The Business Of Independent Service Provider Contracting

New End Of Agreement (EOA) Process Forces A New Business Strategy

Posted by Jeff Walczak on Aug 2, 2020 8:39:53 AM

July 20th, 2020, was the day that FXG announced via MGB that it would make significant changes to the way they will approach your End Of Agreement (EOA) process.

It is important to understand what’s going on here, as it will impact the way you think about contract renewals with FXG.

At first glance, it appears it’s just FXG flexing its muscles again, and in some respects that’s true.

However, when you study the process, it’s easy to see that it is really an attempt to ...

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Topics: FedEx, Ground, ISP, FedEx Ground, Business, Contract, Investment, model, Agreement

Profitability Profile - Preston Wengert

Posted by Ben Weil on Feb 3, 2020 4:36:12 PM

HOW A COMMUNITY COLLEGE DROPOUT FOUND ENTREPRENEURIAL SUCCESS

You think your market conditions are tough, what about Colorado? According to the latest Bureau of Labor Statistics (BLS) data, the Denver area's average weekly wages are $1,242. Think it's easy to find drivers? The BLS also lists the area unemployment rate at 2.4%. Way lower than the U.S. average.

What made a young guy from out of town who knew nothing about the logistics industry think that he could buy a Ground business to support his growing family? Sure he's smart, but he's so young.

"There's no selling, no advertising, no collecting money from past due accounts. I'm not saying it's easy, but it beats a lot of other options out there," Preston Wengert says.

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Topics: Business Structure, Business Tools, Business Results, Management, ISP, FedEx Ground, contractor, Profit

Business Coaching Benefits CSP's

Posted by Ben Weil on Jan 19, 2020 2:43:03 PM

An Extra Set of Eyes

Dustin Franz bought an RPS route twenty years ago in Pasco, WA. Today, he's a successful FXG contractor with multiple routes. He's traveled an interesting path to profitability.

Buying a route was his first time owning a business. Much of how he learned to deliver packages came from his own experiences plus talking to contractors in his terminal.

Others taught him what they had learned from their own mistakes, and they really couldn't teach him how to be more profitable any faster. It was no fault of their own. They hadn't been trained themselves.

Dustin performed some online research and determined he needed outside assistance.

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Topics: Business Structure, Business Tools, Business Results, Management, ISP, FedEx Ground, contractor, Profit, coaching

Do Your Drivers Want to be Safety Compliant?

Posted by Ben Weil on Jan 12, 2020 10:00:00 AM

Are your drivers forced to comply with safety rules?

Or do they want to comply?

If you prefer the latter, maybe you should consider Ashiq Mizan’s unique approach.

Do Your Drivers See the Big Picture?

Ashiq Mizan is a CSP in Philadelphia, PA, who had grown increasingly frustrated with his drivers’ lack of safety training compliance.

Despite the safety training lessons being super-easy, compliance in October was around 5%. Not only did his drivers' indifference put his money at risk, but it also showed that they were missing the bigger picture.

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Topics: Compliance, FedEx, Ground, ISP, FedEx Ground, Business, Contract, Selling, contractor, Purchase, safety

Profitability Profile - Tracy Taylor

Posted by Ben Weil on Jan 6, 2020 1:15:00 PM


YOU CAN'T LET DRIVERS RUN YOUR BUSINESS

Business owners (CSP's) are generally likable. Drivers want to work for them. People enjoy being on their team. Nothing wrong with that. It's a good thing.

However, it's a problem when CSP's are too nice. Tracy Taylor learned that lesson early in his career as a Contractor. 

"I had 12 employees, 15 trucks and two operations hundreds of miles apart. My people needed me to make tough decisions instead of letting them manage themselves," he recalls.

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Topics: Business Structure, Business Tools, Business Results, Management, ISP, FedEx Ground, contractor, Profit

What If Someone Buys FDX?

Posted by Jeff Walczak on Jan 2, 2020 1:20:10 PM

Is FedEx about to be purchased?

The answer is probably not...maybe.

Truth is we'll never know for sure until it happens. But don't lose sleep over it because it's not under your control.

However, it's good business to think about and reasonably prepare for change. Focus on things you can control.

Let's take a look at what a sale of FDX might look like for CSP's.

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Topics: Business Structure, Business Outlook, FedEx, Ground, ISP, FedEx Ground, Business, Contract, Selling, contractor, Purchase

Profitability Profile - Steve Ellis

Posted by Ben Weil on Dec 8, 2019 10:15:44 AM


RETAINING EMPLOYEES IN TIGHT LABOR MARKETS

Steve Ellis has been a contractor for almost twenty years. Many business owners who've been operating that long think their processes work because they've "always done it this way."

However, Steve's openness to studying and changing his processes make his operations exceptionally successful in a state with some of the lowest unemployment rates in the country.

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Topics: Business Structure, Business Tools, Business Results, Management, ISP, FedEx Ground, contractor, Profit

Profitability Profile - Marena Markel

Posted by Ben Weil on Sep 2, 2019 1:07:00 PM


THE PERILS OF BUSINESS OWNERSHIP

Marena and Ralph Markel bought their first FedEx Ground route in 2005.

Of course, they were inexperienced owners, but they were committed to their future and each other. Like many couples who work together, each spouse brought different skills and strengths to the business.

After experiencing significant growth, the pair were overwhelmed by the responsibilities of leading a large team of commercial drivers including:

  • Scheduling
  • Payroll
  • Compliance
  • Training

Would the couple remain happily in business?

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Topics: Business Structure, Business Tools, Business Results, Management, ISP, FedEx Ground, contractor, Profit

16+ Benefits From Using An ISP Negotiation Consultant

Posted by Carey Manders on Aug 12, 2017 12:26:24 PM

Some of you reading this have already negotiated your first ISP agreement.

Maybe more than one. Others, still have not gone through the process yet, and are wondering what to expect.

Whether you are a veteran, or going to be a rookie, we thought we'd take this opportunity to share with you what we have learned from helping more than 800 of you (as of August of 2017) successfully get through the process.

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Topics: Business Tools, ISP Negotiation, Ground, ISP, FedEx Ground, Business, Contract, Negotiation, contractor

One Report That Determines Success Or Failure As An ISP Contractor

Posted by Gary Wade on May 1, 2016 1:00:54 PM

Why is it important to understand and monitor your weekly Driver Productivity Report that is emailed to you weekly from eTruckBiz?

Well, it could mean the difference between surviving in the ISP environment or not. 

I want to take you through the report, and show you why it is of utmost importance and why it matters to you.

First and foremost, it provides a way for you, on a weekly basis, to measure and monitor the performance of each driver to the goals or expectations you have in place for them. You should use it to give your drivers feedback and follow up on their performance.

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Topics: ISP Negotiation, FedEx, Business Metrics, Ground, ISP, Business

3 Things To Do NOW To Prepare For Your ISP Negotiation

Posted by Jeff Walczak on Jan 30, 2016 2:39:19 PM

Now that you know you will be going through your initial negotiation, there are a few things you need to be doing NOW. This it true no matter how far off it may seem. If you ask anyone who has already been through one, they'll most likely tell you that a solid understanding of where you currently stand (number-wise) is the foundation of a meaningful and successful process.

Not only will doing the things we are about to mention help you get more of what you want, but being prepared will dramatically lower your stress levels.

Most of us, when embarking on a journey to somewhere we've never been, get the map out (or today "Google It") to see where it is we are going. We then PLAN on how to get there.

You can PLAN your journey to your ideal ISP Destination by doing the following things:

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Topics: ISP Negotiation, FedEx, ISP, FedEx Ground, Business, Contract, Negotiation, model

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