Freight to job sites

[jaclo]

Hey guys, I was hoping to get some feedback on what is "fair" to charge a customer on a rather long haul to location.

Basically it is a 1000 mile trip, couple scrapers, dozer, grader, backhoe. I have my number for running up there loaded, how much can I reasonably charge to deadhead back to our yard?

1/2 loaded rate?

Any feedback appreciated.

 

[Scrub Puller]

Yair . . . jaclo. I suppose you could try anything, it wouldn't work with me. (big grin)

I would have thought that any repositioning costs would be included in the price, which under normal circumstances, on a thousand mile excursion may well have made you uncompetitive . . . I think there may be a bit more to the story?

Cheers.

 

[jaclo]

Yeah you read the situation correctly. 1%er that has established a really good business relationship with us and their biggest problem is spending their money with people they can trust

We could probably write any number on the invoice we want to, but as we usually don't get this far from "home base", I am just curious as to what the trucking fee could reasonably be.

 

[Scrub Puller]

Yair . . . jaclo .

1%er that has established a really good business relationship with us and their biggest problem is spending their money with people they can trust

I understand that situation completely. Is the relationship not such where you could discuss it with the client?

He/they would surely understand that you have costs to cover. It depends on the scope of the work of course. Obviously the bigger the job the less the haulage costs will show as a percentage of the overall project. Perhaps you could prepare a submission showing that (say) half rates for deadheading home would be reflected as so much per hour or cubic yard . . . the more hours or yards the less the cost will be?

In my days of contracting we wore the cost of shifting . . . payday didn't start until we started digging dirt or knocking down some trees. Please note though that I am an old dinosaur from a different age and country . . . things have changed and, to some extent, I'm just making conversation.

I am surprised some of the US folks haven't chimed in with some thoughts.

Cheers.

 

[jaclo]

I understand that situation completely. Is the relationship not such where you could discuss it with the client?

Ohh we could, but we like to think we know what we are doing haha, mostly just trying to see what a slightly higher than standard rate would be for a deal like this. Basically we are going to make money no matter what, but as this type of mobilization is a bit outside of our experience, just trying to see what other guys could imagine charging. We also plan on getting paid to haul our **** out of there.

He/they would surely understand that you have costs to cover. It depends on the scope of the work of course. Obviously the bigger the job the less the haulage costs will show as a percentage of the overall project. Perhaps you could prepare a submission showing that (say) half rates for deadheading home would be reflected as so much per hour or cubic yard . . . the more hours or yards the less the cost will be?

Of course. We just want to do right by them and not charge an unreasonable amount. Its a thousand miles to site and around 3 months of work.

 

[overworked]

If it's a bit job, I would expect it in there, you knew where the job was located when you figured the bid, if customer called and said " go to so and so and do job" then bill them by the mile out, personally I would look to hire it out that far, you won't have a back haul to worry about, no motels, no food or fuel, no dot. No permits, are you permitted to run your trucks in those states? 1000 miles, five or more pieces, say 25 or 30 thousand, pay the invoice mark it up 10% and pass it along???

 

[RTSmith]

I'm with overworked here. I'd see what it would cost to just hire the move. Then either just pay that and pass it through, or then decide to do it yourself for the same $ but you will have a fair market price to base all decisions on. If that price is outrageous, then use your full load, 1/2 load number. But- in reality your cost number won't be half for the backhaul, probably closer to 80-90%? Only difference is a little fuel economy and permits. Trucks, drivers, per diems will be the same loaded or empty.

 

[JD8875]

I'm no trucker.... and 1000 miles is way outta my norm, but what about finding something to haul back towards home? Then the trucks are making 100% money both ways. Few phone calls to a freight broker in the area of the job might turn a little extra profit on the job.

Just my thoughts
John