FREE COURSE · NEW AND ESTABLISHED OPERATORS
Understand the numbers behind every load
Five practical lessons, a load-evaluation calculator, worked examples, and short knowledge checks. No account required.
LESSON 1
Know your operating cost
Start with a consistent period, such as one month. Add business expenses including fuel, insurance, equipment payments or depreciation, maintenance, tires, tolls, permits, and other relevant costs. Some costs occur even when the truck is parked; others increase with mileage.
Divide those costs by all business miles for the same period. This creates a planning estimate, not a guarantee of future expenses. Track owner compensation, income taxes, and desired profit separately if they are not already included.
$7,500 of operating costs ÷ 5,000 total miles = $1.50 per mile. These are hypothetical figures, not an industry average.
Knowledge check: Is gross revenue the same as profit?
No. Operating expenses and other obligations must be accounted for before determining what remains.
Separate fixed, variable and irregular costs
Fixed commitments continue while the truck is idle; variable costs generally rise with activity; irregular expenses such as major repairs must still be anticipated. For decision-making, use consistent periods and business miles and be explicit about whether owner compensation and taxes are included.
Monthly costs of $7,800 across 8,000 business miles produce $0.975 per mile. At 6,000 miles with unchanged costs, the result becomes $1.30 per mile.
Apply it step by step
Build three columns for fixed, mileage-dependent and irregular costs; document your assumptions and calculate a conservative low-mileage scenario.
Common mistake: Do not treat one unusually busy month as a permanent baseline.
Self-check: what would you calculate?
Build three columns for fixed, mileage-dependent and irregular costs; document your assumptions and calculate a conservative low-mileage scenario.
LESSON 2
Count loaded and empty miles
Loaded miles generate the quoted freight revenue. Empty miles to reach pickup or reposition after delivery can consume fuel, tires, maintenance, and driver time without generating that revenue. Some trips also include detours or personal miles; distinguish business mileage consistently.
A $1,800 shipment has 600 loaded miles and 70 empty miles. Loaded-mile revenue is $3.00, but revenue over the 670 known total miles is approximately $2.69 per mile.
Additional repositioning after delivery may reduce the effective rate further.
Knowledge check: Which load is better?
You cannot decide from the posted rate alone. Compare all expected miles, costs, time, risks, and what the delivery location means for your next move.
Trace every business mile on the route
Record empty positioning before pickup, loaded mileage, and realistic positioning after delivery when relevant. Compare actual odometer or route records with estimates. Avoid double-counting miles between consecutive loads.
A $1,800 load over 600 loaded miles plus 70 deadhead miles yields $2.69 revenue per total mile; adding another 180 miles of necessary repositioning reduces that to about $2.12.
Apply it step by step
Draw a three-leg route from your current location to pickup, delivery and the next likely freight market. Label each leg paid or unpaid.
Common mistake: Do not use loaded-mile RPM to describe total-trip profitability.
Self-check: what would you calculate?
Draw a three-leg route from your current location to pickup, delivery and the next likely freight market. Label each leg paid or unpaid.
LESSON 3
Practice evaluating a load
Use the calculator to estimate revenue per total mile and the amount left after modeled operating costs. It does not assess legal weight, scheduling, taxes, insurance coverage, broker creditworthiness, or the availability of a return load.
Load evaluation practice
Estimates only. Do not treat the result as guaranteed profit or take-home pay.
Before accepting: verify freight dimensions and weight, equipment suitability, appointment windows, securement needs, payment terms, and your next likely position.
Turn a posted offer into a defensible decision
Verify dimensions, cargo requirements, loading support, pickup and delivery times, counterparty identity, payment terms, route, miles, operating costs and expected follow-on opportunities. Then compare the projected remainder with your business target.
At $1.50 modeled cost per mile, a 750-mile trip paying $1,800 has $1,125 in modeled mileage costs and $675 remaining before unmodeled expenses, taxes and owner compensation.
Apply it step by step
Create a load-decision worksheet: pay, total miles, costs, special expenses, time commitment, risk, payment timing and acceptance threshold.
Common mistake: Do not treat a positive remainder as automatically worth taking.
Self-check: what would you calculate?
Create a load-decision worksheet: pay, total miles, costs, special expenses, time commitment, risk, payment timing and acceptance threshold.
LESSON 4
Profit and cash flow are different
A trip can appear profitable on paper while the business runs short of cash. Fuel, repairs, and insurance may be due before a broker or customer pays an invoice. Record payment terms, expected collection dates, and cash needed for upcoming expenses.
A customer agrees to pay $1,800 after delivery, but you must buy fuel today. The revenue is not spendable cash until collected. A reserve reduces the chance of missing the next job while waiting for payment.
Factoring can accelerate collections but introduces fees and contract terms. Compare the total cost and recourse provisions before deciding whether it fits your operation.
Understand why good loads can still cause cash shortages
Fuel, tolls and wages may be paid before the customer settles an invoice. Track when expenses leave the account and when money is expected to arrive. A profit estimate does not establish available working capital.
Two profitable deliveries may require $2,400 of cash outlay this week while invoices are not due for another month. A cash forecast can expose that gap before dispatch.
Apply it step by step
Build a weekly four-column forecast: opening cash, expected collections, planned outflows and closing cash for the next six weeks.
Common mistake: Do not use unpaid receivables as though they were cash.
Self-check: what would you calculate?
Build a weekly four-column forecast: opening cash, expected collections, planned outflows and closing cash for the next six weeks.
LESSON 5
Compare your projection with what happened
After delivery, record actual revenue, total miles, fuel, tolls, parking, unexpected expenses, and time spent. Compare the result to your original estimate and note why it changed. Over time, your own trip history becomes a better planning reference than generic industry averages.
Knowledge check: What should you change after an unprofitable load?
Identify the actual cause first: underestimated deadhead, fuel, delays, poor pricing, or another factor. Update your assumptions instead of making a blanket rule from one trip.
Explore Grab That Load's load-analysis tools →
Close the loop between projected and actual results
Record actual fuel, tolls, deadhead, delays, repair allocation, invoice amount and collection date. Explain variances rather than only looking at the final number. Update future estimates based on repeated patterns.
If a projected 700-mile trip becomes 830 miles due to repositioning, at $1.50 per mile the additional 130 miles add $195 in modeled costs.
Apply it step by step
After three trips, compare estimated versus actual miles, cost and time. Identify one assumption to adjust before quoting the next load.
Common mistake: Do not discard projections when actual results disagree; learn why.
Self-check: what would you calculate?
After three trips, compare estimated versus actual miles, cost and time. Identify one assumption to adjust before quoting the next load.
VISUAL LESSON · TOTAL-MILE ECONOMICS
A load pays for loaded miles. Your business pays for every mile.
Deadhead to pickup and repositioning after delivery can materially change the economics of the same advertised rate.
Try it: recalculate the all-mile rate if post-delivery repositioning rises from 80 to 200 miles. How does that change your decision?
Practice scenario: compare two delivery locations
A $1,800 offer covers 600 loaded miles with 70 miles of pickup deadhead. Compare 80 miles versus 250 miles of repositioning after delivery.
Show the worked example
Scenario A: 750 total miles, $2.40 revenue per total mile. Scenario B: 920 total miles, approximately $1.96 revenue per total mile. At an illustrative operating cost of $1.50 per mile, the modeled remainder changes from $675 to $420, before costs excluded from the estimate.
What should you ask before accepting?
Verify realistic repositioning distance, the receiving appointment, unloading delays, operating costs, and the freight prospects near delivery. Compare projected results with actual trip records.
Further reading: U.S. Small Business Administration: Manage Your Finances.