The DAN was called the network for a long time and came out of recognizing some of the benefits that I was starting to see for Capital City as that fleet got to around 70 trucks. At the core, DAN allows a small carrier or a single owner operator to get advantages of being involved with a bigger group. Many people think of it as a franchise, co-op, buying group or whatever and that is fine, however nothing quite fits there but that simple explanation gives people a chance to start the process of seeing the benefits.

The biggest advantages are: Insurance with 2,000,000 of coverage versus the required 1,000,000, no down payment settlement payments weekly (typically a savings of 25% – 50%). Fuel Discounts from cash price while using our credit, Direct Freight, Trailer Pool for drop and hook loads with customers, Dedicated operations group, ability to leverage our relationships for tires, trailers, trucks etc. 15 day pay with no charge, or 1% for 7 day pay.

DAN Disrupts Insurance, Fuel, Brokers, Factoring Companies, Traditional Owner Operator Model

Direct Freight
Insurance – no down payment, 52 weekly settlements
Fuel Discounts
Low Authority Lease
Trailer Pool
Dedicated Operations Team
15 day pay 0%
7 day pay 1%
Equipment Discounts
Tire Discounts
Scale Fleet
Safety Program

The traditional owner operator model includes leasing onto an authority at 80/20 off the gross revenue. The DAN generally leases on a truck at 88/12. Additionally, most of the small carriers and owner operators factor their loads at an effective interest rate of 12%, finance their insurance premiums with 20% down on the premium and then finance the balance at 2% with 10 monthly payments.

If a program like this would have existed when we were starting out we would have absolutely done this because it allows small carriers or owner operators to focus on delivering freight, growing their fleet without all the risks of operating on their own.

Company Culture