Find More Profitable Owner-Operator Loads With These 5 Tips
Being an owner-operator in the trucking industry means wearing multiple hats. It's a career path that gives you the freedom of being your own boss and setting your own schedule. But, you also have to hustle to secure your own truck loads. Finding the best loads may be one of the greatest challenges of independent truck driving.
It’s not simply about finding owner-operator loads, either. In the competitive independent trucking market, the ability to find and haul the most profitable loads is the difference between your truck business thriving or merely surviving.
In this guide, we’re providing tips for owner-operators looking to take their business to the next level, including:
- Learning the owner-operator load board landscape
- Strategizing with tech tools
- Knowing how to negotiate and set rates
- Vehicle, physical and mental preparations
- Preparing for the challenges of securing truck loads
Read on to learn strategies for how to find truck loads that will increase your profits and improve your routes.
But First: How Do Owner-Operators Find Loads?
If you’re newer to the life of being an owner-operator or are considering the switch, you may be wondering how to find truck loads in the first place. We have a full guide for how to find truck loads for owner-operators, but below is a brief overview of some of the most common methods:
Use Load Boards
Load boards are online marketplaces that connect shippers with carriers, allowing you to browse through thousands of available loads across the country and bid on ones you’re interested in. If you’re really looking to maximize your trucking business profits, using a load board is one of the best methods to secure a truck load because you don’t have to share your earnings with another person or service.
Identify Freight Brokers
Freight brokers are the middleman between shippers and carriers and typically have great networks to find top-notch loads. They build relationships with shippers in a chosen sector and negotiate rates for you in exchange for a 25% to 35% cut of the profit.
Finding a good freight broker involves checking reviews, bonds, and credit history. Make sure they cater to your trucking business sector, and shop around for competitive payment rates and routes.
Work With Shippers Directly
You can cut out the middleman by contacting shippers directly. On the plus side, you’ll earn more revenue per-load. On the down side, it can be difficult to facilitate this relationship, especially if you don’t have much experience.
Working with shippers requires knowledge of the nation’s freight lanes and often involves a lot of time on phone calls and writing emails for networking and negotiating. You may also end up taking a load to an area where you’ll lose time and money looking for another load, or deadheading a long way to a busier freight hub.
Use a Dispatch Service
Using dispatch services can streamline the networking and negotiating process to find truck loads. Sometimes they also help with billing, accounting and paperwork. However, they charge a fee for their services and take a percentage of your load revenue, so it’s not much different from working with a freight broker.
Now that we’ve answered the question of how owner operators find loads, we’ll move on to the main topic: How to find the most profitable truck loads.
Tip #1: Learn the Owner-Operator Load Board Landscape
Before you can start hauling the best truck loads, you need to better understand the place where you secure them. As mentioned, load boards are digital marketplaces where brokers, shippers, and carriers post and bid on available loads.
However, not all load boards are created equal. Some boards specialize in certain types of freight or work with particular shippers or industries, while others may offer a larger variety of opportunities. Each board comes with its unique set of features that can be leveraged for your benefit.
Load Board Best Practices
- Use search filters: Most load boards have filters that allow you to narrow down your search based on factors like location, equipment type, and freight type. Take advantage of these filters to find loads that are the most profitable for your trucking business and use them for strategic route mapping.
- Be strategic about timing: Pay attention to the time of day and day of the week when posting or bidding on loads—this can impact your chances of securing a higher paying load. Also, be sure to respond promptly to opportunities.
- Maintain a professional profile: Make sure your profile on the load board is professional, complete and up-to-date to stand out to potential employers.
- Assess demands and rates: Understanding market demand and freight rates is foundational to strategic load sourcing. Look for lanes and regions where demand is consistently high and rates are competitive. This information can be found through load board data, as well as industry reports and insights from industry peers.
- Check for scams: Double check each load and verify details such as pick-up and drop-off times, requirements, and payment terms to ensure legitimacy before committing to a job.
Remember, load boards aren’t only great for finding owner-operator loads, they’re also a tool to build relationships within the industry.
Tip #2: Strategize With Tech Tools
Trucking technology has revolutionized the way owner-operators do business. Good truck management software can help you with things like route and fuel optimization, as well as communication and documentation processes.
Route Planning
Route planning software can help you find the most efficient path, factoring in road conditions, fuel economy, and toll costs. This not only saves time, but also leads to a higher ROI because it ensures your profits aren't eaten up by unnecessary costs.
Communication
Having a mobile app that allows you to track your load's progress and share that information with your customers is not only convenient but also a great way to build trust and prove your reliability.
Documentation
Mobile trucking apps for load tracking and digitized document management simplify and streamline the logistical aspects of load management, making your document management more efficient and less prone to errors.
Tip #3: Negotiate and Set Rates
Handling negotiations and determining your rates can be the most delicate part of the load-getting process. You want to earn what you're worth without driving potential clients away. Effective negotiation hinges on a keen understanding of your costs and market value, and communicating it well.
Know Your Business Costs
You can't set fair rates if you don't know what it costs to run an owner operator business. Factor in fixed costs like truck insurance and payments, plus variable costs including fuel, maintenance, and even your salary.
Keep It Competitive
Know what the market can handle, and be willing to give a little without selling yourself short. If you consistently offer excellence on the road, customers will be willing to pay a premium.
Negotiate Wisely
Negotiating is an art. Learn to articulate your value proposition while still being open to conversations that may lead to mutual benefit. Be prepared to negotiate, but also be firm about your limits. Knowing when to walk away from a deal is just as important as knowing how to close one.
Tip #4: Vehicle, Physical and Mental Preparation
Your truck is your most valuable asset as a business, but it comes second to your well-being. Making sure both are in tip-top shape will help you secure the best loads as an owner operator.
Vehicle Maintenance
Regular vehicle maintenance and inspections are important for safety, but they also make a big difference when it comes to avoiding downtime and costly repairs. Don’t wait for the squeaks and groans to begin; schedule regular servicing according to your truck's manual.
Get into the habit of checking your vehicle daily. Tires, lights, fluids – they all need to be in good shape to keep you and your load safe. Have an emergency kit on board for those unexpected roadside challenges.
Driver Wellness
Owner-operators are no strangers to the rigors of long hours and tight schedules. Truck drivers need to stay healthy — both physically and mentally — to maintain a competitive edge.
Make a point to stretch your legs periodically to keep circulation moving and avoid drivers' knee. Stocking your truck with healthy snacks can save time and money on the road.
The independence that comes with being an owner-operator can also lead to overwork and eventual burnout. Recognize the signs and take measures to prevent it, such as taking regular breaks, stress management and ensuring you maintain a life outside of work.
Tip #5: Be Prepared for Truck Load Challenges
Even with the best strategies and tools, challenges will still come your way. Flexibility and resilience are critical in this line of work. Anticipate and overcome the common obstacles with securing owner operator loads:
Dealing with Rejection
Not every bid will be successful. Learning to cope with rejection and understanding it's not a reflection on your abilities but rather the nature of the business. Use each no as a learning experience and a motivation to secure the next, possibly better, load.
Adapting to Change
The trucking industry is dynamic. Be flexible enough to adapt to changing conditions and turn unforeseen circumstances into opportunities. Being adaptable is about being prepared to pivot at a moment's notice.
Bonus Tip: Drive With CloudTrucks
Excelling as an owner-operator involves understanding your market, leveraging the right tech tools, skillful negotiation, and tactical physical and mental preparation. Mastering these tips can help boost your owner-operator load profitability and secure your lasting success in trucking. You also don’t have to do it alone - with CloudTrucks, you can run as an independent owner-operator, but still have the back office support while you build up your best practices for success.
Drivers with CloudTrucks have access to 300k+ loads from broker load boards plus our own exclusive shipper contracts, updated daily. You can view owner-operator loads from thousands of sources in a single app. Plus, with price recommendations, you can easily book in-app or negotiate a better rate. Start driving with CloudTrucks today.
