriers need spend money on recruiting drivers. I suppose some consider it a trade off. They pay one way or another. I have always found my own drivers, but I remember meeting one guy who owns a recruiting and compliance company at an ATA meeting that I attended.

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    GMAN's Avatar
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    Quote Originally Posted by Sheepdancer View Post
    Generally speaking Im hearing from my drivers about 1.65-1.80 for every mile driven. Thats with the FS. They just started a guarantee where if you have a slow month or get some cheap loads that month...they guarantee at least 1.05 plus the FS for every mile driven including deadhead. It seems to be working pretty well right now. When i get small fleets on the phone, I can usually talk them into giving me one truck...sure enough a few weeks later they are happy to put other trucks on. They also started a quick pay thing...under 80% of the load it takes 20 days to get paid (that was a problem for a lot of drivers)...now they will do 77% of the load and pay in 48 hours. They are also about to do a fuel card with discounts over the next few weeks. From a recruiting standpoint, Im loving interstate. Its a really easy job to find drivers willing to try it out. In fact, besides hiring drivers for our own company, Interstate is really all I have been working.

    Speaking of the company I work for MDR Global logistics...We are looking for owners and small fleets with their own authority too. But we need drivers and fleets with a reefer trailer. We pull Chicken, Dairy and produce all through the SE. Preplanned for 10-14 days, Usually plant to plant transfers, very little deadhead. Our drivers are averaging about 1.85 to 2.00 bucks per mile, with a few really good owners making 2.20 Plus per mile.

    I get emails from some who are doing the power only from time to time. I don't recall any who charge extra for quick pay doing power only. I think that JB Hunt's program is a flat mileage rate plus fsc. That is the only program that I can recall the rates. It seems like you are all probably in the same pay range. Are your Interstate people primarily western states or do you do 48 with them? Are you working with dry vans as well as reefers?

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    Sheepdancer is offline Senior Board Member
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    Quote Originally Posted by mitchno1 View Post
    another middle man ripping the system
    How am I ripping off the system? The reason companies use independents like me is because we SAVE the companies money, we dont cost them more money. Example: When a company hires in house recruiters working at corporate, they have to pay salary, plus commission, benefits, workmans comp, unemployment insurance...ect. I can find them much higher numbers of quality drivers and do it at a cheaper cost for them.

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    Sheepdancer is offline Senior Board Member
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    Interstate is both dryvan and reefer....They can run the western states if they live out there or run 48, SE, or whatever

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    What is really good to see, Mr. Dances with Sheep, is that Saltchuk is an AMERICAN company founded in Seattle. What surprised me is that they have managed to buy up Foss Maritime. No small feat! Of course, Saltchuk could well be owned by the Foss family.
    Space...............Is disease and danger, wrapped in darkness and silence! :thumbsup: Star Trek2009

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    GMAN's Avatar
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    Quote Originally Posted by Sheepdancer View Post
    Interstate is both dryvan and reefer....They can run the western states if they live out there or run 48, SE, or whatever

    So, how is recruiting going? It sounds like you are staying busy.

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