Sep 07, 2022

5 Tips for How to Make Money Owning a Semi Truck

Being a semi truck driver can be a lucrative business. But it’s not always easy to make money as a truck driver. Here are some tips for how to make more money with your new truck and your time on the road. Here we will explore 5 tips to help you get started making money owning a semi truck:

1. Create a Business Plan

A business plan is an essential tool for any trucking business. It helps to set goals and track progress, as well as identify potential areas of opportunity and risk. When creating a business plan, it is important to consider all aspects of the business, from the initial start-up costs to the long-term viability of the company. Determine factors such as if you will be doing long haul loads or local only. Additionally, the business plan should be updated regularly as the business grows and changes. By taking the time to create a comprehensive and well-thought-out business plan, trucking businesses can increase their chances of success in an increasingly competitive industry.

2. Learn the Legal Side

The trucking industry is highly regulated, and it is important for both truck drivers and trucking companies to understand the legal landscape. Federal regulations govern everything from the maximum number of hours a driver can work in a week to the type of insurance that must be carried. State laws can also have an impact on the trucking industry, particularly when it comes to issues like weight limits and emissions standards. In addition, there are a variety of international treaties that trucking companies must comply with if they want to do good business across borders. As a result, it is essential for anyone involved in the trucking industry to have a solid understanding of the law. Luckily, there are many resources available to help educate drivers and companies about the legal side of the trucking industry.

3. Find Freight that Pays Well

CDL drivers and business owners are feeling the pinch these days. Fuel prices have been on the rise, and the demand for freight has been on the decline. As a result, many truckers are finding it difficult to make ends meet. However, there are still plenty of opportunities out there for truck drivers who know where to look. If you’re willing to put in a little extra effort, you can find loads that pay well and keep your truck running. Here are a few tips to help you get started.

First, check out our Trucker Path TruckLoads load board. This service offers a free load board where you can search for high-paying loads by location, weight, and other criteria. You can also find reviews of shippers and brokers, so you can be sure you’re getting a good deal and ultimately save more money.

Finally, don’t forget about social media. LinkedIn is a great place to connect with other truckers who might be able to help you find good-paying loads. Facebook groups can also be a valuable resource. By following these tips, you should be able to find plenty of high-paying loads that will help keep your business afloat.

4. Cut Costs with a Fuel Card

A fuel card can help you save money on fuel costs. By using a trucking fuel card, you can get discounts on fuel at participating truck stops. This is very help to offset the costs of the fuel tax. You can often get a quality fuel card through a factoring provider. You can also get discounts on other services, such as maintenance and repairs. In addition, many trucking fuel cards combine with truck stop rewards programs on fuel purchases. The savings can add up quickly, so it’s definitely worth considering a trucking fuel card if you’re looking to cut operating costs. Just be sure to do your research and compare different cards before choosing one, as there can be significant differences in terms of network, benefits and fees.

5. Increase Your Cash Flow

In the trucking industry cash flow is important. After all, you need money to keep your own truck running and to pay for your expenses on the road. Luckily, there are a few things you can do to increase your cash flow in the trucking industry.

First, try to get paid sooner rather than later. This means working with clients who are willing to pay promptly. You may also want to consider invoicing regularly so that you don’t have large sums of money tied up in unpaid invoices.

Second, look for ways to save money on your operating expenses. This may include negotiating better rates with suppliers or finding ways to cut back on fuel costs. Every little bit you can save will help increase your bottom line.

Lastly, don’t be afraid to ask for what you’re worth. If you’re not being paid what you’re worth, it’s time to look for new opportunities. Remember, trucking is a competitive industry, so there are always companies looking for good drivers. If you’re not happy with your current situation, don’t be afraid to shop around for a better deal.

By following these tips, you can start increasing your cash flow and improving your bottom line in the trucking industry. So put them into practice today and see the difference it makes in your small business.

You can be successful in the trucking industry

Trucking takes time and dedication. Driving a commercial truck is not typically the best option for a side hustle. At the end of the day whether you are a new startup or an industry veteran, the goal is to be successful and make reliable income through truck driving. You need to be able to cover business expenses such as varying fuel prices, truck payments for your truck lease, salary if you have a company driver, etc. Past that you ultimately want to keep a sustainable profit margin. That all needs to be factored into your business plan.

Should owner-operators enlist a dispatch service or stick with load boards? The popular image of the owner-operator as a modern-day range rider, free and self-reliant, doesn’t always jibe with the idea of using a dispatch service. It’s a fair point. Load boards enable truckers to do-it-yourself dispatch pretty easily. There’s another side, though. Dispatch services free owner-operators to haul freight while sparing them from much of the business of trucking. There are a lot of considerations in the dispatch service versus load board debate. The following is an objective tally of the pros and cons of a load board-only strategy versus the dispatch-service strategy. We at Trucker Path think we can toggle the debate pretty fairly as we offer both a <a href="https://truckerpath.com/truckloads/free-load-board/">load board</a> and a <a href="http://truckerpath.com/dispatch">dispatch service</a>. So whatever side you choose—no offense. Cost Considerations On the surface, self-dispatching is a no-brainer. It’s primarily free to use load boards. Dispatch services, on the other hand, charge for their services. Essentially, they charge for doing something an owner-operator can do themselves by checking the load boards, negotiating and booking freight. In working with a dispatch service, you’ll be giving up a portion of your hard-earned revenue. These companies typically charge from 5 to 10% of the income for the load. Other dispatch services charge a flat fee per load or per week or month. The flip side of this is that self-dispatching takes time which carries its own cost. For example, if it takes you three hours to find, negotiate and book a $3,000 load, it could cost you less to let a dispatch service do it for you. For example, if they charged a 5% fee or $150, based on the standard operational cost of trucking of $70 per hour, self-dispatching would cost you $210—$60 more!* On top of that, popular load boards are only free up to a certain number of loads, like five per day, for example. If a carrier wants to access more than that, they often have to pony up for a subscription. The Issue of Control With a load board, you have complete control in booking your own freight. You say where and when you’ll run. In contrast, a dispatch service decides which loads they bring you based on your preferred commodities and lanes. You may lose some say when it comes to the details but you can always reject the dispatch service’s load offers. You’ll also lose control over relationships. The dispatch service is interfacing with the shipper or broker so they in effect “own” the relationship. The trade-off is that in using a dispatch service you’ll gain more control over your schedule and how much time you spend on the road. The dispatcher handles the details of the load and manages customer care. If you want to just focus on driving, you may be happy to give up control of these chores. Negotiating Rates With load boards, it’s easier than ever to find freight, bid and book loads. But easier doesn’t always mean better. Consistently charging competitive rates still takes time and effort. The only way to do that is by maintaining a pulse of the market and knowing how far to push brokers. Someone who handles negotiations for a living is always going to be better at it than someone who does it less often. It’s a matter of experience. So a dispatcher has an advantage when it comes to getting the best rate from brokers. It’s not uncommon for a dispatcher to negotiate a load with a rate per mile 20%+ more than the national average, and that can more than cover the 5 – 10% cost of using a dispatch service. Dispatchers have the advantage of knowing going rates. They’re watching multiple load boards all day. Maintaining this breadth of vision is time-consuming for an owner-operator to achieve. Dispatching services work for the carrier, so it is their mission to make sure the carrier is paid top dollar in rate and maximizing accessorial fees according to industry standards. Business Development Load boards expose carriers to shippers and loads en masse. They make it possible to find new freight and be found by shippers by being listed on the load board. For an owner-operator to significantly grow their business, they need to take it to the next level by developing lanes and solidifying repeat loads. That takes time and effort that a small carrier may not have the stomach for. When it comes to business development, dispatch services provide an advantage. A carrier can save time and effort by plugging into a dispatcher’s existing network. By leveraging dispatchers’ connections, carriers can quickly establish themselves in lanes and land repeat loads. With a dispatching service, carriers also get someone to advise them on the lanes with the most opportunity and to help them navigate the ebbs and flows of the market. The Administrative Load If you’re running one or two trucks, a sticky-note system may work just fine—and it’s free. That can quickly change as you add drivers and vehicles and things get more complicated. One of the last things an owner-operator wants to become is a paper jockey. Especially for small, ambitious carriers, the burden can limit growth. A dispatch service can be worth its weight in gold when it comes to the additional services most provide. These include: assigning loads and scheduling drivers, maintaining hours of service records, managing weather delays or other issues, handling track & trace check calls, and ensuring drivers equipment and drivers remain in compliance. Billing and Cash Flow Any owner-operator knows cash flow is the key to success—but bill collecting is exhausting work, strains relationships with shippers and just wears on the independent soul of a trucker. With a self-dispatching strategy, you’re on your own unless you hire a bookkeeper or factoring company and then oversee them. In contrast, dispatch services often wrangle the paperwork associated with delivering and billing for a load. This paperwork duty can include getting invoices to the shipper or a <a href="http://www.tafs.com">factoring company</a>, doing collections follow-ups, and payment processing—perhaps the biggest load on carriers’ minds. What’s best? What’s best comes down to a business decision. The success of any owner-operator hinges on the numbers. If you opt to dispatch-it-yourself, just make sure you record how much time you’re spending and use our handy $70 per hour as a rule of thumb. You’ll know when it’s time to corral your costs, and there are plenty of dispatch services out there waiting to help. *American Transportation Research Institute’s 2021 estimate for the operational costs of trucking is $66.87 per hour, which we increased to $70 per hour to adjust for inflation.

Aug 31, 2022

Best Places to Celebrate Take Your Dog to Work Day if You’re a Truck Driver <a href="https://truckerpath.com/uploads/2022/06/Picture1.png"><img class="aligncenter wp-image-6687 size-medium" src="https://truckerpath.com/uploads/2022/06/Picture1-300x34.png" alt="" width="300" height="34" /></a> Just so you don’t find yourself wondering who let the dogs out, this Friday, June 24th is National Take Your Dog To Work Day. It’s a great idea for dogs and their owners…just not great for every workplace. Images of dogs fighting, ripping up the boss’s sofa or relieving themselves in office lobbies everywhere come to mind. Certain workplaces not being exactly conducive to canines do as well. Bone clinics, ball factories, nuclear facilities and operating rooms should be avoided. The worst workplaces to bring a dog to work could fuel an entire season of Seinfeld. And the best ones, could quite possibly transform an industry. Trucking for starters. In an industry defined by long hours, solitary work, depressive downtime and a need for healthy physical activity, bringing your dog to work is a big idea. <h3>Dogs were made for truck driving.</h3> As the commercial says, “Dogs love trucks.” They love being with their owners, too. And the benefits are far, far from one-sided. Over work, loneliness, stress, and an often-hostile work environment are downsides of trucking that dogs are uniquely qualified to alleviate by providing comfort and companionship. <h3>The Big Benefits of Having a Dog as a Copilot</h3> <ul> <li>If you drive with a dog, you’re not alone. (How’s that for alleviating loneliness?)</li> <li>Petting a dog or even gazing into a dog’s eyes releases oxytocin, a stress-reducing hormone.</li> <li>When you have a dog, you have to walk them. (A dog can make you exercise when no one else can.)</li> <li>Who needs an alarm when you have a security guard with hearing that’s four-times as sensitive as a human’s protecting your truck?</li> <li>When motorists see a trucker with a dog, it makes them feel good.</li> </ul> <h4>Key Considerations for Bringing a Dog to Work on the Road</h4> So what do you need to know if you’re a trucker with dog or a trucking company that wants to bring the quality-of-work benefits of canine copilots to their workforce? For starters, some lanes, states and regions are more dog-and-truck friendly than others. Good thing to know, because for all the big benefits of having a pup in your big rig, there are challenges. Driving with a dog can be a drag when truck stops aren’t good for a walk and a pee—or when hotel owners are downright anti-dog. It can be hard enough finding a safe place to pull over and rest—and even harder to find a dog-friendly one. We at Trucker Path crowdsourced our driver pool to find the sweetest spots in the country for drivers with dogs based on two simple criteria: the presence of pet-friendly truck stops and hotels. Here is what we found. <h4>Connecticut is the most pet-friendly state for truck drivers.</h4> Trucks may be banned from its beautiful parkways, but drivers still rank Connecticut the most pet-friendly state. Also, there appears to be no correlation between the quality of a state’s roadways and the attractiveness of its offerings for truck dogs. Connecticut ranks an abysmal 33rd overall according to the <a href="https://reason.org/wp-content/uploads/26th-annual-highway-report-state-by-state-summaries.pdf">Reason Foundation’s 2021 ranking</a> of states’ road quality. According to Trucker Path data, the other pet-friendliest states for truckers are: 2) California, 3) Montana, 4) Virginia and 5) Oregon. No surprise that dogs favor California’s beaches and Montana’s big skies. In a testament to dogs’ easy-going nature, they don’t seem to care that California and Oregon’s rough roads are ranked down there at 45th and 25th respectively in Reason Foundation’s rankings. The places to live the dog’s life for truckers who like good roads and canines who like good hotels and truck stops appears to be Virginia and Montana, ranked 2nd and 11th respectively in Reason Foundation’s findings. <h4>Who would have thought the Northeast was the pet-friendliest region?</h4> Long haul truckers don’t tend to limit themselves to single states, so looking at the regions by pet-friendliness, is significant…and surprising. Congested, with a reputation for being a little prickly at times, the Northeast nevertheless warms to pets better than any other region in the U.S. Tri-state roadways are dog-eat-dog, but their hotels and rest stops make up for the traffic and trauma they bring on truckers through their pet-hospitality. Whether you have a layover while you search for a <a href="https://www.tafs.com/tafs-360-benefits/prodispatch/">decent-paying backhaul</a>, or want to take find out while you refuel, the Northeast is the North Star of pet-loving amenities and accommodations. Other regions ranked in this order: 2) Southeast, 3) Midwest, 4) Southwest and 5) West. Why is the West so passive toward pets while the Northeast is so welcoming and attentive? Maybe the East just needs the calming influence of pets more than the laid-back West? <h4>Experience life in the pet-friendly lane on I-95.</h4> It sort of makes sense that the interstate that defines Northeast driving would also be the number one most pet-friendly lane. If there’s any interstate in America where truckers could benefit from the calming influence of a dog, it’s the I-95. Only the therapeutic gaze of a pup has the power to neutralize this interstate’s road-ragers and the corridor’s constant congestion. It’s a drive that man’s best friend was made for. And maybe not-so-coincidentally a roadway with truck stops and hotel accommodations that were made for trucker-dogs. Trucker Path users ranked the second most pet-friendly lane being the I-10 spanning from sultry Florida to sunny California with miles and miles of desert landscape and pet-friendly accommodations in between. A furry companion has always been a welcome friend on this stretch going back to wagon train days. I-10’s truck stops and hotels seem to understand and open their dog doors wide for pet-owning truckers. If you’re a driver who wants to take their dog to work every day, there are other pet-friendly lanes to consider. Coming in at #3 in pet-centricity is the I-15 (San Diego to Montana and the Canadian border). #4 is the I-90 (Massachusetts to Montana by way of Chicago and South Dakota). And #5 is the I-75 (North-South from Florida through the Great Lakes). <h4>Appreciate drivers by appreciating their dogs.</h4> They say you can tell a lot about a person by the way they treat their dog. The same goes for the way states, trucking companies, communities and hotels treat their trucker dogs. Companies and communities continue to look for ways to show appreciation to the heroes who move our goods. Showing love to truckers with dogs seems like a good way to reach the 40% of drivers who already bring their dogs to work—and the many more who would bark at the chance.

Jun 24, 2022

The Pros and Cons of Fuel Optimization Tools for Trucking With diesel prices up more than $2.30 a gallon from this time last year, finding the best prices at the pump is about more than bragging rights these days. It’s survival for owner operators and serious impact to the bottom line of fleets. Fuel optimization tools, like the one in our Trucker Path COMMAND platform, hold huge promise. But that promise comes with a few “ifs” that truckers, fleet managers and fleet owners need to give heavy consideration to. Everyone who’s ever hunted best fuel prices knows the thrill of bagging the lowest price on the lane—as well as that empty feeling that comes from wondering whether the miles and time you spent finding 5-cents a gallon in savings was a wash. Or worse yet, ended up costing you more. Let’s lay bare the pros and cons of fuel optimization tools and present five real-lane examples of when a fuel optimization app would be a winner or an occasion for whining. Pros of Fuel Optimization Tools <li>Thousands of dollars in fuel savings, depending on the lane</li> <li>Removes decision-making. Dispatchers provide specific fuel stops in addition to the navigation for the route</li> <li>Tools stipulate everything: the where, when and how much fuel to purchase</li> <li>Out-of-route miles accounted for in fuel stop recommendations</li> <li>Every detail considered. Fuel plan accounts for equipment mpg, existing fuel levels and load weight </li> Cons of Fuel Optimization Tools <li>Out-of-route miles, while generally limited to less than a few miles per stop, can negate some or all of the savings achieved through lower fuel prices</li> <li>Tools often prescribe more fuel stops. More time spent fueling eats into HOS and increases operating costs</li> <li>Added time. Driving further to low-cost pumps and adding stops can threaten tight delivery windows</li> <li>Drivers don’t get to choose their favorite stops for food and amenities</li> <li>High cost of technology as many optimization tools are designed for larger fleets</li> Success Depends on Number of Stops An analysis of results from a sample of lanes compiled through our Trucker Path COMMAND platform and the Smart Fuel Planner revealed that the true value of a fuel optimization tool comes down to the number of stops prescribed. With a fuel optimized route, drivers often make more stops than they would with a “drive-til-near-empty” strategy. When the cost of making those extra stops outweighs the savings benefits, it’s best to opt out. The good news is that in most cases and most lanes throughout the U.S. using a fuel optimization tool is well worth it, even when you consider the additional stops. Background Into Our Analysis In our analysis, we quantified the fuel savings that could be garnered at today’s diesel prices using our Smart Fuel Planner for five sample lanes. Then we determined the number of stops a driver would make filling up whenever they were near empty on long-haul runs—about every 945 miles by our estimate. We compared those numbers with the number of stops a fuel-optimized route would require. Most of the time there were more stops required on fuel optimized routes. To estimate the cost associated with the downtime that comes from these extra stops, we determined the average fuel stop is a half hour. What’s that half hour translate to in dollars? We used the American Transportation Research Institute’s 2021 estimate for the operational costs of trucking. They put the number at $66.87 per hour, which we increased to $70 per hour to adjust for inflation. All the results are based on lanes input into Trucker Path COMMAND Smart Fuel Planner, assuming a 100-gallon starting fill, 135-gallon tank, and 7 mpg for an 80,000-pound truck. We captured the fuel price data one day in June 2022. While data for the sample routes below were all gathered at the same time, it's important to note that fuel savings vary day-to-day and by lane. One day a stop may be lowest, and the next day, not so much. Savings Analysis for 5 Common Lanes Chicago to San Francisco: 6 Additional Stops Roundtrip - Annual Savings of $7,909 On a single roundtrip that would mean $659 in savings and 6 extra fuel stops. <img src="https://truckerpath.com/uploads/2022/07/Picture2.jpg" alt="" Width=600 /> <center>Exhibit 1. Trucker Path COMMAND Smart Fuel Planner for one-way Chicago to San Francisco trip. </center> Seattle to Washington D.C.: 5 Additional Stops Roundtrip - Annual Savings of $3,132 On a fuel-optimized roundtrip that would mean $261 in net savings and 5 extra fuel stops. Looks like fuel optimizer is paying for dinners. New Orleans to Denver: 1 Additional Stop Roundtrip - Annual Savings of $492 On a fuel-optimized roundtrip that would mean $41 in net savings and 1 extra fuel stop. Worth it? Sure. Especially at a fleet scale. Los Angeles to Dallas: 1 Additional Stop Roundtrip - Annual Savings of $9,768 On a fuel-optimized roundtrip that would mean $814 in net savings and 1 extra fuel stop. Clearly this lane was the optimization of the nation. Miami to NYC: 3 Additional Stops Roundtrip - Annual Savings of $0 In this case, fuel optimization netted no savings when you figured in the 3 additional stops. It’s a good example of how some days, on some lanes the extra stops make fuel optimization not worth it. A Key Solution for Today’s Fuel Crunch Our analysis showed that in almost all cases fuel optimization tools can save money on fuel. The exception is that many times it may require more fuel stops than driving until the driver is near empty. In our analysis, this case was an outlier and didn’t result in a loss. That makes fuel optimization tools, like what’s in Trucker Path COMMAND, a key tool in today’s economy. Diesel prices are higher than they’ve ever been and the chances are slim of the federal government rolling back taxes like they did for gas. The time to optimize is now. There is real money to be saved out there with smart and dynamic fuel-finding solutions—especially for ones that make it easy for drivers by considering all the variables and curating fuel-friendly routes for them.

Jul 20, 2022