The Annual Load Book was designed by a 3rd generation owner operator with serveral years as both a fleet owner and an owner operator. It has been my experience that you have to know what you are doing first to be able to stay on top of your program and not wake up one morning out of business. The Annual load Book is a tool that helps me stay on track.

KEEPING YOUR BUSINESS ALOFT

Though we'll probably never see the day you can drive a truck from California to New York without taking your eyes off the dash, the more financial data you have to analyze, the more likely you will be to make money on that trip. Find the business questions you need answers to, and formulate a program that supplies those answers. Then adopt policies and modes of doing business that make you a better businessperson and watch the effects of those changes in your program as you fine tune your operation. Use the Annual Load Book App to make sure you are controlling every single factor of your operation that you have any control over, and understanding all the ones that are beyond your control. Then you can relax and enjoy the ride, cause the great view hasn't changed a bit.

 

OTHER BAROMETERS OF FINANCIAL HEALTH
The Cost Per Mile summary in the Annual Load Book App is just one of many ways that can give you an idea of what is going on in your operation. The beauty of this summary is that it uses the same numbers you have already gathered, just presented  in a different way to give you perhaps a different financial view.

ROUND-TRIP PROFIT SUMMARY
Using the Annual Load Books Cost per mile and the load running mile revenue report summarizes the income and expenses of each round-trip made. This will average out the rate differences between legs of a trip and provides you with yet another view of how you make money. Also, when you begin to see that some trips are winners and some are losers, you can make a point of seeking out the winners, and avoiding the losers.

ACCOUNTS RECEIVABLE LEDGER (just good sense)
In today's business climate you are more likely to get paid when you threaten to sue than on the date the money is due. Shippers and brokers that owe you money are using you as an interest-free bank when they go over their due date. If they really don't have the cash on hand to pay you, they could borrow the money from the bank to pay you, but that costs them interest on the loan. Simply not paying you costs them nothing, and they save the interest on the loan. At the same time having a large accounts receivable can strangle your operation to death. Keep your terms in writing, but if a customer is historically late in paying, you have a couple of options. One is to charge him a higher rate to make up the difference, the other is to quote a higher rate for their "normal" payment and then offer a discount for payment within 15 days. If a good paying customer changes the way they are paying, ask around and find out what the real cause of the change is. There's some wisdom in keeping your customer list diversified. Don't let the failures of another company drag yours down with them. A good customer is one that has loads, and pays you on time.

FUEL LEDGER
Since fuel is your largest variable cost, small changes can have significant results. Track those changes in the App. Making a change in your driving or equipment that adds as little as two-tenths of a mile more travel per gallon of fuel (i.e. 5.7 instead of 5.5 mpg) can translate into more than $2000 in annual savings. Use the expense view and add the gallons of fuel you buy because by fine tuning every cost in an operation can make a significant difference in its profitability.

DAILY OR WEEKLY COST OF OPERATION REPORTS

The running mile revenue column that is on every view starting with the load, then continues on the current monthly summary for the year you are in. The object is to make every month with enough revenue to accomplish what it is that you want you program to be. The app is a tool to help you stay at the revenue projection that you set in order to keep more money out of each load then you need to keep the running mile up. To keep the cost per mile down you need to keep the miles up, while moderating the revenue per mile you make. Balancing these can be a trick but with the right tools it can be easier.

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