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Try Tim or Dennis at Reciprocal Ventures. They work with this model and I have never had an issue with them or any of the trucks under them.
Starting a Co-Ops company of owner/operator
- Thread starter loadbeaver
- Start date
Try Tim or Dennis at Reciprocal Ventures. They work with this model and I have never had an issue with them or any of the trucks under them.
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I have a feeling Shiprodeep belongs to SPG express per notes I found in the shoutbox. They are a new company that has not paid us since Jan for $125. Completed the load no hassle, still get the run around. Thats so funny and sad especially after reading all of his comments here.
Sad. What a way to ruin your reputation for $125.00. VERY SAD
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Sir we have nothing to do with SPG Express. I do not work for or with SPG Express and i am not sure what shoutbox you are referring to. We are carriers we do not broker loads.I have a feeling Shiprodeep belongs to SPG express per notes I found in the shoutbox. They are a new company that has not paid us since Jan for $125. Completed the load no hassle, still get the run around. Thats so funny and sad especially after reading all of his comments here.
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Hey Mike,
From a Model we are working on you are mainly correct in the steps.
In essence though it's pretty much a Dispatch service.
You actually don't need to charge that much for each portion, if you think about the revenue that each truck brings in, a Flat fee of the 7-10% range will cover costs.
The Whole Idea is an incubator model.
Owner Ops would share resources.
Share and Admin team, Share a Dispatch system, Share a Sales Reps, Share a Dispatcher, Share a 1-800 Number, etc.
These type's of models are mainly used for Brick and Motor, people would all pitch in to rent out a large building and share a phone system and receptionist.
You would have the Owner Operators either sign on under your authorities or they can use their own.
For the ones using their own, they would be agents. For insurance purpose, this would be consider brokered freight and your insurance would turn into a contingency insurance if anything happens.
It can actually be very profitable and can work very well.
You can supply everything aside from the Dispatch (sourcing Freight) side for a lesser cost or you can supply everything,
Dispatch, Admin, Tech, Safety & Compliance
Plus the O/O would look larger as well and could have more success with freight off boards.
There is endless possibilities that can happen from that, but it's not too complicated.
With Tech these days you can make things very simple.
In terms of Accounting, everything would flow through the 'head' company name and books. O/O's could be paid weekly or you could factor everything (shared factoring company means more aggressive rates there) and pay them as soon as money is received.
This is a quick summary of the ops side of that type of model.
We have quite a few guys interested form 1 truck guys to 5-10 truck guys. We are ironing out the paperwork personally but it is a model and it can work and seems to have interest in it!
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Correct,
Own Authorities and Trucks, but you can bring on Owner Op's to get access to fleet insurance and would allow Sales guys to sell for a larger spread of trucks as well.
Same Idea with bringing on O/O's under normal models, but giving them an option to use their own authorities still
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Are all of the drivers, both company employed and O/O’s covered with WSIB? That would be a concern for both shippers and freight brokers. Also, if one of your “independent” O/Os wracked up a pretty poor CVOR and DOT score, would you welcome him to operate under the company authorities? Another concern from a freight brokers perspective would be, who is ultimately responsible in the event something goes sideways? The last thing I would want to hear when tracing a shipment or trying to resolve a problem would be “ oh, that was one of our independent agents, you’ll have to deal with him”. This co-op approach no doubt has it’s supporters and I am sure it’s benefits as well, but in the case of a problem, I want to talk to either the owner, or at best, an effective general manager.
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Henry,
In my educated opinion (I can't tell you how exactly). I believe that SPG and Shiprodeep are not the same person, and Shiprodeep and I don't get along...
I hope you manage to collect from SPG though!
It probably would be best if SPG were to contact Henry and sort this out.
Keep well,
Mike
I have a lot to say on this topic but can't spare the time today. I'll get to it, this is a great thread.
In my educated opinion (I can't tell you how exactly). I believe that SPG and Shiprodeep are not the same person, and Shiprodeep and I don't get along...
I hope you manage to collect from SPG though!
It probably would be best if SPG were to contact Henry and sort this out.
Keep well,
Mike
I have a lot to say on this topic but can't spare the time today. I'll get to it, this is a great thread.
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Hey there,
1) All Company Drivers and Owner Operators would be under WSIB or have some sort of Works comp (US Drivers), if the O/O's are exempt, we require that they have coverage in another aspect, it is something we can help with - going back to the partnering benefits - or they can get it on their own. But either way, they have to have some sort of Workers Comp as per our requirement as well for WSIB.
2) If they have a bad record, they would not become a partner or a part of our authorities. Just like applying for a Job or applying to become a partner of a brokerage, everything is taken into the application and it is monitored as well - Especially since the Safety and compliance would be done in house - only applicants who pass our requirements would be brought on.
3)The Parent company would be the responsible company when it comes to claims. They would be added to the insurance policy. That is one thing I have noticed and annoys me as well from working with Dispatch Services in the US, and you can never get a hold of them either.
That's why if they are under their own insurance, the parent company would be added on that way it can be resolved. The Parent company would also have Full damage insurance from a 3rd party perspective. That way either way it's covered and there is no run arounds.
4) There would still be a chain of command like there is now in normal trucking companies. You would first contact the Dispatcher, then the Team Lead or direct to a manager, and if they can't handle it then ultimately an executive that can do executive decisions.
The whole Idea is that the O/O's are still independent but they can also be apart of something big.
They want to dispatch themselves but want help on the back end, go for it.
They only want to do 1 load a month, go for it.
As long as they abide by the core values and processes, then they can be independent, run where they want, when they want, but also have the support like they are part of a large company.
I am a little confused. Were you referring to SPG in Brampton or Alberta? I have never heard of SPG in Alberta. Someone sent me a private message asking about SPG Alberta. I do not know them. I am trying to collect a small invoice for a Montreal drop, from over 90 days ago. SUPERSAM. Are you sure that Shipro is SPG....BRAMPTON? Or Alberta?