Can i Really Afford To Work For This Rate? 45 PPLM

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Can i Really Afford To Work For This Rate? 45 PPLM

Postby Anonymous » Tuesday 2 June 2009, 12:59

The Company ive been working for have dropped the outbound rate to 45pplm outbound journey(from 50pplm),again with no guarantee of a return journey

And with the price of fuel slightly rising,i feel like im at a dead end and the only option i really have is to carry on having them laugh at us every time we do a job for them.

My van is costing me 16.00 pounds per day(5days)
before ive put any fuel in,
im toying with the idea of closing down my small buisness as a courier,paying off the debt(as best possible)
and getting a job paying minium wage

ive never been so worse off,i know people say you need your own customers,cold calling buisnesses is a thankless task

Not having a moan,it was all my own choice to become self employed again...thought it would be better this time

Any positive comments are welcome,negative ones begin with F AND END IN O :lol: :lol: :lol:
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Postby RLT » Tuesday 2 June 2009, 13:24

Only you can make the decision as to close down or carry on.

You know your fixed costs etc.

Most are struggling, not just in this industry, Honda have only just gone back to work after a few months out! The country is on it's knees.

If the company you work for have dropped their rates [and most are doing so or having to!] and you dont like it, go find someone else to work for. It really is as simple as that, but finding others to work for at the rates you require is the hard bit.

BEST OF LUCK MATE.

[faqtag continue]
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Postby jue » Tuesday 2 June 2009, 15:37

hi richie. when i first started my business up last october i was working for 50 pplm. it was just a way of generating some money while i got other contacts along the way. at 45 pplm they are extracting the urine ! has everybody else took a drop ? probably not ! explain to them that it is not viable to work for that money and see what they say ? i bet they havent lowered their prices to their customers. they maybe just might be hoping that some poor sod who has been laid off will come along and jump into your shoes if you tel them where to go ? nobody could survive on the rates if the have the correct insurances in place. i be they don't check their insurances for that type of money ? the place where i first started didnt check mine even though i had the correct documents in place. i would be rather sat at my computer looking up other companies and getting in contact with them to see if they have any work for me. tell them where to go if you dont get the response you are looking for. good luck :wink:
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Postby RLT » Tuesday 2 June 2009, 16:29

i bet they havent lowered their prices to their customers.


Well I dont think that is strictly true! I know for a fact some of my customers have lowered [had to] their prices. Either that or 'go under.
the consequence being I either offered them a better service [cheaper] or
simply chose not to work for them.
It really depends too on volume of work that the customer puts your way.

I also know that a couple of my customers [very large well known companies] have been told that they must cut costs drastically from top to bottom throughout the organisation, hence alot of same day stuff is now being sent next day.

This is the result of the state this country has fallen to.

For us couriers the trouble now is that there are far too many of us chasing less and less same day jobs.

There is obviously a limit as to how 'little' one can charge for a job, and if done correctly [with H&R Insurances etc.] most customers realise that they have to pay to get a decent service.

Everyone has their own needs as to how much they need to earn so it's difficult to advise Richie as to his best course of action.
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Postby jue » Tuesday 2 June 2009, 16:39

i advise richie not to work for 45 pplm ! i wonder if anybody agrees with me on that ? i would be surprised if there wasnt anybody who thought the same as me ?
by the time you have taken your fuel, wear and tear on the van you would be better off working at mcdonalds or something similar to that. i mean no disrespect to people working at mcdonalds either.
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Postby wardy » Tuesday 2 June 2009, 16:46

Depends how much he needs the money,he still gotta find another job and thats not easy at the mo.If you tell em where to go youve really gotta have something in place first and like we know someone somewhere will work for 45pplm.You just got to stop and think first these days
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Postby dino » Tuesday 2 June 2009, 17:26

A lot depends on the amount of work you are doing but i personaly wouldn't work for that but if you are doing 5 or 600 miles a day then you could make a wage, thats £135 for 300 loaded miles less fuel £60-£70 (small van carefull driving)less insurance and running costs you are defo running at less than minimun wage.the smallest rate i have worked for in recent years is 58pplm but i was driving a fiesta van (very economical)and i was struggling to make a wage but the only person who can decide if you can afford to run for that is YOU my friend.
Last edited by dino on Tuesday 2 June 2009, 17:28, edited 1 time in total.
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Postby jue » Tuesday 2 June 2009, 17:28

very true wardy but why work for such a rate ? i couldnt see how he would make any money from that rate ?
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Postby steve jones » Tuesday 2 June 2009, 17:29

675 wrote:Only you can make the decision.


Or he's bank manager.

If you think back about 12 year's your find diesel was around 0.70--0.75p per litre.Even back then we was getting 0.50 pplm,thats how much the subbies rate has changed in 12 years,damn perfetic really.
You need to move on richie this company will take you down,is this a big company we all know of???
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Postby jue » Tuesday 2 June 2009, 17:35

i am curious as to what the company involved in this discussion is called ? i dont think that i am breaking any rules on asking am i ?
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Postby RLT » Tuesday 2 June 2009, 17:47

jue wrote:i am curious as to what the company involved in this discussion is called ? i dont think that i am breaking any rules on asking am i ?


why would it be breaking rules? :roll:

The thing i cant get my head around with these types of discussions is : 'what is one man's meat, is another mans poison'

It matters not what profit [if any] someone else makes

It's their business, and if they are not making enough to live, either their overheads are too much or they aren't charging enough. If someone pays x amount and the 'takers' are happy ................... so what?
If the subbie is not happy he should either negotiate a better rate or move on!
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Postby Noble Express Couriers » Tuesday 2 June 2009, 17:50

I used to work for a company who nearly brought me down!! So I left and set up my own company to try and actually make money for myself. I was getting a whopping 46pplm. I knew they were charging about £1.20 odd per mile - and customers were paying it. So I could go in cheaper and still make a good wage....which I did.

I think I have a good idea what the company is. does it end in .....int??
Well if not then the company im thinking of is just as bad :shock:
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Postby steve jones » Tuesday 2 June 2009, 18:04

I also seem to remember once the subbie used to get 60% of the job and the office got 40%.
It seem's the office have turned that around at some stage.
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Postby Darren » Tuesday 2 June 2009, 18:43

What has "Whatever You can afford to run for" got to do it ?


Each area has a average price for Retail and subby.


This is dictated by the area/amount of couriers and of course the subby rate is dictated by the companies with the most work.


45 pplm is pretty drastic though ! 60/70 p round here average.

But when you consider that City Sprint have openly said they can and do offer retail rates of 69 p :roll:

I remember the 60/40 days :shock:
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Postby CMD-Hants » Tuesday 2 June 2009, 19:03

Of course you should walk away. There is NO POINT in being a "BUSY FOOL".

It really is as simple as that.
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Postby Anonymous » Tuesday 2 June 2009, 19:15

Noble Express Couriers wrote:I used to work for a company who nearly brought me down!! So I left and set up my own company to try and actually make money for myself. I was getting a whopping 46pplm. I knew they were charging about £1.20 odd per mile - and customers were paying it. So I could go in cheaper and still make a good wage....which I did.

I think I have a good idea what the company is. does it end in .....int??
Well if not then the company im thinking of is just as bad :shock:


Bang on the money my friend,it does end with that
Making me bad :cry:
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Postby Anonymous » Tuesday 2 June 2009, 19:20

I would like to thank all you guys and girls for your positve comments so far,my missus(wife to be on saturday)

Yes im getting married on saturday and now there is obvoiusly talk of having a baby,can you see why im stressed at working for 45 pplm :shock:

Im sick to the back teeth of bowing down and working untill 12 and 1am in the morning,not to mention knackered!!!
Anonymous
 

Postby Darren » Tuesday 2 June 2009, 19:21

Noble Express Couriers wrote:I used to work for a company who nearly brought me down!! So I left and set up my own company to try and actually make money for myself. I was getting a whopping 46pplm. I knew they were charging about £1.20 odd per mile - and customers were paying it. So I could go in cheaper and still make a good wage....which I did :shock:


Did you poach there customers then by undrecutting them ?
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Postby Anonymous » Tuesday 2 June 2009, 19:23

jue wrote:i advise richie not to work for 45 pplm ! i wonder if anybody agrees with me on that ? i would be surprised if there wasnt anybody who thought the same as me ?
by the time you have taken your fuel, wear and tear on the van you would be better off working at mcdonalds or something similar to that. i mean no disrespect to people working at mcdonalds either.


Thank you,the wife thinks im moaning when i mention 45 pence per mile
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Postby Noble Express Couriers » Tuesday 2 June 2009, 19:35

cant really say on here - dont want to either give my company a bad name or get done for tarnishing their name!! lol

On a serious note though - GET OUT while you can - the company seems to have a hold over the drivers, once there in its hellish hard to get out.

I left them and went on me own - if I was going to go under, I wanted it to be on my terms, with me fighting - not going out with a whimper working for a company who makes the same on the job as I do, only I have to deduct fuel, van etc.

They proved that there is work out there, and that end users are paying for it (£990 they charged their customer - wait and return from Warwick to Cumbernauld) I saw £390 - that included me driving through the night, sleeping in the van on a friday night - thats not net profit either aswel....no thanks!!
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Postby RLT » Tuesday 2 June 2009, 19:49

cant understand why anyone criticises what Comapnies charge their customers and pay the subbies. The work contract is between the company and the sub contractor, its nothing to do with the subbie what they are charging the customer! If the subbie isnt happy ................dont do it, full stop! but if there are people out there willing to work for half the price of others, I know who I would choose.
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Postby Anonymous » Tuesday 2 June 2009, 19:52

Yep ive been there,the combo cockpit is a recipe for a bad back :lol:
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