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6 contributions to Dispatching 101 For Beginners
Start Here!! Welcome Everyone
I have over 30 years in trucking and logistics. I can teach you step by step how to start a Freight Dispatching business from your own home. The Dispatching Course is offered for FREE. Here is how to start: 1. Post an Introduction and what you hope to learn in this community. 2. What are your goals with this course? 3. Start under Classroom tab at the top. First module is all you need to know to start dispatching. I am here for questions and I do have video tutorials we are shooting and they will be posted soon IF YOU INVITE A FRIEND TO THIS COMMUNITY YOU WILL RECEIVE ALL COURSES POSTED FOR FREE
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@Jasmine Gill Welcome! I am so glad you found us. I update things daily and add new stuff when I can. If there isn't a video available for a certain section, there will be soon. I am trying to get them all recorded. If you ever need help with anything or if there is a locked module you are interested in, Just shoot me a message. I cant wait to see where this journey takes you.
Understanding CPM (Cost Per Mile)
Hey everyone! 👋 If you've been working through Module 3, you know we’ve been talking about why Gross Rate-Per-Mile on 123Loadboard can be a massive trap. Let's look at the actual 2026 freight market: Right now, national Dry Van spot rates are hovering around $2.35 to $2.45 per mile. That sounds decent on paper—but with inflation, insurance hikes, and diesel hovering around $3.80/gallon, the average carrier's true operating cost is now pushing $2.26+ per mile. If you don't know your carrier's exact numbers, you might be booking loads that yield just 9 cents a mile in profit. That’s not a business; that’s a slow-motion exit! As a dispatcher, you are the financial frontline for your carriers. To help you master this, I put together this Cost Per Mile (CPM) Cheat Sheet so you can help your drivers calculate exactly what they need to stay profitable. Save this, screenshot it, or print it out! 🖨️👇 🧮 THE DISPATCHER'S CPM CHEAT SHEET The Golden Formula: Cost Per Mile (CPM) = (Fixed Costs + Variable Costs) ÷ Total Miles Driven (Loaded + Empty) 1️⃣ FIXED COSTS (The "Parked Truck" Bills) These must be paid every month even if the truck doesn't move an inch. - Truck/Trailer Payments: $1,200 – $2,800/mo - Insurance (Liability, Cargo, Physical): $1,000 – $2,200/mo - Permits, ELD, & Tags: $200 – $450/mo - Total Fixed Average: ~$3,000 – $6,850/mo - 2️⃣ VARIABLE COSTS (The "Wheels Rolling" Bills) These go up with every mile you drive. - Fuel: Current Diesel Price ÷ Truck MPG (e.g., $3.80 ÷ 6.5 MPG = $0.58/mi) - Maintenance & Tires: Budget $0.15 - $0.25/mi - Tolls & Fees: Budget $0.05 - $0.10/mi - Driver Pay / Owner Draw: Target $0.55 - $0.75/mi 3️⃣ EXAMPLE CALCULATION (8,000 Miles/Month) 1. Fixed CPM: $4,000 monthly overhead ÷ 8,000 miles = $0.50/mile 2. Variable CPM: $0.58 (Fuel) + $0.20 (Maint) + $0.08 (Tolls) + $0.64 (Driver) = $1.50/mile 3. Total CPM (Break-Even): $0.50 + $1.50 = $2.00/mile 🎯 The Dispatcher's Target: If this carrier's break-even is $2.00/mi, you need to book loads averaging at least $2.30/mi across ALL miles (including deadhead) just to secure a basic 15% profit margin for them!
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Types of Freight and what they are
1. Standard Full Truckload (FTL) Equipment 📦 Dry Van (V) What it is: A standard enclosed 53-foot trailer with a hard roof and sides. What it hauls: Palletized freight, non-perishable food, consumer packaged goods (CPG), electronics, clothing, boxes. Key Dispatcher Note: The most common equipment type on any load board. Easiest to find loads for, but has high competition and fluctuating market rates. ❄️ Refrigerated / Reefer (R) What it is: An insulated enclosed trailer equipped with a front-mounted temperature control unit (reefer unit). What it hauls: Fresh produce, frozen foods, pharmaceuticals, floral goods, sensitive chemicals. Key Dispatcher Note: Commands higher rates per mile, but requires monitoring continuous temperature settings (pre-cooling, reefer fuel) and carries higher liability for spoiled cargo. 🚜 Power Only (PO) What it is: The carrier provides only the tractor/semi-cab without a trailer. What it hauls: The broker or shipper owns the trailer (pre-loaded) and pays the carrier to haul their trailer from Point A to Point B. Key Dispatcher Note: Low driver overhead (no trailer maintenance or lease), but requires specific insurance (Trailer Interchange Insurance). 2. Flatbed & Specialized Open-Deck Equipment 🏗️ Standard Flatbed (F) What it is: An open 48-foot or 53-foot platform trailer with no sides or roof. What it hauls: Construction materials, lumber, steel coils, pipe, machinery. Key Dispatcher Note: Requires physical labor from the driver for tarping and strapping. Always verify if a load requires tarping (Lumber Tarp vs. Steel Tarp) before booking. 🪜 Step Deck / Drop Deck (SD) What it is: A flatbed with a lower main deck designed to carry taller freight without exceeding legal height limits (usually 13'6"). What it hauls: Tractors, large industrial equipment, tall machinery. 🚜 Removable Gooseneck / Lowboy (RGN) What it is: A low-profile trailer where the front detaches, allowing heavy wheeled/tracked equipment to drive directly onto the deck.
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Learn the Lingo!
In freight dispatching, knowing the industry jargon is essential for communicating efficiently with drivers, brokers, and shippers. Below is a breakdown of key dispatching terms, categorized by how they are used in daily operations. 1. Load Booking & Essential Paperwork - BOL (Bill of Lading): The master legal contract between the shipper and carrier detailing what is being shipped, quantity, weight, origin, and destination. The driver must have this signed at pickup and delivery. - - Rate Con (Rate Confirmation): The legally binding contract sent by a freight broker to a dispatching carrier stating the exact pay, route details, pickup/drop times, and special requirements for a load. - - POD (Proof of Delivery): The signed BOL or delivery receipt confirming the consignee (recipient) received the freight intact. Required to get paid. - - TONU (Truck Ordered Not Used): A fee paid to the carrier (usually $150–$300) when a broker cancels a booked load after the driver has already started driving toward the pickup location. - - MC Number (Motor Carrier Number): A unique identifier assigned by the FMCSA giving a carrier or broker legal authority to transport or arrange interstate freight. - - Lumper: A third-party worker paid to unload or load freight at a distribution center. Shippers/brokers reimburse the driver for lumper fees via a lumper receipt. 2. Rates & Accessorial Charges - Linehaul Rate: The base pay for moving cargo from Point A to Point B, excluding fuel surcharges or extra fees. - FSC (Fuel Surcharge): An additional fee added to the linehaul rate to offset fluctuating diesel prices. - Accessorials: Extra charges billed for supplemental services or delays outside standard transport (e.g., detention, layover, tarp fees, extra stops). - Detention: Hourly pay billed to the shipper/consignee when a driver is kept waiting at a loading dock past the standard grace period (typically 2 hours). Rates range from $50–$100+/hour.
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Stan Store Promo
I have most of the documents here available on my Stan Store. Some are free and some are paid downloads. Please visit and sign up for anything that interests you. https://stan.store/BamaBossDispatchers
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Julie Floyd
2
14 points to level up
@julie-floyd-3928
Dispatcher with 20+ years of experience in freight dispatching. I am here to build a community of like minded people who want to learn together.

Active 24m ago
Joined Jul 29, 2026
Alabama
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