Today I’m officially announcing that after 14 years, I’m stepping down from my role as CEO at uShip, the online shipping marketplace I founded in 2003. I will remain on our Board and continue to guide and advise the company along with our other Directors. Ultimately, this frees me up to pursue other interests and opportunities, including getting more involved with early stage startups.

I’m also excited to share that Jim Martell, one of the industry’s most seasoned logistics veterans, has joined uShip’s Board and agreed to serve as interim CEO while we narrow down a large field of full-time chief executive candidates. Jim is an experienced CEO and will offer great wisdom and insight to the team.

Jim Martell, uShip Board member and interim CEO

As you can imagine, the decision to hand over the helm isn’t an easy one. If you’ve ever turned a hunch or idea into something greater, especially into a successful and rapidly growing business, you will understand. Letting go is hard.

I’ll miss being part of the amazing culture we’ve built at uShip. If imitation is the sincerest form of flattery, then we should feel quite flattered that many aspects of our culture have been modeled at other Austin startups. While we’ve always taken our work seriously, we’ve always had fun in the process, whether it’s epic ping pong tournaments, First Fridays floating the river, enjoying daily home-cooked lunches, and other team bonding activities that ultimately help us work better together.

uShip’s annual ping pong tournament

I’m also proud of how we’ve given back to the community. We were founding members of the Startup Games, which has gone on to raise thousands of dollars for charities, and also sponsored Help on Wheels, our charitable shipping program, that helps get supplies and donations delivered to those in need.

Austin Startup Games, raising money for local charities

I’ve been planning this transition away from the operational CEO role for almost a year. For a few reasons, now is the right time. First, I wanted to see through the signing of a milestone strategic partnership, as well as to see some of our key strategic initiatives take root and establish momentum. Now that those things have taken place and the company is firing on all cylinders, it’s the right time for me to make my next move.

Over the summer, we announced a five-year partnership worth tens of millions of dollars with DB Schenker, Europe’s largest truck logistics company, to power its next generation load matching platform.

uShip’s less-than-truckload offering continues to see triple digit year-over-year growth and now features a roster of 30+ national and regional LTL carriers, including the nation’s top five—FedEx Freight®, XPO Logistics, YRC Freight, Old Dominion Freight Line and UPS Freight®.

Further, we’ve been enjoying accelerating growth across our marketplace as a result of several key product changes we’ve been implementing over the last two years.

When two classmates—Jay Manickam and Mickey Millsap—and I wrote the business plan for uShip for a Texas MBA class in 2004, I never would have dreamed we would accomplish what we have to date: Nearly $1 billion in gross sales earned by over 800,000 registered transporters who have made over one million deliveries in 138 countries. Not to mention 100 episodes of “Shipping Wars,” the A&E reality show that featured uShip for seven seasons between 2012-2015.

Out of hundreds of startups that have pursued this space, we are far and away the leading freight marketplace in the world. And we’ve done it by raising only $25M, a very little capital raise by today’s standards.

As uShip grew over the last couple years, I found myself in a CEO role that had become more operational and less entrepreneurial. Along the way, I came to realize that my true passion is in the early, entrepreneurial stages of building a company. I started to feel like I was doing myself (not to mention uShip) a disservice staying in a role that was not leveraging my skills and satisfying my interests. So, the timing feels right to make this move and scratch that entrepreneurial itch once again!

E’s ‘Shipping Wars’ featured uShip on 100 episodes between 2012-15

uShip has made such a difference in so many people’s lives. I couldn’t be more proud of what this team, our current 200+ employees, and all of our alumni have built together. We’re really just getting started in disrupting the $2.2T global freight industry.

Thanks, uShip. It’s been an honor and privilege to have served as your first CEO. I’m excited about what the future holds for us both!

uShip Float Trip 2010

[amp-cta id=’8486′]

The post An Amazing Journey… appeared first on The uShip Blog.

uShip may just be your next opportunity.

Sorry if this comes across as a bit, um, braggadocious, but we’re regarded as one of Austin’s quintessential startups with an often-imitated, never-matched company culture. It’s a key reason we made the 2016 Top Workplaces in Austin list, published by the Austin American-Statesman.

This is our 4th time on the list, this year ranking No. 20 among mid-size companies with 199-450 employees. Our 200+ employees (most based in Austin) are getting ready for a move into a new headquarters just south of downtown.

Rendering of uShip‘s new building complex expected to be completed in early 2017.

What the study revealed about uShip employees

The process behind this third-party study, and the survey itself, is exhaustive. Last spring employees took an anonymous survey, encouraged to be as honest and forthright as possible. The results and rating determined a company’s local rank.

What we learned, at least from uShip’s perspective, is that just as the company has matured, so too have employees’ motivations.

Back in the day, circa 2007, First Fridays (e.g. river float trips, party barges, scavenger hunts, paintball), SXSW parties, free meals, and more were all great workplace motivators.

Now, with uShip in its 13th year and in its post-pubescent startup stage, more pragmatic “motivators” are shaping employee attitudes: clear company vision and strategy, well-informed by leadership, going in the right direction, 401k matching, solid health care coverage, a great maternity and paternity leave policy, and general workplace flexibility/work-life balance.

In fact, the study found uShip scored well in areas of

being aligned as an organization
executing effectively
genuinely and meaningfully connecting with employees
managing employees well

There IS a free lunch

Don’t get us wrong, employees still value beloved traditions of free lunch Monday through Thursday and breakfast on Fridays, as well as team-building First Fridays, mojito happy hours, crawfish boils, sports teams, community service to help flood victims, Startup Games participation, and free yoga Tuesdays. But priorities change over time. Life tends to do that to you.

Granted, no place is perfect. We’d be naive to think otherwise.

Just like every workplace in America, if not the world, there are frustrations, changes, and even a few politics to manage. But all in all, we get along, work well together and have a few laughs (ok, a lot) along the way. Co-workers aren’t just random people in the next cube who reheat horrible smelling leftovers and burn microwave popcorn. Many employees, including company alumni, feel their uShip colleagues are basically extended family.

Unsexy and Proud

Those outside the company have probably said or thought to themselves, “How can you people get so excited about logistics and shipping? Total snoozer!” Granted, shipping is likely among the Top 5 most unsexy industries, sandwiched somewhere between college textbook reselling and manufacturing bread wrapper twist ties.

The One Thing

But, here’s the thing, it’s not that uShip employees are completely jazzed about the act of shipping. It’s more that we’re jazzed about making the experience of shipping better, smoother, cheaper, faster than you’ve ever known. A win-win for all involved.

This is our goal because we completely agree, it sucks to ship large and unwieldy things like cars, boats, motorcycles, heavy equipment, that large Batman statue, furniture, rescue pets, pianos, freight and more.

This holds true whether you’re buying a car on eBay, transporting family heirlooms, relocating households, moving goods for business, or even trying to automate freight movement for a massive global logistics company.  Fortunately, we have 1 million deliveries as proof that this thing works.

It’s these reasons, and so much more, that make uShip employees enjoy coming to work each day. Happy employees are productive employees — and you don’t get to $1 billion in transactions without having some fun along the way.

Oh, by the way, we’re hiring.

[amp-cta id=’8496′]

The post Top Austin Workplace: Motivation and Mojitos in a Full-Grown ‘Startup’ appeared first on The uShip Blog.

The national average monthly cost for commercial truck insurance ranges from $767 for specialty truckers to $1,041 for transport truckers.

When doing any sort of interstate or intrastate commercial hauling, the law requires a minimum $1,000,000 in general liability insurance. About two years ago the federal requirement for cargo insurance was dropped, but that does not mean you don’t need it. Every shipper or broker you haul for will require you to have cargo insurance to cover their load. I have $150,000 in cargo insurance coverage and that will generally cover most freight I carry. When that is not enough coverage, I purchase spot insurance to fill the gap between my coverage and that required by the shipper.

Based on what I experienced going through the process, here are some answers to questions I had along the way. Hope this is helpful:

When do I get my insurance?
Once you’ve completed all the necessary forms and before you are granted your Operating Authority privileges, you will need to have your commercial insurance in place. There will be a processing/waiting period. You won’t be issued your MC number or be able to legally operate without it. So it’s not something you can wait on or let go for a while. It will be checked at scales, and you will need it for setting up carrier packages, especially if you’re an independent owner-operator just breaking into the game.

Where can people/customers/brokers see if I have the proper insurance?
Once issued, your levels of insurance are tied to your MC number on the FMCSA web site. Each carrier has a company snap shot on the FMCSA site  – and this information is public knowledge at any time. This will include any claims, violations, out of service notifications – anything that transpires during your operation over time. Regardless of what you are hauling – it’s based on the MC number, not on the freight.
How is it monitored after I get it?
There are several carrier authority and compliance monitoring services in the market. These are tied to the FMCSA data base, so if your insurance lapses or there’s a claim, it gets reported and it will appear in connection with your MC number. Good examples are SaferWatch and CarrierWatch.
So, what are some factors that will impact your insurance rates?
Cargo: While your insurance is tied to your MC number, the levels of insurance you require will be based on what you are hauling. For me, if you look at my MC number, you’ll see the various commodities where I’m covered. This includes heavy haul and vehicles, ag and farm equipment, lumber, steel, etc. – and these all impact my rates. In other words, hauling watermelons will have a more favorable rate than if you haul something more risky, like gasoline or another hazardous material.

CDL Duration: If you’ve just got your CDL, expect that your rates will be much higher than that of a driver who’s had his or her CDL for 30 years. And if you have a couple trucks, it’s smart to have an experienced driver with a CDL to keep your rates down.

Deductible: Just like with health or car insurance, the higher deductible the lower the monthly premium. This is different for each person, so there’s no hard and fast rule on how to handle it, but the same principal applies and can have a material effect on your monthly expenses.

Equipment Value: The type and total value of your equipment, including your tractor and trailer(s), will definitely impact what you pay each month. Also the particular type of hauling you do will impact your rates. It’s the same principle behind car insurance – getting coverage on a 2000 Honda Accord will run a lot less than a 2013 BMW 5 Series. Insurance for off-road vehicles is generally more than on-road vehicles.
Who should I talk to about getting insurance?
There are commercial insurance agents who specialize in trucking and can help you get set up. My advice is to use them vs. trying to research it all yourself. These agents know how the trucking insurance world works. One such company is Transinsurers. Progressive is another company for short haul and intrastate. You can also get spot cargo insurance at Freight Guard.
Marc, what are your tips for saving me money in the process?
My biggest tip is to shop around. Don’t just go with the first company that offers you a rate. See what else is out there and work with the agent to make sure you’re not overpaying for stuff you don’t need. And once you get a policy, be diligent about it to make sure you’re getting the very best rate.

I also came across 6 cost-saving suggestions from Overdrive Magazine. Click into the article for more details on each item in the list:

Mind the deductible.

Keep credit history clean.

Include aftermarket items in stated value.

Account for safety.

Compare rates.

Update business information.

In the next post we’re going to talk about the next step in the process: Calculating Cost Per Mile.

uShip is reinventing shipping and logistics through tools, trust and transparency. Through uShip’s transport marketplace, it’s now faster, easier and cheaper for consumers and businesses to connect with thousands of customer-reviewed transporters that often have empty truck space offered at a discounted rate.

TL;DR: Key Takeaways From Marc

• Mandatory Coverage: Transporters must have at least $1,000,000 in general liability insurance to operate legally in the U.S. and Canada.
• Cargo Insurance: While federal requirements for cargo insurance were dropped, shippers and brokers still mandate it. Marc carries $150,000 in cargo insurance and purchases additional spot insurance when necessary.
• Factors Influencing Rates: Insurance premiums are affected by cargo type, CDL duration, deductible amounts, and equipment value.

Join uShip to find shipments for free, connecting you directly with shippers.

The post On the Marc: Easy Steps to Getting Insurance and Not Overpaying appeared first on The uShip Blog.

I recommend a Class A CDL.  There are other endorsements as well for things like Air Brakes, Mazmat, Doubles and Triples and then Passengers.  Please refer to the Commercial Driver’s License Handbook for your respective state to be certain you have all the correct information for your location.

For the purposes of this blog post, I’ll cover the GVWR (gross vehicle weight rating) issue, not the other endorsements.

Several years ago, I learned the hard way that I needed a CDL.  I was in South Dakota, hauling a boat on my trailer for a friend of mine, when I was stopped by DOT enforcement.  Based on the classifications of what I was hauling, my vehicle and the model of the trailer, my GVWR was 26,150lbs, a buck fifty over the limit.

I explained to the officer I was driving a ¾ ton pickup truck, not a semi, to which he replied, and I quote: “I don’t care what you are driving.  You need a Class A CDL to move it any farther.” He then he gave me three choices:  a) leave my cargo, b) find someone with a CDL to drive it for me or c) keep driving down the road and be taken to jail.

While I was mulling my options at the truck stop just beyond where I was pulled over, I called the trailer manufacturer to determine how they classified the trailer weight.  In the process, I discovered from the customer service rep that they classify the trailer weight 25% over the actual weight, meaning my trailer weighed 200 lbs less than was classified. What a glorious moment!

I was able to get that fact in writing, showed the paperwork to the DOT officials, and was on my way down the highway UNDER 26,000 lbs.  While a technicality — and I might add, some quick thinking on my part — kept me from going to jail or taking money out of my pocket, I learned my lesson.  When I got back to Seattle, I got into a Commercial driver training program. I often wonder if
that officer has seen the show and remembered me.  These were some of “those days”!

Expect driver training to cost about $5,000. You’ll come out of it with your CDL, which essentially serves as your diploma. Generally these run 5 days a week for a month, so you really can’t work during this time – it’s definitely a commitment you’ll need to make.

They are designed for those who know nothing about driving a truck and all that’s involved with it. You learn how to shift, how to hook up your trailer, how to drive with the trailer, how to back up, etc. You take a written test a couple weeks in and then you get out in the yard and then the road a bit.

To be really clear, you don’t come out of it as Mr. Experience when driving a Class 8 vehicle. It simply doesn’t work that way, much the same way when you got your license as a teenager – you passed the written and driving tests but it didn’t mean you were experienced in the rules of the road. That takes time and simply putting in the miles.

This License gives you the ability go out and learn legally. There is much to know and learn from that point on. Don’t expect to get a bunch of high fives from all the experienced drivers on the road. You are just another rookie in their eyes. It is not for everyone and not every has the natural ability to be a good driver. Just remember it takes many miles and lots of lessons! Do a good job and stick to it and you might get some respect!

I personally really enjoyed the driving school experience. I did learn many things and I had driven many miles before I went there. I drove a straight truck (hoopie) for local 174 in Seattle for many
years as young man.  I knew I wanted to get into this life and I was making an investment and commitment to do it. I had a plan from the get go and it started with Uship. This is when I knew
I had to be all in, or leave it behind.

My advice for people who ask me about going big or going home, I tell them that trucking can be a very rewarding experience, and you can make good money, even great money, but every step in the set-up process will cost you time and money, just like it does starting any other type of business.  These setup costs shouldn’t discourage you.  Just be ready for them.

Bottom Line

Driver training is a core necessity when getting into trucking – both for the diploma and getting behind the wheel – but it takes time to become an experienced driver.

The post On the Marc, Step #3 – Getting Your CDL and Jumping Behind the Wheel appeared first on The uShip Blog.

Over the summer, a CNN Money article ran that was titled “Tons of trucking jobs…that nobody wants.“ It basically claimed that during tough economic times with high unemployment,  Americans should be jumping at the chance to work – including trucking, but that with a driver shortage, it seems it’s a job nobody wants.

True, there is a shortage of drivers in the industry. But, a job nobody wants!?  Bullship!

Every week I’ve got many people calling and emailing me wanting to know how to get in on it – they just want the play book on what it takes and how they can make good money hauling stuff for people and businesses.

That’s what I’ll be focused on in this “On the Marc” blog post series I’m doing with uShip. I’ll explain exactly what it takes to get into and succeed as a professional Owner Operator today.

Here’s what I’ll be sharing in this series:

• Importance of confidence and self-belief
• How to decide what to haul
• Promoting yourself
• The right equipment
• Lessons learned (many the hard way)
• What it will cost (in both time and money)
• The importance of compliance
• How to find and keep customers
• And much more…

You might be asking, “How can you speak with authority on this, Marc?”

A few years ago, before I was cast on the A&E real-life series Shipping Wars, I was “that guy.” I was the classic dude in this scenario. I had no idea exactly what it would take to jump into trucking, but I knew it was something I wanted to explore. I knew that driving trucks and hauling people’s property was something I wanted to do. I knew I wanted to do it and would enjoy seeing the U.S. and Canada (Here’s a video of me at Mt. Rushmore).

And I realized, “Holy crap, people will pay me to haul their stuff and I can make a great living and be working for myself.”  So, really, this business is part of living the American dream to me.

When I talk to guys (and gals!) who want to get into truck driving, I hear “me” on the other end of the phone or in the tone of the email: Eager. Unsure. Looking for guidance and answers.  I think these people know the answers, but want confirmation that this is doable and can be profitable.

Let’s make no mistake here — you have to be smart to be successful.  It’s very easy to not do well in this business if you are not careful.  With that being said, remember this:  do it right from the start. Shortcuts are not going to get you there.  Keep it legal and safe. Work smarter, not harder.  

When new business owners come to me for advice, I believe what they’re really asking is “Is it lucrative?”, “What’s it going to take to get into this business?” and “Where do I focus my money to get
off the ground?”  I can only tell you how I did it, and like everything in life, there’s usually many ways of doing something that can get you to the same result. So, hopefully, some of my ideas will help you form your own plans.

I’ll be sharing all the steps involved. Consider this your no BS, no-holds-barred guide to getting behind the wheel and being successful.  You’ll be getting knowledge and stuff I wish I knew when I was getting started.

Bottom Line:

You can make some good money being a truck driver today, but it takes knowing where to focus your time, energy and money to get off the ground.

The post On the Marc: How To Start a Successful Trucking Business appeared first on The uShip Blog.