With everything happening in today’s economy especially here in Canada. I believe if changes don’t happen sooner it might reach closer to half of the Trucking companies big or small might be taking out. I spoke to a few larger fleet owners who told me from about 10 well known fleets have already downsized from 50 trucks to 15 or from 100 to 20, filed for creditor protection or simply filed Bankruptcy altogether. it’s bad, in today’s economy. And with so much new foreign drivers apply for their CVOR\/MC#’ Carrier Authority it has over saturated the market with an abundance of trucks especially running lanes like Toronto to Montreal. That use to pay $1100 on average in November now it’s difficult to average $850 with a Dry van so I’ve changed to the East coast and that’s become difficult to get loads back to Ontario. Let’s keep it real, how can am Owner Operator keep up with one driver in a truck vs. 3 in a truck? That 3 shared license drivers in a truck never stops rolling so even if they take those single loads for less they keep lowing the bar in an already devaluing market.<\/p>\n
According to most industry reports, a typical profit margin for a trucking business is between 6% to 8%. With these tariffs etc. I’m thinking on throwing in the towel myself. Either going back to driving local, management or something else. It’s becoming a difficult hill to climb when weighing out the Pros vs. Cons.<\/p>\n<\/div>\n
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Well said bro, I can confirm the profit margin on all freight, is between 2-8%, even doing LTL. Most companies out west here, have been operating on break even, or 5-8% loss, surviving on credit and savings. <\/p>\n
This also goes for the gravel\/construction business, big dollars on the invoices, nothing left after you pay for it all; break even to maybe 5-8% profit. Unlimited truck and pup outfits, willing to do it for a loss just to get the work.<\/p>\n
I’m still doing ok, but I’m starting to think I should have looked into fuel\/propane hauling, roll off or something else. For Hire anything in trucking just seems to be the same old dead end.\n\t\t\t\t\t<\/p>\n
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