Aug 15, 2017 • Community

Trucking Industry Trends

Trucking Industry Trends

Trucking Industry Trends

The trucking industry trends reveal the importance of truck freight in America and freight revenue forecasts to grow by 75 percent over the next nine years.

The trucking industry has powered America for over a century moving 70 percent of all freight. As truck drivers move freight across the country so moves our economy. What are the trucking industry trends for 2016? We reveal the answers!

In 2016, the trucking industry:

Generated $676.2 billion in revenue
Accounted for 79.8% of the nation’s freight bill
Moved 10.42 billion tons of freight
Moved 70.6% of all domestic freight tonnage
3.68 million Class 8 trucks registered
Traveled 450.4 billion miles
Powered by small business – 91% of carriers operate six trucks or less
1 in 15 jobs in America is in the trucking industry

“The information in Trends highlights exactly what I tell elected officials, regulators and key decision-makers every day: trucking is literally the driving force behind our great economy,” said ATA President and CEO Chris Spear. “Safe, reliable and efficient motor carriers enable businesses throughout the supply chain to maintain lean inventories, thereby saving the economy billions of dollars each year.”

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TagsTrucking Industry

Trucker Spotlight - Jerry McCallister <em>The Trucker Spotlight series explores the lives of truckers and their journey to make a difference in their industry. We interview different truck drivers to understand some life lessons that make them who they are today. We also learn more about their motivations, and the problems that they encounter on the job. We also tackle how Trucker Path's solutions helped them with what they do. The information that they provide helps inform other people who are looking to delve into the trucking world.</em> <h2></h2> <h2></h2> Today we are putting the spotlight on <strong>Jerry</strong>, who's a driver at FedEx Custom Critical. He also has a Youtube channel called, "Expediter Boogie”, where he talks about the types of things he does in expediting. Let's get to know more about Jerry and his "expeditions". <h2></h2> <h3><strong>How long have you been trucking?</strong></h3> I have been driving for 11 years all with FedEx Custom Critical and the last 4 of those years I’ve been with HyField Trucking who is a fleet owner leased onto FedEx Custom Critical. <h2></h2> [img src="https://truckerpath.com/uploads/2020/08/jm2.jpeg" alt=""] <h2></h2> <h3><strong>What made you decide to be a trucker?</strong></h3> My mom influenced that decision, she had been driving for 14 years OTR and i was tired of sitting in a cubicle doing the same thing over and over and needed the change. After researching trucking I landed on expediting and thought this would be way better than doing normal long haul. It seemed more exciting and paid more for less work. <h2></h2> <h3><strong>In the years that you have been driving, what are the significant changes that you've noticed in the trucking industry?</strong></h3> I have noticed many changes, rates dropping compared to earlier years, implementation of electronic logs, trucks getting smarter like the Tesla Truck and technology used on the road getting better. I am happy for the technology changes i believe technology is a driving force to help us truckers in our daily jobs. <h2></h2> <h3><strong>What's the story of you becoming "Expediter Boogie"? Do you also have a name for your truck?</strong></h3> I wanted to start a YouTube channel to talk about the types of things we did in expediting and places we go. Also a lot of people didn’t know what expediting was, so i started the channel. When thinking about what i would call it, I had been called Boogie all my life by my family so i added Expediting to it and came up with The Expediter Boogie. <h2></h2> We just got a brand new truck and haven’t thought of a name yet so we are taking suggestions. <h2></h2> <h3><strong>Are there times of loneliness while driving? How do you deal with it? </strong></h3> I don’t get lonely on the road. I drive team with my partner of 10 years so i always have someone to talk to and share my day with. I am also a mentor with the company i drive with HyField Trucking. I am always on the phone with my mentees helping them and teaching them the ways of expediting. So I am rarely ever lonely I just stay busy. <h2></h2> [img src="https://truckerpath.com/uploads/2020/08/jm4.jpeg" alt=""] <h2></h2> <h3><strong>As a trucker, what are the current struggles in this COVID19 pandemic?</strong></h3> Definitely the biggest struggle we are facing right now is dealing with the slower freight which in turn is making the rates lower. The other main struggle I find in dealing with Covid-19 is people not taking it serious enough. Not wearing mask and seeming to not care. It makes our job more difficult and having to be out here risking out health on a daily basis to help keep the country moving I just wished more people had more compassion to try and help do their part. <h2></h2> <h3><strong>What are your usual routes? Favorite scenic truck route?</strong></h3> We don’t have a usual route, being with Fed Ex Custom Critical we run all 48 states and Canada. I would have to say my favorite area to drive through is I-70 in Colorado. that area is absolutely beautiful and I never get tired of seeing it. <h2></h2> [img src="https://truckerpath.com/uploads/2020/08/jm1.jpeg" alt=""] <h2></h2> <h3><strong>Weirdest or most unusual haul?</strong></h3> At Fed Ex Custom Critical we haul everything from pharmaceuticals to explosives, we even haul priceless art at times. One of the coolest things we hauled was actual artifacts from the Titanic we transported between museums. Another great trip was when we moved 4 different inventions that were made by Benjamin Franklin. You never know what you are going to haul in expediting, which is what makes it fun it is always something different. <h2></h2> <h2></h2> <h3><strong>How often do you use rest stops / truck stops? What are the things that you look for in a truck stop? Favorite truck stop meal?</strong></h3> We park at truck stops all the time mostly utilizing Loves because that is where we fuel the majority of the time. I love the rewards we get through Loves and it is nice to see them adding more services to their locations. I don’t have a favorite truck stop meal due to we have a custom sleeper and tend to do all our cooking in the truck. <h2></h2> <h3><strong>What are the common troubles or problems you encounter while trucking? Pet peeves?</strong></h3> I would say the usual things all us truckers have to deal with like traffic, shippers not being ready on time. <h2></h2> I would say my biggest pet peeve while driving is cars cutting you off. Most of them don’t realize just how close they come to causing an accident. It’s not easy stopping this truck quickly and when we have to it causes more headache for us cause everything in our sleeper goes flying. <h2></h2> <h3><strong>We're glad that you use the Trucker Path on your day to day trucking. What features do you enjoy the most?</strong></h3> The biggest thing we enjoy about Trucker Path is the ability to see what truck stops are coming up along our route as well as seeing what other drivers are reporting about upcoming weigh stations and whether or not they are closed or open. Reading the reviews from other drivers is also a big help, like if we want to stop at a Wal-Mart. Being able to quickly see if we are allowed to park there or if we need to talk to the manager is a big help. <h2></h2> <h3><strong>What are some tips that you would like to share for aspiring truckers?</strong></h3> I would say do your best and put forth the effort. Don’t just look at trucking as a job, think of it as a career. Don’t fall into all the typical stereotypes of truckers. Put on decent clean clothes when dealing with a shipper or receiver, don’t litter like a lot of drivers do, and just try to take it to the next level. Be proud of what you do on the roads by being a professional driver and keeping America running. <h2></h2> <h3><strong>Where can we watch your videos?</strong></h3> You can find me on my Youtube Channel, <a href="https://www.youtube.com/channel/UCksmX2wd6Lzo6zM4pyaB_ew">Expediter Boogie</a>. <h2></h2> <iframe width="560" height="315" src="https://www.youtube.com/embed/Vl1vV2b_1wE" frameborder="0" allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe> <h2></h2> <h2></h2> <h4>By Aldous Aldwin</h4> <h3></h3> <h3></h3>

Aug 04, 2020 • Carriers

How to Start a Hotshot Trucking Business [p]Ever wondered how to be your own boss while enjoying beautiful sceneries across America? The freight industry is the backbone of America’s economy contributing more than <a href="https://tradingeconomics.com/united-states/gdp-from-transport">500 billion USD</a> every quarter and the numbers are increasing each year. It’s a lucrative industry which gives handsome rewards. However, it is not easy getting into traditional trucking due to the requirements needed.[/p] [p]What if there was a way to be a part of the trucking industry without dealing with all the hassle? The good news is there is a sure-fire way of being a part of the trucking industry and you can get started in a few days. What is it, you ask? The answer to that question is “Hotshot Trucking”. But there are still a few requirements before you are eligible to haul freight. Fortunately, these requirements are easy to complete and we will explain everything step by step below. [/p] <h2></h2> [p][b]What is Hotshot trucking? [/b][/p] [p]Hotshot truck drivers are freelancers who work privately carrying freight from one point to the other without any employer restrictions or scheduling restrictions. In other words, you are your boss and you can choose when to earn and how much to earn. All you need is a medium or heavy-duty truck with at least 7,000 pounds of hauling force and a trailer. A Dodge Ram 3500, a Toyota Tacoma, or any version of the Ford F-series truck can work well. [/p] [p]Currently, around 70% of the goods you can find on the shelves are transported by hotshot truckers and independent freight transporters. According to estimates, the trucking industry is expected to grow by 2.3% yearly till 2024. With freight volumes increasing day by day it is the perfect time to set up your own hotshot trucking business. [/p] [p][b]Pros and cons of Hotshot Trucking?[/b][/p] [p]Hotshot Trucking comes with a lot of advantages especially if you want to kick-off your trucking business easily. But be wary also of some limitations and trade-offs when entering this kind of trucking business. [/p] [img src="https://truckerpath.com/uploads/2020/10/How-to-Start-a-Hotshot-Trucking-Business-pros_and_cons_table.png" alt=""] [p][b]How to Begin?[/b][/p] [p]Now that you have a basic idea of hotshot trucking let’s get started on the specifics: [/p] <h2></h2> [p][b]Set up an LLC[/b][/p] [p]You need to set up a Limited Liability Company (LLC) and register it with your state. This is the first step in registering your business and it doesn't matter if you are working alone or if you intend to invite others to join in with you, setting up a legal company gives you many <a href="https://www.legalzoom.com/articles/advantages-of-an-llc">benefits</a> such as:[/p] <ul> <li>Limited personal liability</li> <li>Less paperwork</li> <li>Tax advantages</li> <li>Ownership and Management flexibility</li> <li>Flexible profit distribution</li> </ul> [p][b]Register With the Tax Authorities [/b][/p] [p]Once you have your LLC set up, the next step is to get a <a href="https://www.irs.gov/individuals/international-taxpayers/taxpayer-identification-numbers-tin">Tax ID</a> to go with your business. The tax ID or the Employer Identification Number (EIN) will allow you to receive checks and other forms of payments directly to your business account. That takes us to our next step. [/p] <h2></h2> [img src="https://truckerpath.com/uploads/2020/10/How-to-Start-a-Hotshot-Trucking-Business-make_a_business_bank_account.jpg" alt=""] [p][b]Make a Business Bank Account[/b][/p] [p]A separate bank account will allow you to divert all your business-related transactions to your business bank account. This allows you to keep track of your expenditures while also giving you the liberty to make and receive payments.[/p] [p][b]Apply for a CDL (optional)[/b][/p] [p]Hotshot trucking does not require a commercial driver’s license (CDL) since in most cases you won’t be exceeding the gross weight limit determined by the authorities. [/p] [p]You don’t need a CDL if: [/p] <ul> <li>If the total weight you are pulling is less than 10,000 pounds.</li> <li>If the combined weight of the vehicle and trailer is less than 26,000 pounds. </li> </ul> [p]Getting a CDL is no easy task. You have to enlist in a reputable training academy, go through several weeks of training, and then apply as well as pass the CDL exam. Therefore, it is better to forego this requirement in the early stages of your business but its best to acquire the license once your business is up and running. [/p] <h2></h2> [img src="https://truckerpath.com/uploads/2020/10/How-to-Start-a-Hotshot-Trucking-Business-acquire_relevant_equipment-1.jpg" alt=""] [p][b]Acquire Relevant Equipment [/b][/p] [p]As you know, hotshot trucking involves a lot of hauling and towing. It is important to have a sturdy and reliable truck if you want to save yourself a lot of grief later. You will need a good medium to heavy-duty truck with a lot of power (around 400HP) to pull at least a ton and a 30 ft. gooseneck flatbed trailer to begin. A decent truck can cost from $15,000 to $60,000. A good trailer costs from $7,000 to $25,000. It is up to you to decide how much you want to invest in the business initially. If you already have a truck at home and you don’t intend to get a CDL right away then you can save money by buying a cheap trailer and starting your business with minimum investment. [/p] <h2></h2> [p][b]Further Government Approvals [/b][/p] [p]It is a good idea to register your business with the Department of Transport (DOT) in your state and also with the federal authority if you intend to drive interstate. The state will provide you a DOT number and the federal government authority will give you a Motor Carrier (MC) number. These numbers must be emblazoned on the side of your vehicle. [/p] <h2></h2> [img src="https://truckerpath.com/uploads/2020/10/How-to-Start-a-Hotshot-Trucking-Business-getting_your_first_order.jpg" alt=""] [p][b]Getting Your First Order [/b][/p] [p]It’s often difficult to get your first order but there are resources available online that can help you out. You can sign-up and keep an eye out for potential contracts using <a href="https://truckerpath.com/truckloads/free-load-board/">loadboards</a>, which is an online marketplace where truck owner-operators, shippers, and freight brokers can post and search for loads. If a contract fits your requirements you can sign-up with them and begin your hotshot trucking journey. [/p] <h2></h2> [p][b]Conclusion [/b][/p] [p]It is not easy to start a business from scratch and accept profits from the get-go. However, if you work hard, complete all the requirements and stay motivated, you can slice through the initial difficulties and begin expanding and earning handsomely all while being your own boss. [/p] <h2></h2> <h2></h2> [p][b]By Aldous Aldwin[/b][/p]

Oct 09, 2020 • Carriers

Freight Broker Bond [p] Want a freight broker license? You'll need a freight broker bond of $75,000 first.[/p] [h2]Freight Broker Bond[/h2] [p]The freight broker bond is one of the lesser known parts of being a freight broker but it’s quite simple, and once you get a better understanding of it, you should feel as comfortable with your freight broker bond as you do with getting car insurance.[/p] [h2]What is a Freight Broker Bond?[/h2] [p]A freight broker bond is a form of a surety bond, which is like an insurance policy for a contract, though it doesn't take the place of liability insurance. It is a legal commitment made by one party to another to pay a certain dollar amount if the terms of a contract are not met. [/p] [p]In this instance, the bond protects a customer from losses if you don’t come through as well as giving carriers the peace of mind knowing they will be paid in a timely manner.[/p] [h2]BMC-84[/h2] [p] The BMC-84 is essential to your freight brokerage as it reassures carriers and companies that you have the backing to broker deals. BMC-84 is the bond for $75,000 and is required by law. It is necessary to cover payouts of possible claims (damages, broker negligence, failure to pay, etc). [/p] [h2]Applying for a Freight Broker Bond[/h2] [p]A freight broker bond can be acquired from any insurance agency such as Liberty Mutual, The Hartford, among hundreds of others. Alternatively, you can search for specific firms in your state who specialize in freight broker bonds. [/p] [p]When you're ready to select your agent of choice they will all require the same information to process your BMC-84: exact business name as it appears on the business license, the exact dollar amount for bond, business address, and all business/personal financial records. [/p] [p]You must pay a percentage of the freight broker bond up front before the agency will process it. Usually, this annual premium will be between $900-$2,000 depending on your credit. It can be paid for with a credit card or check in most instances and takes about 24 hours to process.[/p] [h2]Can I Get a Freight Broker Bond With Bad Credit?[/h2] [p]Yes, you can still get a bond. If you have bad credit it’s not impossible, but it will increase your cost to secure a bond which can run upwards of $2,000. Keep in mind that surety bonds do not affect your credit score so it wouldn't hurt to search around though it's best to start at the bigger agencies first. [/p] [p]The larger the firm the more freight broker bond providers they work with which increases your odds of being approved. Just remember the premium on the freight broker bond is a percentage of the bond itself, so if your credit is bad the premium will be higher. Even though you will have to pay more up front it allows you to open your business and provides an umbrella in case of any freight claims.[/p] [h2]Freight Broker Bonds and Claims[/h2] [p]Trucking is dangerous and things are bound to go wrong on the road from time to time. Customers will understand that. However, when things do go wrong, someone needs to be held responsible and pay the damages. Similar to a car accident, there will be a resolution and one party must pay out to the other.[/p] [p] This is why it is required for companies to maintain a $75,000 bond. If you're found responsible and must pay out on the claim, your bond will act as a line of credit to do so. Before being issued your bond you must sign a legal document to repay in full in the case of such a payout. [/p] [h2]Bonding Agency [/h2] [p]When selecting your bonding agency to try to use one who is also a Managing General Underwriter (MGU) bonding agency. MGU Agencies can and will help you through each stage of a claim. It is recommended to do everything possible to be proactive when issues arise on loads to prevent claims from being filed. Just like car insurance the more accidents, you have on your record the harder it is to get insured. Only here not being able to get a bond can cause you to go out of business as they are required to operate.[/p] [p]Remember DO NOT submit your proof of insurance directly to the FMCSA. The FMCSA requires that your insurance company submit the form and insurance certificate on your behalf.[/p] [h2] I Have a Freight Broker Bond, Now What? [/h2] [p] Now that you've covered your freight brokerage from potential claims with your freight broker bond, you can either continue to start your freight brokerage company or if you're ready, explore load boards to help you post loads that qualified carriers can view.[/p] [button-white href="https://truckerpath.com/blog/how-to-become-a-freight-broker/"]How to Become a Freight Broker[/button-white] [p]Freight brokers who use Truckloads have the ability to connect with over 100,000 qualified carriers ready to haul their freight. You can even track your loads to verify a carrier's location and ensure that your customers delivery is going according to plan. [/p] [button-green href="https://truckerpath.com/truckloads/broker-load-board/?utm_source=blog&utm_medium=brokerbonds&utm_campaign=aug2"]Get Started With Truckloads Now[/button-green]

Jul 26, 2017 • Brokers