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Minimum 1 day rates for each type of equipment. It is important to understand how to establish rates and what different lanes are worth if you are going to become a Freight Broker or a Freight Agent.
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LogisticsAcademy.org Connect with us on LinkedIn! Minimum DAILY Rate Charges It is important to understand rates and what different lanes are worth if you are going to be a Freight Broker, Freight Agent, Traffic Manager, Dispatcher, or Driver. You don’t want to be getting ripped off and you must to be able to provide competitive quotes! Understand that not every single load is going to be transported across the entire country, many of them may pick up and deliver on the same day and even within the same city. When a load is only going 30 or 60 miles you can’t really get away with just paying the truck $2.00/mile, you are renting a $100,000 piece of equipment for a day (plus a driver). So there are industry standard minimum day rate charges because carriers all have operating costs & expenses! A carrier may have to make payments on their truck and do all sorts of other things such as pay for maintenance, insurance, and fuel, and they can’t really afford to just be sending their equipment out for free! Obviously, it is a business.
The least you can really get away with paying carriers depends on their type of equipment, so if it is a dry van, flatbed, or a reefer, a common minimum 1 day rate is anywhere from $400 - $750 plus $100 on refrigerated units for a fuel allowance. $1,000 for a step deck or double drop trailer and then if you want an RGN it’s just kind of dependent on how many axles are required. But for the most part carriers are going to be setting their prices without much room to negotiate. A broker that calls a carrier and says “I need ‘x-y-z’ for $400” the carrier may say “nope, I need $500”– in that sense it just kind of depends on the day. But that’s it, and that is another important aspect for learning & establishing freight rates for your company.
