Deliver on Your Business: Recent Episodes
The EntreCourier
Deliver on Your Business, powered by EntreCourier.com, is for Independent Contractors working in the On Demand Delivery space, delivering for Gig Economy apps like Grubhub, Doordash, Postmates, Uber Eats, Caviar, Deliv, Amazon Flex and so many others. Never forget that YOU are the boss! Deliver on Your Business helps you think like a business owner, not an employee. We're here to help you become an INTENTIONAL business owner, not an accidental one. Because here's the deal, folks: When they signed you up as independent contractors, they made you a business owner. Deliver on Your Business is here to help you claim that role. We'll help you look at business principals and how you can adopt them into your own business. We help you take control of your work and build your profits. We help you Deliver on YOUR Business!
Just Eat Takeaway, who purchased Grubhub less than a year ago for $7.3 billion, has announced that they may consider selling off part or all of the Grubhub.
What happened here?
Did Jitse Groen (CEO of Just Eat Takeaway) buy a lemon? This is an expensive case of buyer's remorse for the Dutch delivery giant.
Within just months of closing the deal, investors were pushing for the company to bail out on Grubhub. Apparently, they finally decided to listen.
While it doesn't mean it's a done deal, I can't help but think they have to be pretty serious about the idea (more than just “exploring” the thought of a sale) if they're going so far as to make it public. One has to wonder if they're already in talks.
We address this topic in the latest episode of Deliver on Your Business. Even more, we dive into just what happened with Grubhub. A few years ago, Grubhub was Doordash. They were the dominant king of the delivery industry with no real rival.
How did this happen???
Related linksEpisode page on EntreCourier website
Want to see it on Youtube?Discussion with UDM about the changes with Grubhub
Discussion on EntreCourier about the Grubhub Just Eat merger
Discussion on EntreCourier about Grubhub (and others) response to pandemic
Topics:
- Grubhub used to be the king 2:50
- The root cause of Grubhub's demise: Arrogance 3:49
- My story of delivering for Grubhub and what I liked about it 4:30
- When things started to change: 7:22
- Fast food, Taco Hell and the explosion of Cherry Picking 9:19
- Grubhub begins cracking down on drivers 11:46
- Driver loyalty to Grubhub erodes and erodes FAST 13:34
- Grubhub's relationship to restaurants erodes 18:53
- Adding restaurants to platform without permission 19:13
- Fake websites and marketing charges 21:44
- Grubhub botches restaurant relations during the pandemic 23:00
- Grubhub's relationship with customers goes south as well 27:10
- What happens next for Grubhub? 35:19
- Who would possibly buy Grubhub? 39:10
- The case for (and against) an Uber sale 39:27
- The case for a sale to Amazon 43:43
- The impact of Just Eat Takeaway moving to an employee model in Europe 45:05
- Could the same fate happen to Doordash in the near future? 45:45
Dustin Walsey, co-founder and President of Buckle Insurance, joins us to talk about all things insurance.
If Buckle is in your state, you can sign up here. If they aren't in your state, you can still sign up and get notified of when they are available. During the interview I misspoke their URL as GetBuckle.com (instead of BuckleUp.com). Dustin said he thought that probably would get you there as well, and it turns out he's right.
If you are a gig economy driver (Doordash, Uber Eats, Grubhub, Instacart, Shipt, Uber, Lyft and many others) this is an incredibly important topic that you MUST pay attention to. A shockingly high number of gig economy drivers are uninsured when out working the apps, especially in the delivery industry.
Buckle Insurance is the first insurance company I'm aware of that was created specifically for the gig economy. They work closely with many of the gig platforms. As of the posting of this episode, they're only in a handful of states but they cover about 30% of the U.S. population.
We cover questions such as:
What is Buckle Insurance and how did they get started?
What are the challenges for a new insurance company trying to get approved to provide coverage in every state?
What kind of coverage does Buckle provide?
Why is delivery considered high risk to insurance if we aren't carrying passengers?
How the explosion of delivery during the pandemic impacts our society and the need to protect contractors who are out in the field
Looking at different types of insurance and how Buckle compares, such as personal policies, rideshare endorsements, commercial policies, and hybrid commercial policies.
When should a person consider full coverage instead of liability only, even if their car is paid off?
How do state insurance regulations and different kinds of risk impact insurance premiums?
What states are served now by Buckle?
What can someone do to make sure they're covered in states Buckle isn't yet serving?
How do credit ratings impact typical premiums and how is it different with Buckle?
What kind of relationship does Buckle have with different gig economy platforms?
What kind of coverage does Buckle provide if you're driving for a platform that Buckle does not have a relationship with?
Buckle is available at GetBuckle.com. Some products on the website and podcast are ones I have an affiliate relationship with, and if so, I may receive compensation for products purchased.
Comments or questions? Shoot me an email.
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Many Dashers are convinced that Doordash gives their Top Dashers better delivery offers. However, Doordash themselves don't even promise that.
I decided to test the theory. I started out in February not having Top Dasher status. I accepted 100 straight deliveries in February so that I could not onlly make Top Dasher for March, but also have a record of every delivery.
Then in March, I took another 100 straight delvieries. I kept track of everything: Offer details, how long deliveries took, how far I drove, all of it. Then I could compare.
I talk about my experience taking 200 straight deliveries on Doordash and the comparison of deliveries as a non-Top Dasher and as a Top Dasher.
This will be the last episode of the Deliver On Your Business Podcast.
At least as a somewhat regular weekly podcast. There may be further episodes, possibly one off topics of interest here and there.
Today, I'm just telling my story. We talk about how I got started with all of this, and how that story is leading me to this point where it's time to put the podcast (as we know it) to rest.
The point of the story though is it's a good thing. There are two things here:
For me, it's part of a bigger picture. That's what the story is about - how all of this was always part of something bigger. Making this step means I am able to do what I've always wanted to do.
For you, I hope it's a good thing as well. More than anything, that it's something that encourages you to think about your own bigger picture.
How does the delivery life fit into your why? How does the day by day of what you do help you accomplish the bigger picture? Have you developed a bigger picture?
Gig economy work should always have a purpose. Any work or job or anything should have a purpose. It's more than just making money. It's making money so you can.... what?
That's what I hope today's episode can help you think through.
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Outside the big three on demand delivery companies, I'm not sure anyone else has reached into as many markets as catering specialist DeliverThat.
Aaron Hoffman joins us today to talk about DeliverThat and the opportunities available to delivery drivers.
- How he started DeliverThat from his dorm room in college
- Challenges of starting his first deliveries in a world dominated by large tech companies
- Philosophy of being a company for drivers made by drivers
- How DeliverThat can provide unmatched personal support for drivers
- How was their delivery model impacted by COVID?
- How Aaron sees the place DeliverThat can have for independent contractors who deliver for other platforms
- Describing the delivery opportunities on catering orders
- The type of markets DeliverThat is in and how they launch new markets
- What does he see as the biggest challenge when using independent contractors?
- What are the challenges to fulfilling all of their orders?
- Thoughts on independent contractor status and where the country is going with that.
At the end, I share some thoughts on my takes as a DeliverThat catering contractor. Overall my experience has been positive. There are a couple of things about how they do things that may not be popular.
Overall, I think DeliverThat is a true gig economy opportunity. As contractors in the delivery space, we work delivery by delivery. Because they do catering orders, there can be some very attractive deliveries. Other times, options from other platforms may be better.
You can sign up for DeliverThat here. If asked if you were referred, just let them know Ron Walter sent you!
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In this week's episode, we talk about what may be the best way to learn how to make more on Doordash, Uber Eats, Grubhub and other gig economy platforms.
The answer isn't me giving you all the answers, because let's be honest: I don't have all the answers.
I think the answer may be to bring all of us together into a community where we can share what we have learned with one another. We talk about that more today.
What do you think would be a good feature in a community? Email me and let me know your thoughts!
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Pandemic Unemployment Assistance (PUA) $300 per week payments ended September 4. People will order less, and more may turn to deliver for apps like Doordash, Uber Eats, Grubhub and others, further saturating the market with drivers.
At the same time, these apps seem to be racing to see who can pay us less. What do we do when it's harder to make a profit? Is it time to hang it up and move on to more profitable things?
We discuss a strategy that might help keep profitability up. Or even increase it.
Multi-apping.
And I don't mean just switching between the three main apps. Start looking at other types of platforms. We look at a few of them:
- Lesser known food delivery platforms
- Catering platforms
- Last mile delivery platforms
- On demand package delivery platforms
- Shopping platforms.
You can find the dedicated page for this episode here on our website.
What do you think? What delivery platforms do you have in your market? What's your experience with them? I'd love to hear what options are out there, as I want to build a directory, so please email your comments
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I want to give a shout out to Chad at GigTube (Twitter @Gig_Tube and GigTube on Youtube) for posting the article that inspired today's title. Mike Bebernes at Yahoo News put up an article with a title worth discussing: The gig economy: Opportunity or exploitation?"
That's a great question. In light of last week's Prop 22 decision in California and the fact they're still trying to get PRO Act pushed through the Senate, it's worth discussing. Are app-based gig economy workers (especially in Delivery and Rideshare) exploited? Or is it an opportunity for people?
Yes.
I think both are happening. But I believe we have the power to decide which one it is.
What we talk about:1:38 Introductions, the importance of multi-apping
5:00 Talking about other platforms besides the major 3 or 4 delivery apps
6:09 With PUA ending in September, things can change a lot for delivery. It's more important than ever to look into multiple apps
15:00 Finally diving into the topic - Gig Economy: Opportunity or Exploitation?
17:55 I believe that it's both exploitation and opportunity
19:44 Gig economy apps are trying to get employees but only pay for contractors
22:07 Gig companies bank on gig workers thinking like employees
25:45 Not being up front with what Gig work actually entails
29:30 The opportunity is in independence.
32:27 Delivery has been a life saver for many during the Pandemic
42:00 The best way to avoid exploitation.
You can find the dedicated page for this episode here on our website.
What do you think? Is it exploitation or opportunity? Leave a comment at the episode page linked above or email your comments
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We've been talking about strikes, about how Doordash is behaving badly, lower pay, hiding tips, all that good stuff. Or bad stuff.
It can feel like we're out of control.
But being in control is a matter of choice. This week we talk about 11 rules where you can take control of your app based gig economy business.
What rules would you add? You can comment on the episode page at EntreCourier.com
The rule that makes the other rules:You are running a business.
Whether you deliver for Doordash, Grubhub, Uber Eats, Instacart or any of the others, or if you do ride share or some other app based gig contracting, you agreed that you were performing a service AS A BUSINESS.
The IRS taxes you like you are running a business.
The best way to succeed at running that business is to embrace the fact that you are indeed running a business. Treat it like a business.
These following rules will help you develop that business mindset.
1. Everything is your fault.While it sounds negative, it's the most positive thing there could be. Because that means you're in control. You're not at anyone's mercy. You get to make the decisions, you get to operate your business in a way that makes sense.
- Know your Why.Understand your reason for getting into the gig economy and let that guide you.
3. Know the relationship with the gig companies.They aren't our employers. They're not our bosses. They are our customers.
4. Running a business means your customer will try to screw you.It happens everywhere. And businesses thrive. Remember that you're the one in control of the relationships you get into.
5. Think profit.The money you make is NOT the money that gets paid to you by Uber Eats, Doordash, Lyft, Grubhub, Instacart or others. What you earn is what's left over after expenses.
6. Give Yourself a Paycheck.Get a bank account just for your business. You can try Novo (affiliate link). Save money for expenses, taxes and paid time off (Hurdlr has a great calculator for figuring taxes). Then pay yourself the difference.
- Give your time a value.Time is money! But how much money? Decide what your time is worth.
8. Set your priceBased on your why and the value of your time, set a standard for when gigs are worth accepting.
9. Make Business Decisions.You decided your why. You set your price and value for your time. Make decisions based on how it impacts your business, not on emotion and definitely not based on anyone's ideas of how you should make decisions.
10. Be Awesome.A key to success for any business is how great they are. Gig work is no different.
11. Have an exit planLaws could change. Your preferences could change. Start planning for the great "What's Next?"
A couple other rules came to mind:
- No one owes you anything
- Never rely on just one customer.
What rules would you add? Contact us at one of the links below to let us know:
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The government has been busy lately trying to get things pushed through. We've seen in the past few days the Infrastructure bill and Budget Reconciliation stuff go through the Senate.
One of the things that's been a priority for Democrats has been the PRO Act. Protecting the Right to Organize. One of the things the act does is implement the ABC test that was the heart of California's AB5, and the ABC test would then determine classification of employee verses independent contractor for purposes of labor laws. If it's passed and stands up to court challenges, PRO Act could force Doordash, Uber, Grubhub, Lyft and other gig companies to hire employees rather than employees.
Steve Johnson of UberLyftDrivers.com joins us to talk about employment, being an independent contractor, the repercussions of being an employee, and whether Pro Act has a chance of passing. Steve has had several guests on his Rideshare Rodeo podcast and shares insights he's gained from his many conversations on the topic.
Additional reading on PRO ActAB5 and Prop 22: A listing of articles about California's AB5 which implemented the ABC Test, and about Prop 22, the ballot initiative that exempted gig platforms from AB5.
What is PRO Act?Driver App Londonis a blog by Mourad, a frequent guest on Steve's podcast. Later in the episode Steve talks about how some places in Europe are a step ahead of where they are in the US including an app worker designation.
What we talk about in today's episode:The following was the general outline we attempted to follow. Things may have gone a little out of order here and there. Introductions:Steve talks about his gig economy background, how his website and podcast got started, and then talks about the different guests he's had on his podcast to talk about PRO Act (guests both in favor of and against the legislation).
Employment verses Independent ContractorsWhy is this even important? What is there to lose if we are employees?
What is PRO Act and how does that impact things?What is the ABC test from California's AB5 and that is now part of PRO Act? How does that compare to the current IRS test
Doordash, Uber, Lyft, Grubhub and others as bad actorsPart of the problem does lie in the way gig companies treat their contractors. Is there exploitation of the independent contractor model by these companies? How do their actions contribute to how some want to force a change?
Can PRO Act be passed into law?PRO Act is stalled right now. Does that mean that it's safe? What kind of things can lead to it passing?
Is there a better alternative?Is forcing gig companies to hire employees the only answer? Is there a better way to handle the bad acting of gig companies? More about the EntreCourier
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You may have seen the notices on social media encouraging Dashers to join a strike on July 31.
Should Dashers strike? Obviously that's up to individuals to decide for themselves. But we'll talk about whether the strike can accomplish anything, and we'll get into what I think WOULD make a difference with Doordash.
You can visit the Episode page at Entrecourier.com/s2-e2
**What we Talk About
The Strike.**Dashers are pissed. Some started a movement by sharing a post on social media encouraging drivers to boycott delivering for Doordash for one day on July 31.
Two major issues:
- Doordash hiding part of the tip on larger orders, not showing full payout
- Doordash lowering the minimum pay while gas prices increase
The bigger issue to me seems to be a lack of respect from Doordash of their contractors. Lying, spinning and being sleazy in how they deal with Dashers.
Why I don't think the strike will work.One, it's poorly organized. A strike that's only made up of a few people who started spreading ideas on Facebook has no real chance of making a dent.
A bigger issue is that there's no real commitment in the strike. If people are only taking one day off and then willing to go back to all the things they're protesting, how is Doordash going to take that seriously?
Two, we are not employees. In fact, Doordash isn't our boss, they're our customers. Businesses striking against their customers... just doesn't make a lot of sense.
What's the best way to respond to Doordash?Treat this like you're running a business. It's as simple as that.
Understand that being an independent contractor has its drawbacks:
- No guarantees
- No protection
- No fairness
The nature of the beast when running a business is that the customer will try to screw you. Doordash fits that narrative well.
Decide whether you want to be an employee or an independent contractor.As an independent contractor it's all on you. The good news is, you have more control over your success. You don't have to rely on Doordash being fair, there are other options out there.
The bad news is that when running a business, there are no guarantees. Sometimes, the business model doesn't quite work out.
If you don't like the bad that goes with being an independent contractor, don't be one.
If every person who wants the employee protection and guarantees takes that to heart and refuses to be an independent contractor, that will be the most effective way to change how Doordash operates. They won't have enough drivers.
But if you want to be a contractor, take control, and quit relying on Doordash or any other gig to be fair.
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We are back finally for season 2!
Today we have David Pickerell back again to talk about Para, the little app that forced a giant to change their programming.
You may have heard of Para, especially if you deliver Doordash. Doordash has been notorious for hiding part of the tip on delivery offers. David's team at Para was able to figure out a way to identify what the actual pay amount would be for Doordash offers and show it as a notification to Dashers.
It worked great until it didn't. Doordash showed they were pot committed to keeping Dashers in the dark on delivery offers, updating their app so that the total payout information is no longer available.
Today's Guest:David Pickerell is cofounder and CEO of Para. an app designed for delivery drivers and independent contractors. David was a guest on Episode 102 and joins us again to talk to us about what happened with Para and tip transparency, what does the end of Tip Transparency mean, and what happens next?
**What we Talk About
The elephant in the room.**Before we dive into the interview, I talk about the seven month gap between our last episode and today. What happened? What's up with the new season? I talk about transitioning into more work on EntreCourier and better identifying the purposes of both the website and the podcast.
Setting up the interviewIt starts with Para. David introduced Para to us 7 months ago with his vision for an app to help drivers. Since then, Para has introduced some features here and there.
But the big thing in the news was Para's Tip Transparency feature. If you deliver for Doordash, you're aware they like to hide part of the delivery pay when offering a trip. Para was able to identify the total pay amount and display that to drivers via an app notification.
Doordash figured it out and changed their programming so that it was no longer possible to identify the full pay. This of course shut down Para's Tip Transparency feature. Is this the end for Para?
The interviewDavid shares what happened with Para. He shares how they knew something was changing, what Doordash did to disable Tip Transparency, and how Para responded. He identifies some of the features Para is working on next as well as where they are going next with their app development.
My thoughts.I think there are two important questions that come out of this:
What does it mean for Para?
What does it mean for us?
We talk about the importance of identity and the big picture, and how it's that concept of the big picture that means that this is NOT the end for Para. I also share why I think that the big picture needs to become a point of focus for Para if they do want to grow from this.
Then I talk about what we do when Doordash or any other app doesn't provide the information we want, or when an important app quits working. The important takeaway from this?
Take control.
More about the EntreCourierDavid's previous appearance on Episode 102
Show notes on EntreCourier for this episode
Article on Para Tip Transparency
Article on Is Para Dead?
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2020 has been a year, hasn't it?
The beautiful thing about it though is, we can choose what to do with it. We can let the challenges defeat us, or we can embrace the opportunities.
This week, we look back at the year that was.
But more importantly, we look ahead at what lies ahead.
You can read the associated post on the EntreCourier website.
Being the last episode of 2020, it's also a good spot for a season finale. Season 1 of the Deliver on Your Business podcast went a good 104 episodes, 18 months. We're going to give it a break in January, launch season 2 in February sometime.
Part of that new launch will be a more defined focus. The EntreCourier website is at it's strongest providing information and education. The podcast has been more about applying that all into delivery life. I see those as being very distinct things but I've tried to keep both the website and podcast as some kind of merger of the two.
In 2021 we're going to let the podcast have a bit more of a life of its own. It's going to be more a part of trying to build community for drivers. In the past we had an email newsletter that went out each week, and it was really more like three different types of content that was just tough to keep up with. The newsletter and podcast really serve some of the same content, so those two things will be more closely tied.
Stay tuned for more on how that will work - and we talk about that a bit more today on the podcast.
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This week's episode is a sort of mix of two posts I put up.
https://entrecourier.com/2020/12/22/do-gig-economy-contractors-qualify-paycheck-protection-program-round-two/ talks about the new stimulus package, and what parts of it will impact drivers in the gig economy.
https://entrecourier.com/2020/12/22/do-gig-economy-contractors-qualify-paycheck-protection-program-round-two/ gets into detail about the new round of Paycheck Protection Program loans - whether independent contractors qualify, how do they qualify, how much can they borrow, and are the loans forgivable?
Other articles from the past about the pandemic relief efforts and their impact on drivers:
https://entrecourier.com/2020/06/26/eidl-ppp-pua-grubhub-uber-eats-doordash-contractors/
https://entrecourier.com/2020/04/30/paycheck-protection-program-ppp-grubhub-doordash-uber-eats-lyft/
https://entrecourier.com/2020/05/04/grubhub-doordash-uber-eats-covid-19-relief-application/
https://entrecourier.com/2020/05/18/ppp-loan-forgiveness-self-employed-independent-contractors/
https://entrecourier.com/2020/04/11/unemployment-grubhub-doordash-postmates-uber-eats/
https://entrecourier.com/2020/06/26/eidl-ppp-pua-grubhub-uber-eats-doordash-contractors/
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David Pickerell of Para joins us to talk about the tools his team is developing to help delivery drivers and contractors be more profitable.
Para would love to partner with you. Some of the tools already developed or being developed include:
Analytics of your earnings
Mileage tracking (both past and future)
One Click signup for various delivery apps
Personal dispatching to assist working multiple apps.
If you are interested in talking with David, especially as an early adopter, give him a shout. David@Withpara.com.
To read this in article format, you can visit the associated blog post for this episode.
03:25 Introduction of Para
06:02 Some of the tools Para is developing for contractors
07:03 One Click Apply
07:30 Personal Dispatch
09:47 Mileage logs
14:56 The value of assembling trip data from drivers
17:26 How drivers can help gather data for Para
18:31 How can that data make a difference for contractors?
22:55 How data levels the playing feeld between apps and contractors
30:22 Dealing with the inefficiency and incompetence of delivery platforms
33:18 David's thoughts on the Doordash IPO
36:29 Are there repercussions for using an app like Para to multi-app?
37:15 The opportunities with up and coming delivery companies
43:51 The relationship between gig companies and independent contractors
47:41 Can any newcomers shake up the delivery industry?
51:28 What about Lyft entering the market?
52:54 What's in the future for Para?
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Doordash just launched their IPO with shares selling about double what was anticipated.
What does this mean for those of us who deliver for Doordash? How will this impact us?
We talk about:
- What does it mean to go public?
- How did the IPO go for Doordash?
- Why it's a miracle Doordash even got to an IPO
- Does this mean Doordash can be profitable?
- Why Doordash may struggle more than previous tech companies that went public before any signs of profitability
- How the economy and recovery from the pandemic probably mean more to Dashers than the IPO
Articles referenced:
My article from November 2019 questioning if Doordash would ever get to go public.
CNN Business article on how food delivery might be in for a reality check after the pandemic
Last week's episode discussing how the market is ripe for an alternative to the major delivery companies
Market Insiders article: Doordash is the most ridiculous IPO of 2020
Episode 7: Have an Exit Plan.
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As we get to the end of the year, we've got all our favorite delivery apps facing drama.
What's the deal with Uber Eats buying Postmates?
The deal is done. It has been completed and it's official. Earlier than scheduled.
What's that going to mean for all of us?
Ultimately it looks like Postmates will continue to operate as a brand. Eventually (this will take time) Uber Eats is going to merge all the back end.
That means accounting, the tech, and the delivery fleets.
In other words plan on everyone moving over to Uber Eats, and one fleet will deliver orders for both brands. It's a lot like happens with Grubhub and Seamless.
Articles referenced:
"How would a possible Uber Eats Takeover of Postmates impact us?" on the Entrecourier.
Grubhub timeline of their purchases of Seamless and Eat24
Doordash's transitioning of Caviar drivers to the Dasher fleet
What's the deal with Grubhub tanking?Grubhub has been in a freefall this year. Once the dominant player in delivery, they've plummeted far below Doordash and Uber Eats.
The Business of Apps website had some interesting data on Grubhub's performance.
Grubhub's announcement that the deal to sell to Just Eat Takeaway was being pushed back
Seeking Alpha commentary that Just Eat bet on the wrong horse.
Business Insider article on Just Eat moving to employee model in Europe.
And what's going to happen with Doordash's IPO?Doordash has been wanting to go public for awhile. They've been putting it off. With this huge surge in sales thanks to Covid, it's kind of a now or never moment.
What happens after that?
2021 is going to be interesting.For the delivery world, I think it will be more interesting than this year was. That says a lot.
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Lyft is making plans to get into restaurant delivery
Last week we talked to Bob McNulty from a new upstart in delivery called TripDelivers, who launched their first market a couple weeks ago, with plans to go nationwide.
Lyft is talking about a different approach that charges restaurants less and that doesn't interfere with the relationship between the restaurant and the customer.
TripDelivers has created a model where essentially the customer ends up paying the restaurant and the courier directly and that has a significant driver, restaurant and customer referral program.
Are either of these game changers? Could they be?
The associated blog post for this week's episode talks about if Lyft or TripDelivers could disrupt delivery.
You can read the transcript for episode 98 where Bob McNulty shares what Trip Delivers is doing and how they are different.
Lyft addresses the concerns about overcharging for deliveries by other delivery companies. However, do restaurants really want a delivery company that doesn't also bring in customers?
TripDelivers looks intriguing to me on paper. Some compare them to Multi Level Marketing organizations and there are criticisms. I do believe that if they do things the way they say they will and they do them well, they could make an impact.
The question is, can either of them not suck as bad at delivery as Doordash, Uber Eats, Grubhub, Postmates or any of the others? That's the big problem I see: None of them do it well.
I'm not sure they can using an independent contractor model.
Speaking of which, I wrap up with a little bit of a rant about what I think would be disruptive. If someone comes in with a pure logistics focus, figuring out a more efficient model for food delivery, they could make a difference.
I ranted a lot more about that back in Episode 51 last December.
Episode 99.... can you believe it???
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TripDelivers is a new delivery company that is ramping up with a completely new model.
TripDelivers has launched their first market in Nashville and are looking to grow.
This is a completely different model, for retaurants and for drivers.
For the restaurant, the restaurant doesn't pay a huge comission. They pay a flat fee. The restaurant receives their money immediately, there are incentives for involving their existing customer base, and even for recruiting other restaurants.
The driver is paid directly and immediately. Drivers receive the entire delivery fee from the customer and the entire fee. They can receive additional income for engaging new drivers, restaurants and customers.
If this goes well, it could really disrupt the industry.
Bob McNulty joins us to talk about TripDelivers and what they're doing.
Thursday night, November 19, 6 Pacific 9 Eastern, Bob will be updating some of the programming. You can find out more here at their YouTube channel.
For the transcript for today's article, visit the Associated blog page for Episode 98 with our interview with Bob from TripDelivers.
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Okay, here's what we know so far:
Prop 22 in California passed.
Joe Biden looks like he'll be president.
The Senate is going to be close - maybe slight control for the Republicans.
Sponsored Section
The big deal in these elections boils down to whether we can continue to be independent contractors - both in California and nationwide.
But what if something non-political took away your ability to deliver? What kind of safety net do you have? Check out Kover - they provide income protection benefits for independent contractors in the Gig Economy.
Use my referral link here and get the first month free of whatever plan you choose.
So the elections are done (okay, some of the counting isn't)
What does that mean for us?
Gig companies can continue to use contractors in California, but I believe that provisions in Prop 22 could put them at risk for a misclassification ruling under the IRS or Department of Labor.
Joe Biden is pro AB5 type legislation nationally, but balance of power in the Senate will probably keep that from happening.
Biden will probably appoint more labor friendly leadership at Department of Labor which could have an impact.
As long as you can be in charge, be in charge. If things are on their way to changing, use this time to get ready for that change.
Articles referenced:
Episode 97 associated blog post.
A list of articles on our site when AB5 was passed
Bloomberg article stating California contractors can still sue under AB5
Link to IRS Publication 1779
Entrecourier Article pointing out extra controls allowed in Prop22
Payup article on extra controls allowed under Prop 22
Article in the Hill about Gig Companies wanting to take Prop 22 national
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Deactivations seem to be happening like crazy for Independent Contractors with gig delivery companies like Doordash, Uber Eats, Grubhub and others.
What do you do if you rely heavily on your food delivery business income? How do you avoid having that taken away from you, especially for something you didn't do?
We walk through three different categories of reasons people get deactivated. And then we talk about seven steps you can take to protect yourself from deactivation.
These are not a guarantee. But if you follow these steps you eliminate most of the chances of such a deactivation happening.
You can visit the blog page related to this episode at the EntreCourier site.
We played a couple of clips from interviews from Episode 94 with Bryant Greenling of LegalRideshare, and from Episode 95 with Leah Chasser of Kover.ai.
I mentioned this article from Gridwise about reasons people get deactivated.
I also talk about Doordash's deactivation policy, where you can see more information here.
We mention Episode 7 that talks about having an exit plan.
Affiliate links of note:As an affiliate, I may earn money when items are purchased from the following links.
We talked about the Rexing V2 Pro, the dash cam that I use personally. You can add GPS to it. Movable cameras allow you to point the camera out the side window and document your deliveries at the doorstep.
One of the most important steps you can take to get protected in the event of a wrongful deactivation is to sign up with Kover.ai. Kover provides income protection if you are deactivated and has a legal service that can write a deactivation appeal letter on your behalf. Use this affiliate link and you can get the first month at no cost.
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What happens if you are unable to earn because of a deactivation, car accident or hospitalization when you deliver for Grubhub, Doordash, Uber Eats, Instacart or any of these other platforms?
As an independent contractor, you are on your own. There's no backup.
Unless you've created a backup.
Our guest today is Leah Chasser from Kover.AI. Kover is a benefits company for gig economy workers that specializes in income protection. Leah talks to us about the services that Kover offers for delivery contractors and other gig workers.
Leah is also offering a special offer for listeners of the Deliver on Your Business podcast. If you sign up through our affiliate link here at Kover.ai you can get the first month at no cost to you. This gives you a risk free way to check out their services.
In last week's episode, Bryant from LegalRideshare gave a glowing endorsement of Kover. In fact, Kover and LegalRideshare work together to provide attorneys letters to gig companies requesting reinstatement if a driver is deactivated by Grubhub, Doordash, Uber Eats or any of these other gig delivery apps (or rideshare apps).
If you are an independent contractor who relies much at all on your delivery income, you should be providing some form of protection. Kover is one option. There are other things you can look at. One of the most effective things you can do is create your own emergency fund. If you've established a large enough emergency fund, you may not need a service like this.
Personally, I have an emergency fund but also subscribe to Kover. My emergency fund makes me feel comfortable with the mid level package that Kover offers.
Either way, what ever your method is, protect your delivery business.
You can visit the associated blog page for this episode at Entrecourier.com/95
This week's sponsorWe didn't exactly have a sponsored portion of the episode today. I mentioned above that my link to Kover is an affiliate link. That's a form of sponsored link, in that I can receive commission if their service is purchased, and that helps me keep this website and podcast operating.
If you visit Kover off my affiliate link, Kover will provide the first month of membership to you at no cost to you. It's a great way to check out their services.
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We're excited to have Bryant Greening from LegalRideshare.com on as a guest this week.
As an attorney, Bryant found that there were so many things that were different enough involving working with clients in the gig economy such as rideshare and delivery. Six years ago he made the decision to focus exclusively on gig related cases. In that time he's established himself as one of the recognized experts on the legal aspects of rideshare and delivery.
Bryant talks with us today about protecting yourself, putting yourself in a better position to not need help from someone like him, what to do when the unexpected happens. We discuss insurance, dashcams, deactivations and even AB5.
If you are involved in an accident, you can contact LegalRideshare at their website or by calling 312-767-7950.
Bryant also talks about working with Kover AI. Kover provides income protection services for delivery and rideshare contractors. If a contractor is deactivated for something they did not do, subscribers of Kover's service can get a letter sent on their behalf by LegalRideshare. You can learn more about Kover's services here.
You can see a transcript of the interview here.
This week's sponsor:Our sponsor this week fits in very well with today's topic. Bryant stresses the importance of getting a dashcam. We are affiliates of Rexing USA who provide a variety of dashcams. You can check out Rexing here. or you can find them on Amazon here.
Note that some products and services are sponsored or affiliate links, meaning that I may receive compensation, which helps keep the Entrecourier website and this podcast up and running.
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In starting out the episode, I mention that I just ordered a Rexing dash cam. I ordered a VP2 Pro with a GPS attachment. I am an affiliate, so I do get some commission for sales. You can order at Rexing.com. If you order during Prime Days (October 13 and 14) use the coupon code RexingPD30 for 30% off.
How do you feel about going out and delivering? I always thought I was a bit of a nutcase for enjoying it so much, however I've run into several who feel the same way. I play a couple clips from previous podcast episodes - Kevin Ha from FinancialPanther.com was on Episode 84 and Mike Bisceglia from the Mike Delivers podcast was on Episode 78.
A lot of the stressors with traditional jobs are gone. That can make it easier to enjoy the work. There's still a lot of garbage out there we deal with. But we can choose how we let that impact us.
We offer six suggestions for how to better enjoy your work in your delivery business.
- Remember your why (See episode 3)
- Balance your work with your why
- Create a great work environment
- Dwell on the good stuff
- Gamify it.
- Take advantage of your time out on the road.
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How many of us are not tracking our expenses because it's just too complicated?
Bookkeeping has a high intimidation factor. It doesn't have to be that complicated. Keep it simple. Here's seven rules to help make it easier for you.
- If you think it's related to your business, track it.
- If the expense is reasonable and necessary for the operation of your business, it's an allowable expense.
- Track your miles.
- Keep a record of the money your delivery business earned.
- Organize your expenses and income into transaction types.
- Find a tool for organizing your transactions that makes it easiest and most likely for YOU to keep tracking.
- Have someone who understands taxes take your records and do your taxes for you.
You can see images, and an associated video on the related blog post at EntreCoureir.
This is about bookkeeping - tracking expenses, not taxes. You can read more about taxes on our tax guide. It includes several articles on tracking miles, expense categories, and how taxes work.
We talked about some tools you can use.
Check out my review on Quickbooks Self Employed.
If interested, you can use my affiliate link for Quickbooks Self Employed for Android or on IOS in the App Store
Check out our recent overview of GoDaddy Bookkeeping for delivery independent contractors. You can use my affiliate link to get that program here.
Hurdler is another cost effective but feature rich option that I'm beginning to really like. This too is an affiliate link
You can also check out affiliate links for Quickbooks Online and for Freshbooks
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I didn't expect to get back to Uber Eats so quickly after we talked in Episode 83 about how Uber Eats is now including the expected tip in the offer amount.
The feedback on that has been surprising. A lot of people commented on the associated blog page that they are making a lot less money under the new system.
Is Uber Eats paying less or is tipping lower under this new system? The issue caught me off guard because my results have been the opposite. I've made more money than ever on Uber Eats now that I know the total tip amount.
We dive into what has changed about tipping on Uber Eats (nothing) and what may be causing some to do better while others do worse.
Some articles of interest:
In January 2019 Uber Eats began allowing customers to tip when placing the order. This feature has been in place for a year and a half. This aspect of things did not change with the new update.
In November of last year we talked about the new Uber Eats pay model.
When Doordash came out with their new pay model last year, we talked about the Desirability factor. It's something similar to Uber Eats's Trip Supplement.
What has changed with Uber Eats? What remains the same? Is it better or worse now that you know how much you're earning? We talk about those questions and then get into three secrets of how to better evaluate Uber Eats delivery offers with this new change.
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What is it like delivering on an e-Bike for Doordash, Grubhub, Uber Eats?
I share my experience shifting into using an e-Bike for food delivery on Doordash, Uber Eats and Grubhub.
Can you earn good money on bike deliveries? I'm pleasantly surprised.
You can see pictures referenced at the associated blog page.
I referenced Grant Peterson's book "Just Ride." Here's the Amazon affiliate link.
You can check out Episode 84 and my interview with Kevin Ha who was making $40 plus per hour on e-Bike deliveries.
Episode 32 was one of my first times addressing using your bike for delivery.
In August 2019, Doordash rolled out a bicycle mode on their app. I wrote about my experience here.
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All of these gig apps seem intent on thinning the herd of drivers by way of mass deactivations.
Doordash is tracking late deliveries as contract violations. Grubhub and Uber Eats are calling late deliveries "fraudulent.
It's getting crazy out there.
What do you do and how do you weather all these contract terminations?
In August there was another such wave at Doordash, that time due to a glitch that terminated people for multiple accounts when they had none. Another glitch this year terminated people for violating the referral policy when they hadn't referred any new drivers.
In episode 73 we talked about another wave of deactivations.
You can see the screenshots of some of the examples on the associated blog post for today's episode.
We mention in the episode that Grubhub has a form you can submit for account issues. You can get to that form here.
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What's the best way to evaluate delivery offers?
I'm going to tell you that the best way is what works for you. If you are happy with the results from a certain method, then stick with them.
I have issues with certain groups who will tell you their way is the only way. Some get almost militant about it. My beef isn't their philosophy, it's their tactics.
We look at a few approaches: As we do we stress the best way to evaluate is profit per hour which we talked about in Episode 8
You can read the associated blog post here: #DeclineNow vs #TopDasher vs 50 cent rule
Top Dasher / Grubhub Premier / Take Everything.
There are people that this approach can work for. There are markets where this approach may be more necessary. Program levels offer benefits in exchange for taking more offers, but you have to evaluate if the cost is worth the benefit?
Cherry Pickers / DeclineNow / Minimum Dollar Amount
It was among Grubhub drivers that the term cherry pickers came to be popular. Referring to people who reject offers until they find the one that fits. I'm a cherry picker in a loose sense of the definition as I am extremely selective.
A more recent movement has been the #DeclineNow Facebook group. Essentially their approach is to reject anything less than $7. They also stress a theory that Doordash adjusts offer amounts upwards as they are rejected by drivers - a theory put out on this site before the current pay model was fully introduced. There was an interesting article referenced in the episode about the DeclineNow group.
Dollar per mile clubPopular among Doordash drivers is the approach that says it has to pay a dollar per mile or more to take. It's a great way to weed out some bad offers but leaves too many bad offers on the table. In my opinion.
Fifty Cent RuleA delivery has to pay 50 cents a minute to be worth taking. (Or 40 cents or whatever rule you wish to implement).
Originally introduced here as the 40 cent rule I've since given myself a raise.
The bottom line isYou do you. I emphasize the 50 cent rule because I think it works. But note the words: "I think."
If you choose a different way of deciding or choose not to decide, that's your business decision. I'm not getting emotional over your choice.
When I begin to form a negative opinion is when a philosophy becomes something that its followers insiste I (or anyone else) have to follow.
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Today we launch the 31 Day Courier MBA course. I won't link to it since it's been started already, however, in celebration of that I want to talk about this idea of being a business owner.
MBA in the course stands for Master your Business Attitude.
Whether you feel like it or not, whether you want to be or not, as an independent contractor you ARE a business owner. Today we talk about seven characteristics of business owners and how they can help you take control.
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It's not uncommon for someone to discover while delivering part time that delivering for Doordash, Grubhub, Uber Eats and others feels like it's earning more than their day job. Does it make sense to quit and just deliver full time?
We interrupt these show notes to put in a shameless plug for the 31 Day Courier MBA email course. There are still spaces open. Sign up before the deadline.
You can follow along on the associated blog post here.
There's no one right answer. It can be the perfect decision for some, a terrible decision for someone else. It depends on outlook, temperament, location, so many things.
Episode 44 got into this full time question. It was more of a pro's and con's of full time delivery where this approach was more methodical. Maybe check out both. This week we walk through 7 Steps:
Step 1: Build a Business mindset. You are running a business. Think like a business owner. Sign up for the 31 Day Courier MBA email course, or check out Episodes 1-31.
Step 2: Understand the Bigger Picture. Check out Episode 3. It's all about getting to know your why. Ask yourself how fulltime delivery fits in with the bigger picture of who you are and what you want to do with your life. We reference interviews with Mike Bisceglia and Kevin Ha.
Step 3: Is it Sustainable? Know what you need. Start with a budget (this info from Dave Ramsey might help). Episode 18 digs into understanding what your car actually costs. The Financial Panther blog digs into pros and cons of contractor vs employee.
Step 4: Do some Market Research. What's happening in your market to help or hurt independent contractor status? New York had a ruling stating a Postmates contractor driver was an employee. What other things can change in your area to impact earnings potential?
Step 5: Get ready. Do the things you need to do to be ready. You can check out our affiliate Amazon link to the book we mentioned in the episode: Quitter by Jon Acuff. See our article on giving yourself a paycheck. Here's our article on deciding what to save for taxes.
Step 6: Develop an exit plan. What is your ultimate goal? How do you want to get there? If you haven't started thinking through this, at least get the process rolling.
Step 7: Decide and Execute. What are you going to do? Set a plan, decide when it makes sense, and then do whatever you decide.
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The AB5 is hitting the fan.
California has won an injunction forcing Uber and Lyft to use employees as of August 21. As it stands right now, they state they intend to shut down there temporarily.
What does this mean for delivery contractors with Grubhub Doordash Uber Eats Postmates Instacart and others?
BUT BEFORE WE DIVE IN:
Are you signed up yet for the 31 Day Courier MBA email course? Starting September 1, we'll send out 31 daily emails helping you Master your Business Attitude (MBA - See what I did there?).
We're limiting the number of participants to make it manageable.
And oh yeah: I'm not charging for the course.
Sign up now for the 31 Day Courier MBA: 31 Days to a more profitable delivery business.
You can read up on the topic for today on the associated blog post for Episode 85.
We look back at some things I said in Episode 52 and Episode 51.
Here are links to articles we reference
TechCrunch article announcing the state's preliminary injunction against Uber and Lyft. (Note, in the podcast I mentioned that nothing was decided on the actual case. I should clarify - there was a state court decision that Uber and Lyft had misclassified employees. However, the companies are appealing - the preliminary injunction is meant to enforce that ruling rather than have the companies drag it out in court.
Instacart and Doordash are probably next, having been sued by local governments.
This Marketwatch article explains why Uber Eats is not included in the injunction
California may themselves be in violation of AB5 - hiring contractors at the EDD
The New York Times reports that Uber and Lyft are looking into a franchise model.
Here's our article from March about the New York court of appeals ruling on Postmates.
ProAct includes language making the ABC test a national law. Joe Biden has pledged to sign it.
Our article on what AB5 means nationwide and on why the gig economy might come to an end.
The importance of having an exit plan
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We're excited to have Kevin Ha from Financial Panther join us today to talk about delivery.
Kevin paid off over $80,000 in debt in just over two years by diving into side hustles, including delivery. His Financial Panther blog provides a lot of great advice about money, saving, side hustles and taking control of your life.
And oh, by the way, he's been knocking out 5 to 6 deliveries per hour, on his e-Bike, averaging about $40 bucks an hour in the process.
So we had to pick his brain about how he's doing that.
You can read the transcript on the associated blog post on EntreCourier.com
BIG ANNOUNCEMENT!!!We're doing something new here.
Launching a course.
And it's free. Our podcast audience is getting the first shot at the course.
The 31 Day Courier MBA Course: 31 Days to a More Profitable Delivery Business.Class begins September 1, 2020.
For the inaugural class, we're capping the number of signups at 50 participants.
Unfortunately, there's no diploma. No degree. It's not that kind of MBA.
MBA stands for Master your Business Attitude.
This is an email course. Each day for 31 days you will receive an email helping walk through different business concepts, and how can we apply those to our business.
And for everyone that completes all the homework (yes, there will be homework) a special thank you gift to our podcast audience is a free Independent Delivery Pro polo shirt.
Sign up here and grab your spot in the 31 Day Courier MBA Course.
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
For the associated blog post with screenshots and links you can go to the website page for Episode 83
UDM broke the story on his Youtube channel that Uber Eats is rolling out a change in the delivery offer display in some markets.
"Starting today, you'll see an upfront price that includes the expected customer tip. This is based on what your customer adds upon checkout. The exact tip amount may change as customers have 1 hour after delivery to edit or change their tip."
Early last year Uber Eats rolled out a change where customers could tip when placing the order. But they still allow you to edit or change the tip. That's a good thing but it's also something that could make this change a disaster. We talk about why in this episode.
Some other relevant links mentioned in today's episode:
My article on reverse cherry picking.
An earlier article referring to accusations that Doordash was stealing tips.
Earlier this week we posted about Grubhub's minimum pay during the pandemic
One concern with the new practice is customers could begin tip baiting - a practice that has been a problem with Instacart customers.
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
What is the experience like delivering for Doordash?
I go through my own thoughts and observations on what it's like.
With a heavy dose of opinion thrown in.
If you are thinking of signing up to deliver for Doordash, either as a brand new courier or to add to your arsenal of delivery partners, you might be able to get a bonus if you use my referral link. If you deliver so many deliveries within so much time and you used my link, you may qualify for a bonus. The bonus varies based on how badly Doordash needs couriers in your market.
In the fall we did a series on whether the different platforms were good delivery partners. That series took a bigger picture look at each app. Episode 38 of the podcast talked about Doordash (and to date has been my most downloaded episode - by a long shot!)
You can see some of the screenshots that I refer to on this week's episode by going to the associated blog post for Episode 82.
This is the third of a 3 part series.
Episode 80 talked about what it's like to deliver for Uber Eats.
Episode 81 talked about what it's like to deliver for Grubhub.
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
What is it like to deliver with Grubhub?
We get into some of the great things about them.
We also delve into some of the challenges that I see.
You can read the associated blog post for Episode 81 on EntreCourier.com.
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You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
Before we get into the show notes: If you're able to at all, this is a good one to follow on the blog post. We have screen shots of things from the Uber Eats app that, seeing the shots (and viewing the video about verifying you have a mask on) really help add to this episode.
Okay, on to the shown notes:
Three things I talk about prior to today's topic:
Check out Mike Delivers podcast. Mike was our guest in Episode 79, and he's got a special guest this week.
If you haven't applied for the Paycheck Protection Program Loan, there's still time - it's open until August 8 (Plan on applications shutting down a few days earlier). This is a referral link.
Tomorrow, July 15, is the tax deadline. You can still get some help figuring out taxes at https://entrecourier.com/tax-guide.
What's it like to deliver Uber Eats?In the fall we did a series on whether delivery apps were good ones to deliver for. That one focused on a lot of things about the apps themselves, but I wanted to dig into what the experience itself is like. Episode 45 is when we looked at Uber Eats.
I mention getting a delivery bag: Episode 55 dives into why that's a good idea. You can get an inexpensive entry level bag here
Check out the associated blog post for a video, a screen recording of the process of verifying COVID-19 precautions
We also have screen shots of offer screens and the progression of improvements Uber Eats has been making.
You can read about the reverse cherry picking approach to offers on Uber Eats here.
I talk about the 40 cent rule that I use for other platforms - not having tip information does make it harder to use that on Uber Eats.
Uber Eats made some improvements to information they provided but at the same time moved to a less transparent pay model in Episode 46.
Another improvement Uber Eats has made is in doing better encouraging tips.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
The story came out about Sam Lyon, who decided to put in 12 hours a day, 7 days a week, delviering Uber Eats for the month of June. In the end, he made $8,357, which is a $100,000 per year pace.
Before we go further into that, a few notes:
First, the associated blog post for today's episode is here.
In the introduction to today's episode, we talk about a few things:
You can get a list of articles related to the Covid-19 pandemic here. This lists articles about driving safely as well as about the aid opportunities available to the independent contractor business owner.
We also talked briefly about the recent agreement for Uber Eats to take over Postmates. We had a couple of articles about this
- Thoughts on what a potential take over would mean to independent contractors.
- Reactions to the news from a driver's perspective
Okay, on to Sam's story and what it says about the ability to make six figures as a delivery driver.
Is this achievable? Is it sustainable?
We talk about his.
You can see the CNBC video about Sam's accomplishment here.
Quick note - if you read the blog post, there are slightly different numbers than what we break down in the podcast episode, when we get into what the effective hourly earnings are. When figuring numbers during the recording, I misfigured the tax differences between being an independent contractor and an employee. In the end though, the difference in figures is not very substantial.
We talk about what your car actually costs to operate. You can learn more about figuring out actual costs in Episode 18 of the podcast.
The bottom line is, Same worked a LOT in June and made a LOT of money. The important thing here isn't how much he made an hour or any of that - it was that he was able to CHOOSE to put those hours in. Whether we would choose to work that much is irrelevant. Sam did it.
And that's the beauty of being an independent contractor. We get to make those choices.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
This is more or less the 1 year anniversary of the launch of this podcast. We went live with regular episodes on July 1 2019.
Today's episode is a kind of celebration of all that. It was a blast having Mike Bisceglia from the Mike Delivers Podcast join us, share stories, and just talk about enjoying the time we spend out there in delivery.
Check out Mike's Podcast on Apple. Of course, Mike can be found on all the other places podcasts are found
Follow Mike on Twitter. You can also join his Patreon community and get bonus content.
I finally let Mike speak at the 7:36 mark
How Mike got started with delivery and podcasting: 8:48
On if he'd ever try any delivery platform other than Uber Eats 11:30
Mike on taking orders for the sake of the experience, not just the money 12:44
On building relationships with restaurant personnel 16:53
What Mike enjoys most about doing delivery work 19:48
What drives him crazy the most about delivery 22:51
One of his most memorable deliveries: 28:40
On delivering during the pandemic 32:17
Mike's best advice: Smile! 40:47
.... even with a mask 42:24
The associated page on the website can be found here with more or less a full trascript (minus my stuttering)
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent Delivery Pro Gear Shop
A few weeks ago gas prices were ridiculously low. As people are getting back to work we're seeing gas prices start to move up in price. With gas getting more expensive and as much as we have to drive to deliver for gig economy apps, how do we make sure that we're not paying too much for gas?
Before diving into that topic, a couple things we touched on to start the episode:
- Last week the government added funds to the EIDL relief loans. Stay tuned to the EntreCourier website, we'll dive into that soon. Also, June 30 is the deadline for the Paycheck Protection Program. Here are some PPP relevant links:
- How the PPP program works for independent contractors
- My process applying for the PPP loans
- How PPP loan forgiveness works for independent contractors
- Where to apply for PPP Loans
- Doordash has been said to be dangling 'bonuses' for completing so many deliveries. They were promising "you'll earn at least $1750" for 300 deliveries. That's not a bonus, that's not money on top. It's just a minimum earnings of less than $6 each.
- Go check out Mike Delivers. Another delivery based podcast that's well done.
Okay, on to this week's episodeYou can follow along on the blog post associated with today's episode and see links and screenshots there.
The most important tip for cutting down on gas costs? Drive lessI drive around in a 20-mpg Chevy Equinox and spend less on gas than a lot of people who drive a Prius. Why? Because I keep my miles down. Too many drivers are driving way too many miles. Don't be that guy (or gal).
Don't drive extra miles to save on taxes.
I learned on Uber Eats that distance was a better factor for evaluating deliveries than the offered price.
Use the available cost saving tools.Use my GetUpside referral link to receive a bonus 15¢ per gallon cash back on your first fill up.
Check out GasBuddy for info on gas prices and save money on gas purchases with their debit card. (not an affiliate link.
Get the GoBank card from Uber Eats for up to 6.5% cash back on gas. Don't deliver for Uber Eats yet? Sign up here.
Use gas savings at warehouse clubs like Costco and Sam's Club
Keep the big picture in mindThink about what the cost is for whatever savings you pursue. Driving 6 miles out of your way costs you more in time and vehicle cost than what you save.
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You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Need an inexpensive delivery bag to get started with delivery? You can purchase this one
For a professional looking polo or shirt for deliveries, check out the Independent D
Now the question here is NOT which is the best delivery app to deliver on.
It's which is the best to START with. Which is the best for being someone's FIRST delivery experience. Grubhub? Uber Eats? Doordash? Postmates?
Here's the thing about getting started with delivery: You might find out you hate it. You're wanting to get a feel for how you like delivery as a whole, without having to make too great a commitment or investment up front. Then, if you like it, you can dive in more fully.
We talk about all four major apps, Postmates, Grubhub, Uber Eats and Doordash, and their pro's and con's as first time delivery apps. None of them is perfect, but in my opinion there is one app that stands far apart from the others because it fits that criteria I just mentioned.
You can follow along with the associated blog post on the EntreCourier website here.
Some other articles and links relevant to today's discussion:
Six Things I Love about delivering for Uber Eats, Grubhub, Doordash, and Postmates (and why you might love it too).
Seven Reasons you may not want to be a delivery contractor
Delivery App Throwdown: Comparing Grubhub Uber Eats Doordash and Postmates
Understand the risks that you may not be insured while delivering
A Three Step Process to make sure you are insured
Here are my referral links for Uber Eats and Doordash. Depending on the need for drivers, delivery companies may add signup bonuses when you use a referral link. I may receive compensation if you sign on through my link and complete enough deliveries.
Deliver for Uber Eats
Deliver for Doordash
If you do get started and need an inexpensive delivery bag to get off the ground, you can purchase this one here.
If you want a professional looking polo or shirt for deliveries, check out the Independent Delivery Professional Gear Shop here.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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I'm sure you've seen it - the clip from Jim Mora when he was a coach with the Colts:
Playoffs? You kidding me?
Taxes? You talking about taxes? Taxes? You kidding me???
That's how a lot of us feel. I had something I was thinking of that might be more fun to talk about, and I could have waited on this topic to be honest. Originally June 15 would have been the deadline for 2nd quarter quarterly estimated tax payments. So it made sense to bring this up.
Due to the pandemic the government saw fit to push that back to July 15, but if you haven't been thinking about it, maybe going ahead with this topic gets you thinking so you can start sending in those quarterly payments.
I try not to spend too much time on taxes themselves with this episode. You can find more about how taxes guide in the Tax Guide for Independent Contractors on our site: a series of articles on tax topics for contractors.
There are a couple of screenshots of some forms, if you want to view them you can check out the blog post associated with this episode.
A couple of times we reference the last article in the series on how to save for taxes.
When filing your quarterly tax estimate you will use IRS Form 1040-ES. It's actually quite simple. It's "tell us who you are and how much you are giving us." That's it. The instructions can be intimidating. You can view the form and its instructions here.
One resource I mention for figuring out estimated taxes is Quickbooks Self Employed. Note that this link is an affiliate link, I may receive compensation when items are purchased.
One last article that was published about making a fourth quarter payment.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Get a non-app branded Independent Delivery Professional delivery bag for less than $10, shipped.
Get a variety of shirt styles and colors (and hats) with the Independent Delivery Pro logo at https://entrecourier.com/gearshop
Let's talk a bit about hotspots. Those places the apps tell us are the best places to look for delivery offers? Are they where we should go?
If not, where SHOULD we go?
I'm not going to tell you where to go. I've been told where to go enough, but that's a different matter. Different markets and different personalities and different approaches mean different things work for you than might work for me or vice versa. Instead, I'll walk through how I got a feel for where to go deliver, and maybe that process can help you decide.
A couple of episodes in the beginning of this podcast help with some topics:
Episode 8 Talked about how to measure your performance (particularly profit per hour). Understanding what makes a good delivery is crucial in figuring out WHERE to deliver.
Episode 9 gets into the 40 cent rule. Evaluating what you do based on how at $24 per hour you are making 40 cents per minute. This is a good way to evaluate delivery offers. What area of town will give you the best chance at 40 cent (or whatever your rule is) per minute deliveries?
Episode 11 went into more traditional advice about where to deliver. In this episode I tried to walk through a process for you, but there might be some good tidbits in Episode 11.
And then there's Episode 74 (THIS episode - the associated blog post can be found here.
A couple of other good resources mentioned in the article:
Elijah from the App Lifestyle (once upon a time the Uber Eats Lifestyle) had a great video that helped me when I got started on creating Money Spots
The Master Dasher is a newer blog that's getting off the ground, giving advice on different practical aspects of delivering with Doordash. He had an article on creating your own hotspots that might be helpful for you.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Get a non-app branded Independent Delivery Professional delivery bag for less than $10, shipped.
Get a variety of shirt styles and colors (and hats) with the Independent Delivery Pro logo at https://entrecourier.com/gearshop
Doordash is cracking down.
But before we get into that...
** SPONSORED *******
Check out the Independent Delivery Professional Gear!
We just launched the gear store. You can get the Independent Delivery Professional branded logo on a variety of shirts, hats etc at the EntreCourier Gear Store.
(Is it really sponsored if I'm the sponsor? I don't know but it sounds cool to say it)
Anyway, where were we?
Frankly, Doordash is following Grubhub's lead and trying to bully their Dashers into submission. At least that's how it feels.
It's not that there aren't issues that need to be addressed. Doordash is having some real problems with their deliveries and that's why they're cracking down. They're ramping up their deactivations rhetoric and have made some changes to their deactivation policy.
You can see all the screenshots referenced by viewing the associated blog post here.
Doordash made two big changes to their deactivation policy. One they didn't even announce - it's funny they're cracking down on not meeting the terms of the agreement when they don't follow the terms of the agreement....
You can see the old version of the policy here.
You can see the current policy here
They also changed the minimum completion rate from 70% to 80%
The things they're cracking down on:
- Not delivering the food
- Being extremely late to the restaurant or to the customer
- Un-assigning too many deliveries.
So, let's talk about this. What's up with this? Why are they doing it? What can we do?
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Check out our “sponsor.” The EntreCourier store. Right now it just has one product, but check it out all the same! Entrecourier.com/BasicBag
As we slowly crawl out into re-opening our society, I think we’re going to see a slow down in the delivery economy.
· People may be tiring of delivery
· People are running out of money
· People are starting to go out more
· We’re getting into summer now which is normally slow
· There was such a glut of drivers who just signed on that we’re looking at a saturation of drivers to available orders
Whether it’s slower delivery business, or things like app crashes and glitches, the common denominator I see by people impacted most by these things seems to be they rely on only one app.
As things slow down, what can we do to prepare for the changes?
Remember that you’re running a business. These apps are your customers. Don’t get so dependent on just one customer that if something changes with that relationship, you’re screwed. Keep your options open.
We talk about three stages of moving into working multiple applications. You may decide to stop at stage 1, stage 2 or go through all 3. I highly recommend at least going to stage 1.
We also talk about how well the different apps work in a multiple platform environment.
Links that might help you:
View the related post on EntreCourier.com
How to evaluate offers (individually or multi-apping)
Seven Questions to ask before accepting multiple deliveries
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Our Podcast page is at DeliverOnYourBusiness.com
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News broke recently that Uber Eats is in talks with Grubhub to take them over. An agreement could happen by the end of the month.
We don’t know any more than that at this point.
What would that mean? What will happen if that happens?
I discuss what I’ve seen happen when one tech company takes over another. Based on what I’ve seen, I don’t think we’ll see immediate changes the day the deal is finalized. This kind of thing takes time.
What are your thoughts? What do you think?
You can read a written version of my thoughts on the associated blog post here.
Some other articles referenced in today's episode:
Business Insider article breaking the news of the talks between Uber and Grubhub.
CNBC report on increased stock prices after news of talks broke
Business Insider article about failed merger talks between Doordash and Uber
Four Week MBA discussion of the Grubhub business model
Article I wrote earlier on how delivery companies have handled the pandemic and the bad PR that Grubhub has been getting.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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How have the main delivery companies responded to the Pandemic? Where did they improve? Where have they failed?
We talk about the responses by each company.
For links to related articles, please see the related blog post.
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Thanks in part to COVID-19 a lot more new drivers are just starting deliveries for InstaCart, Doordash, Uber Eats, Grubhub, Postmates etc. Many are looking for tips and tricks.
I have a lot of links today to other episodes and articles on EntreCourier.com, as an attempt to keep the tips brief but give you links you can look up for more information.
You can visit the associated blog post and click on the links directly, or you can follow links from these show notes.
You can also pick up a lot more information for getting started and developing a business owner attitude on our 31 Day Courier MBA series.
1. Embrace not being an employee (5:00)
Understand that you are not an employee but you are entering the relationship as a business owner. You are the boss.
2. Think in terms of profit, not what you get from these platforms. (7:55)
Episode 18 Understanding what your car really costs to operate.
Episode 30: The importance of giving yourself a paycheck.
3. Pay attention to taxes. (11:20)
You can go to our Tax Guide for more detail on taxes.
Go here to learn more about how much to save for taxes
This article helps you understand how to track miles on your car.
4. Accept and reject orders (16:50)
You have the right as an independent contractor to accept and reject offers at your discretion. Companies cannot legally control contractors.
Episode 8 talks about how to measure profit per hour.
Episode 12 discusses using the 40 cent rule to accept and reject offers.
5. Check your insurance (21:35)
Episode 19 goes into more detail on why insurance doesn't usually cover you.
This article details 3 steps you can take to make sure you are insured.
Here I talk about my own experience through the 3 step process for getting the right insurance.
You can get directed to a commercial insurance through CommercialInsurance.net (affiliate link)
6. Don't rely on just one customer. (24:45)
You can sign up with Uber Eats here, and with Doordash here. These are referral links, meaning I may receive some compensation as a referral fee.
Episode 14 talks about using multiple apps at the same time.
Think like a business owner. (28:15)
Don't think like or act like an employee. Take control. Be the boss.
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Our Podcast page is at DeliverOnYourBusiness.com
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Programming note: I've made the decision to move the podcast to earlier in the week rather than towards the end of the week. That falls in line with when we send out our weekly newsletter (see the link below if you want to sign up)
There are signs that we're on the downward side of this pandemic. The number of new cases are dropping, states and cities are preparing to relax stay at home standards.
What will this mean for us as delivery contractors?
One thing that has been good about this time has been it has offered an opportunity to reflect and examine where we want to go with our lives, our careers, and our business. Have you had the chance to start thinking about where you would like to go from here?
This week, I talk about what kind of questions come up as we start thinking about what things will be like as we come out of this pandemic. I don't try to answer the questions, but encourage you to think about those questions and how can you prepare for the possible answers?
I then shift to talk about how some of that reflection personally has had me thinking about where I want to go with the podcast and website. I would love to get your insights, feedback and thoughts on some of these ideas.
You can take the survey at the end of this post to give your feedback.
The associated articles for this post are as follows:
Going forward for delivery contractors (part 1)
Going forward for the EntreCourier and the podcast (part 2)
Other articles referenced in this article
Grubhub coming under fire for predatory "assistance" to restaurants
New York high court rules that Postmates courier is an employee
Article and Episode 7 on crafting an exit plan.
More about the EntreCourier
You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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Do we qualify for unemployment benefits as gig workers delivering for Grubhub, Doordash, Postmates, Uber Eats? If we have to stay home during this pandemic, or we choose to stay home for safety reasons, or we stay home because we can’t earn enough, how does that impact our ability to recover those benefits?
Normally we wouldn’t qualify, however the recent stimulus package included provisions to help self employed individuals. We talk about that in today’s episode.
Some articles that we reference in the episode.
The Department of Labor’s guidelines on unemployment eligibility.
New York Times article on Uber being fined by the state of New Jersey
My recent article on New York’s high court determining a Postmates Courier was an employee.
New York Times article expressing concerns about eligibility of gig workers for Pandemic Unemployment Assistance
Department of Labor guidelines on self employment and uninsurance.
Associated Builders and Contractors document of the status of various states for Pandemic Unemployment Assistance.
https://bit.ly/2XvUtGO.
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You can get more tips and ideas at our website, Entrecourier.com
Our Podcast page is at DeliverOnYourBusiness.com
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How are you holding up, delivering for Grubhub, Doordash, Postmates, Uber Eats or any other gig companies during this COVID-19 Coronavirus pandemic?
That's an important question. I fear that the mental health toll from this could be as bad if not worse than the physical health. How can we respond to this challenge and keep encouraged and manage stress?
A couple of articles here talk about stress, how it impacts us, and how we can manage it. I really encourage checking them out.
https://health.clevelandclinic.org/what-happens-when-your-immune-system-gets-stressed-out/
https://www.webmd.com/balance/stress-management/stress-management
I reference a couple of articles in this episode from the EntreCourier site:
Using gloves when delivering for Doordash, Grubhub etc.
Responding to COVID-19 Coronavirus as a driver (where I said the virus doesn't scare me)
Steven Covey's book 7 habits of Highly Effective People taught me to focus mainly on things I can control, not dwell on what I can't. (The Amazon link is an affiliate link)
The old preacher in me came out - I talk about Philippians 4:6-9 that talks to people in another stressful situation - people wondering when soldiers might come in and drag them off because of their beliefs. A couple of lessons from that passage are:
- Let go of the things we cannot control
- Replace those concerns by focusing on the positive and what we CAN do (Whatever is excellent or praiseworthy, think on these).
More about the EntreCourier
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Our Podcast page is at DeliverOnYourBusiness.com
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Is your income while delivering for Grubhub, Doordash, Uber Eats or others dropping because of this pandemic? Or did you have to stay home?
It's frustrating to pause like this. And to compound things, the Supreme Court in New York State just ruled that Postmates drivers are employees. This will likely impact all delivery apps. What do they do now? What is the ripple effect going to be? What does this mean for the future of gig delivery?
Maybe it means opportunity.
Pat Flynn was an architect who was let go in the economic crash of 2008. He was able to turn that into an opportunity to develop his own business.
I personally decided to use this time to pause deliveries and work on some other opportunities.
I mentioned one idea for replacement income is to look into some work from home opportunities. Appjobs (affiliate link) is one website that can list a number of gig opportunities.
The Gateway Drug.
Or maybe this is the time to start looking into what you can do next. Gig delivery work can act as a gateway drug into other entrepreneurial ideas.
In the associated blog article, I linked to this Youtube video featuring Gary Veynerchuk and his message for Smurf lovers to Smurf it up
Some good books for inspiration:
48 Days to the Work You Love by Dan Miller
Let Go by Pat Flynn
Crush It by Gary Veynerchuk.
(Amazon links are affiliate links)
You can also visit the associated blog page to today's episode.
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Our Podcast page is at DeliverOnYourBusiness.com
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I wanted to take a moment and offer a special message to restaurant owners. I'm a delivery driver who contracts with Grubhub, Postmates, Doordash and Uber Eats. Normally this podcast is directed towards other couriers. But today I wanted to just take a moment and give a heartfelt message to those of you who are operating restaurants in the midst of all this.
You can read the message at https://entrecourier.com/2020/03/23/a-delivery-drivers-message-to-restaurant-owners/
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Our Podcast page is at DeliverOnYourBusiness.com
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Before digging into the topic, I wanted to post a link to this article on Marketwatch that looked at my experience doing delivery in the midst of the Covid-19 Coronavirus crisis.
Here are some links related to today's topic.
Grubhub's announcement they would waive fees for independent restaurants.
Uber Eats shortly followed suit, announcing the same.
At least one analyst has some concerns about the impact of those moves on the companies.
Doordash wanted to make it look like they were doing the same thing but it turns out it was only waiving fees for restaurants who sign up. Existing restaurant partners still have to pay up.
One particular pizza chain announces they will sever ties with Doordash temporarily.
Read the associated blog post here on the EntreCourier website.
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Our Podcast page is at DeliverOnYourBusiness.com
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This past few days have really hit home how seriously the Corona virus is being taken. Major sporting events are being canceled. Tom Hanks has the virus. Schools are being suspended or canceled.
How is this going to impact us as delivery contractors for Grubhub, Postmates, Uber Eats, Doordash and others?
I've avoided discussing this topic for the most part because, frankly, I'm not an expert. There's a whole lot more that I don't know than what I do know.
Here's what I believe
We're going to be okay. That doesn't mean that some of us may not get sick. It doesn't mean there won't be dramatic impact. But we'll get through it. Some links that were put in the associated article:
Grubhub's attendance policy and the Coronavirus
Stride Health's COVID-19 resource page for independent workers
Episode 30 and Giving Yourself a Paycheck
The associated blog post and semi-transcript for this episode
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Uber Eats is starting to roll out Order and Pay where couriers place the order and pay for it with an UE-provided debit card. Grubhub only recently joined in.
Is it worth it to accept Order and Pay delivery offers? Does it make sense?
We talk about the good, the bad and the ugly when it comes to order and pay.
The Good: Doordash. Okay, no one is really good on this one but they're less bad than the other two.
The Bad: Grubhub. Or they're Ugly Lite - Grubhub's got some real issues rolling it out.
The Ugly: Postmates. Very simple: Tell us it's Order When You Arrive when you give us the offer.
We referenced how some restaurants are suing Grubhub and Doordash over trademark infringement for this practice.
We also talk about the 40 Cent Rule - determining whether an order will pay 40 cents a minute or more. For Order and Pay, I tend to make that a 50 cent rule.
To see the associated Blog Post on our website, go here.
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Last week's episode (Episode 60) involved a discussion with researchers who were looking at the non-monetary things that gig platforms can do to attract and gain loyalty.
So this week I thought I'd throw my two cents in.
Amazing how long I can talk with 2 cents.
Here's what it all boils down to: Respect your drivers. Grubhub, Doordash, Uber Eats, Postmates, any other gig delivery platforms that use independent contractors: Respect the drivers you contract with. If you do that, it will play out into things that make us a bit more willing to work with you.
At the end, we talk about an episode of the Rideshare Guy's podcast where he interviews Chris Baggott who runs a small delivery startup called Clustertruck. While there are a few things that are different (they don't work with other restaurants, they prepare their own food) their focus on things that matter to drivers helps them have a stronger relationship with the drivers than the major platforms. Could that respect set a pattern for the others?
Not that Matt Maloney, Tony Xu, Bastian Lehmann or Dara Khosrowshahi would actually care to follow that pattern....
To see the associated post on our website, go here:
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What is it that makes you loyal to one particular platform over another? Is there one that you prefer to deliver for? Why is that?
Are there things besides money that might make us more likely to stay with a platform, or more likely to switch to another type of opportunity? Today, we talk with a team of researchers who discuss a study they are working on related to this very topic.
We are joined today by the following:
Lance Saunders is Assistant Professor with the Department of Supply Chain Management with the Haslam College of Business at the University of Tennessee.
Vince Castillo is Assistant Professor of Marketing and Logistics at the Fisher College of Business at the Ohio State University.
William Rose is Assistant Professor of Supply Chain Management with the Debbie and Jerry Ivy College of Business at Iowa State University.
You can be part of this study. They are looking for input from couriers like yourself, at https://app.survature.com/s/6vZYxrhiSHil/
I had a lot of fun doing this article, mainly because the whole topic of logistics and how these delivery platforms can get non-employees to get their work done for them is a fascinating one. A couple of articles that talk about the state of this industry that might be interesting include:
My thoughts about how a delivery platform could dominate - by focusing on actually BEING a delivery company.(This was episode 51 on the podcast)
Why I think the industry is in trouble - could gig delivery go away?
What do you think? What would make you more loyal to a company? What would make you less likely to switch to another company (or what could another company do to make you more likely to make such a switch?)
To see the associated post on our website, you can go here.
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About 70% of my deliveries are for Grubhub. Maybe 1% are with Uber Eats.
I was unable to get Grubhub time blocks scheduled for much of this week, so I decided to see how it would go if I went all in on Uber Eats for a few days. Here's my experience chasing a 40-delivery Quest this week, and how did my earnings compare?
A week ago I wrote about Grubhub suspending drivers for not accepting enough orders. I took the stance that I can do better with other platforms than with what I can do if taking 95% of my offers. I got the chance to find out if it was true.
I talk a little about Episode 46 where we talk about the Uber Eats new pay model.
You can read the associated blog post here.
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It was an honor having Mark Toussaint, Public Accountant, join us for the podcast this week. Mark owns and operates TASC Public Accounting and CFO Services with offices in Boulder and Longmont, Colorado. Mark is also on the faculty teaching accounting at Metro State University in Denver and occasionally dabbles in Dashing for Doordash. He has his Masters in Tax Law from Denver University, so he understands taxes but also understands how it is in the Gig Economy.
Mark helps us understand what those pesky 1099's are that we have been receiving and walks through how we report income, some of the expenses that can reduce our taxable income, and how to find help when needed getting your taxes done.
Mark is available to help drivers with their taxes. He can meet couriers locally in his office or do remote sessions. If you would like some guidance with your taxes from someone who understands how it is on our side, you can contact him:
On the web at Tax and Accounting Services Co.
By phone at 303-731-3822
Here's a couple of links relevant to Mark's discussions.
IRS 1099 form
IRS Schedule C
Special IRS Website for Gig Economy
IRS Volunteer Income Tax Assistance
For the associated web page and transcript, go here.
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You got your 1099. Now what?
What is the 1099 for Grubhub, Postmates, Doordash,Uber-Eats and other gig delivery companies?
What if my 1099 from Doordash is wrong (or anyone else - it just happens a lot with Doordash in particular?
What's the deal with the 1099-K For Uber Eats?
Do I have to claim income if it's not on a 1099?
We talk 1099's for independent contractors who deliver in the gig economy.
In the episode we referenced this article that we published earlier about Uber Eats and the 1099-K.
You can view the associated blog post on our site here.
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This is a special episode I recorded in anticipation of the big game happening this Sunday. You know, that football championship game where everyone watches the commercials?
I love listening to some of the speeches coaches give their players before a big game. Some of them have you ready to run through a brick wall. Others build something deep inside you. All good stuff.
I won't pretend I'm anywhere near the level of some of these great motivators. Not even on the same playing field - literally or figuratively. But I had some thoughts I want to share.
I put this up initially as an unpublished episode, giving my email list first access, but I did want to share it. I hope this provides some value for you and maybe a shot in the arm
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You may have seen the reports going around that Doordash Dashers are only making $1.45 per hour. I’m not linking to any of those articles because the reporting is so shoddy and irresponsible that they are not worthy of a link.
HOWEVER, the study that prompted the articles is worth linking. Working Washington was looking at how much DOORDASH pays drivers. The study serves as a good comparison to a tipped employee to see how it would look against what minimum wage would be on payment FROM THE COMPANY. The study itself did not include what the headlines were inferring. The study didn’t include tips, something the articles decided not to mention.
But hey, that wouldn’t get as many clicks if they were honest, would it?
I wrote a little about those reports earlier this week. It prompted some discussions that got into the topic of exploitation by these companies.
So do gig companies actually exploit workers? I think there is some exploitation going on.
How do we protect ourselves from being exploited? That’s where we go with this today.
The main answer is, understand what you signed up for, understand that you agreed to be a business owner and not an employee. That designation takes away some rights, but you agreed to the designation. Don’t treat this like a job, treat it like a business and take control.
You can read the associated blog post here.
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Does it make sense to use Insulated Delivery Bags or Hot Bags Delivering for Grubhub, Doordash, Postmates, Uber Eats, etc.?
There’s a couple questions about bags: Do you have to use them on deliveries? SHOULD you use them? I’m not sure on the ‘do you have to’ question. I wrote more about that here. The more important question is, does it make business sense? We talk about that today.
Ultimately, I find that having a delivery bag gets me in and out of the restaurant faster, speeds up the interaction with the customer, and helps with tips. More time, more money. It makes sense.
We talk about different options here. The Amazon links below are affiliate links: You can learn more about my affiliate link policy here
Some of the bags I look at:
Grubhub bags from their online store. You can watch my packaging opening review here
Uber Eats has an Online Delivery Store
The Servit bag is available on Amazon or the Webstaurant Store
The Freshie Catering bag with cup holders on Amazon
The Homevative Catering Bag on Amazon
Servit has a larger catering bag at Webstaurant
The non-branded version of the Grubhub drink carrier on Amazon
The Drink Caddy 4-cup holder on Amazon
The Creatology Art Caddy (Drink Holder) from Michaels
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Maybe the greatest, most pleasant surprise that I've encountered with this delivery gig is the time. I used to see my delivery time as taking away time from other things. I'm coming to realize that the time spent driving to places is a time where I can learn, develop, and grow. One of the biggest ways I can do this is with podcasts and audio books.
This week I am focusing on audio books that have made a difference to me. These books are not about deivery or about being an independent contractor. They are more about creating a mindset that decides to take control of my life and to strive for greater things.
Each week we have an associated blog post on the website - it's not a full transcript but close enough.
I mentioned an article I found that talks about alternatives to Audible.
Full disclosure - all links to Audible or Amazon are affiliate links. That means that I get a small commission if you buy anything. That commission helps offset the cost of running this podcast and the EntreCourier website.
If you want to try any of these, you can do it on Audible or on Amazon Kindle Unlimited. The main difference is with Audible you own the books, the Kindle service is more like renting them. Both offer a 30 day free trial. With the Audible service, it's like getting your first book
These are not the best books by any means. But they are books that made a tremendous impact on me, and I hope they might for you. The books that I suggest are as follows:
19:07 - Seven Habits of Highly Effective People by Steven Covey
20:53 - Financial Peace by Dave Ramsey
22:53 - Start with Why by Simon Sinek
24:48 - Your Best Year Ever by Michael Hyatt
26:35 - Crush It by Gary Vaynerchuk
29:49 - 48 Days to the Work You Love by Dan Miller
32:15 - The 4 Hour Work Week by Tim Ferriss
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The New Year is a natural time for reflection
What was great about the last year? what wasn't so great? What do you want the year to come to look like?
This week, I get a little more personal about why I started doing delivery, why I do the website, and how does that tie in with my passions and what I want to do with my life.
My hope is it helps you with your own reflection. Where do you want your life to go? Are you an independent contractor for Grubhub, Doordash, Uber Eats, Postmates or a number of other delivery platforms? How do you see that work? What do you love about it? What do you wish were different.
More important, how does it fit in with your why?
If you prefer reading, feel free to visit our associated blog post here. It's not a straight transcription but follows the general flow.
(note that Amazon and Audible links are affiliate links)
We discussed Simon Sinek's Ted Talk. You can read more from him in his book Start With Why, available on Amazon. Also available in Kindle, or in Audible audio books.
I also mentioned Ann Vosskamp's book One Thousand Gifts, available on Amazon, on Kindle or Audible
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With AB5, What happens to Contractors for Grubhub, Doordash, Postmates, Uber Eats and others on January 1?
What will change?
Nothing. Okay, your clock will change, your calendar will change. But you will still be a contractor.
Nothing changes until something changes. We talk about the changes to expect from AB5 when it becomes law on January 1. Some articles:
An overview of AB5 including Episode 37 of our podcast.
Forbes article on lack of teeth in AB5
TechCrunch article on Doordash misclassification settlement in 2017
Read the associated post on EntreCourier
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Merry Christmas
This is our last episode before Christmas. I want to wish all of you a very merry and wonderful Christmas. I don’t mean to impose any particular beliefs on anyone by sticking to the Christmas name (rather than saying Happy Holidays or something like that) but I sincerely wish for you the things that are such a part of the holiday: Peace and Goodwill to all.
As a special bonus, today’s episode is all about presenting a Christmas gift to my customers. Since Grubhub, Postmates, Uber Eats and Doordash are the ones who pay me, I see them as my customers.
I don’t think any will actually accept my gift. But if one does, if they embrace the ideas here, I think they could have the gift that tips their wish list: Total Market Domination.
Of course, I can always be wrong, but it makes sense to me, and that’s why we talk about it today.
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We’ve already had some crazy bad weather for the early part of Winter in several parts of this nation. And just think, January, February and March have yet to hit.
Snowstorms or even heavy rain storms can be a great time to make money. Super cold weather, lots of snow, windy miserable days are all times people don’t want to go out. The convenience of delivery can be too good to pass up. And that can mean we can make good money delivering for Grubhub, Doordash, Postmates, Uber Eats and others.
But does it also put us at too much risk? Is there a point where weather slows us down? We might make more on an individual delivery but we’re making less per hour. We talk this week about how to handle those bad weather deliveries.
You can read our associated blog post here on if Grubhub or Doordash Bad Weather Delivery (or anyone else) is a good idea.
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Is Top Dasher Worth it? Is Grubhub Premier Worth Pursuing?
At the start and end of every month, the whole topic of being Top Dasher moves to front and center in Doordash forums. People are close to achieving their status. People did or didn’t make it.
But the question is, is it even worth it? Let’s talk about incentive programs like Top Dasher for Doordash, or Grubhub Premier or Pro status, or even Uber Eats Pro.
Understand what the real benefits are that are offered. Understand if the company will even GIVE you those benefits after you pursue them. And understand the cost of pursuing them.
Visit the companion page on Is Top Dasher and Premier Status Worth it? on our website.
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Happy Thanksgiving, my friends.
Keeping it real simple this week, it's all about gratitutde and thankfulness.
I am thankful for you. Thankful that you choose to be a part of this whole EntreCourier thing, whether listening to the podcast or reading the blog. That means everything.
And I hope that this weekend, there is much for you to be thankful for.
Ron
https://entrecourier.com
In recent episodes we looked at each of the four dominant food delivery apps and how they worked as delivery options for independent contractors. We asked the same five questions of each.
Episode 33: Postmates
Episode 35: Grubhub
Episode 39: Doordash
Episode 45: Uber Eats
This week we compare the four looking at those same five questions:
How is the pay? 2:52
How is the app? 12:28
What are deliveries like? 16:40
Do they respect the independent contractor relationship? 22:02
How is their support? 26:59
In the episode we mention this article on Grubhub’s weird pay structure and also their bait and switch on incentives
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Is Uber Eats a better option with the new pay model?
In last week’s episode we wrapped up our four-part series of looking at different delivery apps including Postmates, Grubhub and Doordash. Last week we looked at Uber Eats. I’d drug my feet talking about them because I wanted to wait for the new pay model to drop. After I finally decided to go forward with that episode, they introduced the new model THIS week in my market. I originally planned to do a summary that compared all four apps, but with the new model coming out I wanted to pivot and talk about my impressions of the new model.
You can get a semi-transcript of the episode (it's not going to be word for word, but close enough) on the episode page on our website at EntreCourier.com.
In this article we talk about when Uber Eats added tipping upon order
We referenced this article that talks about Grubhub lowering their pay after introducing the new model, a trick I expect to see with Uber Eats.
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We have been focusing in some of our episodes on the four dominant food delivery apps. In Episode 33, we talked about Postmates, Episode 35 talked about Grubhub, and Episode 39 covered Doordash. This week it'sUber Eats .We ask the following questions:
- · How is the pay? (3:05)
- · How is the app? (16:14)
- · What are deliveries like? (22:22)
- · Do they respect the Independent Contractor relationship? (26:16)
- · How is their support? (29:48)
You can get a semi-transcript of the episode (it's not going to be word for word, but close enough) on the episode page on our website at EntreCourier.com.
I waited to see if Uber Eats would roll out their new pay structure here, which hasn't happened yet. They will be rolling out new lower fares, additional supplemental fees, and more information on the app. The pay cut stinks but the extra info will be huge.
Tipping is the main issue still on UberEATS. We talk about that more in this article where we adding an option to tip upon order
Some other articles that may be of interest:
Do Customers Tip Well on Uber Eats?
Lies, Damn Lies and AB5 and Misclassification
Elijah Bilel of the App Lifestyle youtube channel, who appeared as a guest on Episode 41, put together a good video comparing the new and old structures.
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A lot of couriers will try this delivery gig as a side hustle and think, this is paying better than my regular job. Others see the ads for 'up to $25 per hour' and think that looks pretty good.
Is this a viable option for full time work? Can it pay well enough to be worth doing fulltime?
In this week's episode we talk first about the reasons it may NOT be a good option. And then we delve into advice for going forward if someone wants to try this as a fulltime gig.
We make reference to a number of posts and episodes in today's episode. Also, one of the important pieces of advice is to develop a business mindset. The first 31 episodes of our podcast were a series dedicated to helping you Master your Business Attitude (MBA).
The most important factor for delivery gig success: Be the Boss!
Episode 18: Understanding what your actual costs are as an independent contractor
Episode 5: Have multiple revenue options available
Episode 20: Saving up for future car expenses
Episode 28: Giving yourself benefits such as paid time off
Episode 7: Have an exit plan
Episode 44 (Companion article for this episode)
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
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Apartments. Finding the customers while on delivery at apartment complexes can be a miserable experience. The way complexes are laid out, the way they are numbered, the way they are marked, it can be next to impossible to find the customer. And too often, the customer has no idea how to tell you to get there.
I'm in Colorado. There are complexes I KNOW were built before weed was legal, but I swear they were smoking it (or something else) when they numbered the buildings and apartments. There's no rhyme or reason or consistency. How do you find your way around these places? Some do put a map at the entrance. I LOVE whoever was that thoughtful. Too many don't.
Well, someone came up with a solution. And it's a FREE solution to drivers. It's called the Beans app. And today, we have Eddie Valdez and Akash Agarwal joining us to talk about the app, how it got started, and where they are planning to go with it.
You can visit the companion page to this episode for a screenshot of the app and a transcript of the episode.
Long story by me about struggles with finding apartments. 1:04
Introduction of the app and of Eddie and Akash 8:59
What the Beans app is 11:20
Where to find the app 12:59
What's coming up - new features 14:33
Intuitive interface 18:24
Rollout of official version one 19:53
Free app and future paid options 20:42
Markets where apartments are mapped 22:10
Opportunities for drivers to help with mapping 24:27
Complexes cooperating with mapping 26:14
Contacting Beans 29:12
Final thoughts from Akash 31:26
You can learn more about the Beans app at the following links:
Beans.Launchaco.com
Get it at the Apple App Store
Get it at the Google Play Store
Eddie gave his email adress at about 29:12, however I don't like to publish peoples' addresses in the notes because of spammers. However, he mentioned that if you go to their contact page, those emails will go to him. They are awesome at responding, getting feedback etc.
Beans on Twitter
Beans on Facebook
Beans on Instagram
Beans on LinkedIn
Parting thoughts: The Beans app is a great way to increase your profitability. It can speed up your apartment deliveries, and it can offer some side income opportunities mappiing apartments. Check them out, it's a great tool for couriers!
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We are coming up on the end of the year. Doesn't seem possible, does it? One thing that the end of the year is going to mean is, TAXES.
Are you ready for tax day?
This week we do a bit of a more general overview of taxes. In Episode 21, we talked a little more in depth about how taxes work.Earlier in the year a more in depth explanation and video were published about what taxes are like for independent contractors in the on demand delivery industry.
We talk about some basic understandings:
There are two different types of profits: Actual (what's actually left over after real expenses) and taxable. When we drive as much as we do, there can be a big gap between the two.
We also talk about making sure you understand your real expenses as a driver. Your car is like a credit card on wheels and it costs a lot more than the gas you have to buy. You can go to episode 18 to get more information on that. You can also find this article which talks about how driving extra miles to reduce taxes is not a great idea.
Finally, you can find an article that was written with Uber Eats couriers in mind that gets into the details of what kind of miles you should track. The information is applicable with other delivery platforms.
We post a companion page on our website that we call a sort of semi-transcript - it's the same general information but not necessarily word for word.
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
We have a special section on the site for the podcast at DeliverOnYourBusiness.com
Sign up for our weekly Courier Nation Motivation email at http://eepurl.com/gtdbsv
Follow us on Facebook: https://Facebook.com/EntreCourier
Folow us on Twitter: https://Twitter.com/EntreCourier
Connect with us on Linkedin: https://linkedin.com/company/36870762/
Money.
Bottom line, that's why we're doing this delivery gig, right? I don't know that many of us can say we feel our life calling is to bring food to people, at least not in this fashion. We're here to make money.
But we're running a business as well. Money is a big part of that.
Have you ever thought about these thing?
- Understanding why you're out there making money.
- Are there other ways to earn money?
- How can we use our delivery time to prepare ourselves for making more money?
- What's the best way to manage our money?
This week, we have a special guest on the show. Elijah Bilel, of the App Lifestyle Youtube channel, joins us to talk about money for independent contractors in the gig delivery space. Elijah is what I would call the consummate Uber Eats expert. He's got an extensive series of videos, lessons, even video courses, on delivery with Uber Eats.
You can visit our companian post and read the interview here.
Elijah is getting ready to launch is new book called the Anatomy of Financial Success: The Key to Building Financial Confidence and Destroying Financial Insecurity. Elijah is rooted in the Gig economy but he has some great lessons on how to expand your horizons with your finances. He joins us today to talk about some of these principles.
Getting started in ride share and then Uber Eats 2:35
On starting his App Lifestyle Youtube channel (originally the Uber Lifestyle). 5:13
On expanding your active and passive income possibilities 8:16
Using your Why to motivate you 12:19
Building a personal foundation that allows you to use your money well 16:03
Taking care of your money: 19:48
Using our independent contractor status to launch us into more 23:59
Using drive time to learn about other ways to make money 27:49
What does the future for delivery contracting look like? 30:46
Having an exit plan 31:34
Check out Elijah's Youtube channel, the App Lifestyle
We'll post a link to his book as soon as it's available.
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
We have a special section on the site for the podcast at DeliverOnYourBusiness.com
Sign up for our weekly Courier Nation Motivation email at http://eepurl.com/gtdbsv
Follow us on Facebook: https://Facebook.com/EntreCourier
Folow us on Twitter: https://Twitter.com/EntreCourier
Connect with us on Linkedin: https://linkedin.com/company/36870762/
In the 1980's, the TV show Knight Rider made quite a splash with Michael Knight (played by David Hasselhoff) saving the world with his high tech car, KITT (Knight Industries 2000).
Some of the tech they envisioned then, we're just now starting to see come to reality.Some of the tech we have available today goes so far beyond what they had.
I'd LOVE to be able to do my deliveries in that Trans Am though, that was one sweet car.
But let's talk tech. What is some of the technology that helps us do our jobs. We talk about a few apps and ideas on how you can use tech to improve your profitability.
If you prefer to read, you can go to our companion blog post at our Entrecourier.com website
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
We have a special section on the site for the podcast at DeliverOnYourBusiness.com
Sign up for our weekly Courier Nation Motivation email at http://eepurl.com/gtdbsv
Follow us on Facebook: https://Facebook.com/EntreCourier
Folow us on Twitter: https://Twitter.com/EntreCourier
Connect with us on Linkedin: https://linkedin.com/company/36870762/
We have been focusing in some of our episodes on the four dominant food delivery apps. In Episode 33, we talked about Postmates, and Episode 35 talked about Grubhub. This week it's Doordash's turn.As we look at each delivery platform, we'll ask the following questions:
- How is the pay? (2:48)
- How is the app? (12:10)
- What are deliveries like? (18:04)
- Do they respect the Independent Contractor relationship? (24:40)
- How is their support? (27:56)
You can get a semi-transcript of the episode (it's not going to be word for word, but close enough) on the episode page on our website at EntreCourier.com.
Doordash has had a lot of attention due to their old pay model. The old model supplemented lower tip deliveries, but that also meant that a driver was not being paid extra for a lot of deliveries due to the tip. This led to a change in the pay model. I delayed a little putting this episode out in order to allow the change to take effect, and see if anything about the new pay structure changed any of the responses to the questions above.
If you want more information on how Doordash pays, Episode 36 talked about the new pay model, why it was happening and what we can expect.
we had a number of articles at EntreCourier.com that addressed the pay model:
Is Doordash Stealing My Tips? (Responding to the controversy around the old pay model)
This is a Test. Four Takeaways from Doordash Testing Their New Model
My First Impressions of the New Doordash Pay Model
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
We have a special section on the site for the podcast at DeliverOnYourBusiness.com
Sign up for our weekly Courier Nation Motivation email at http://eepurl.com/gtdbsv
Follow us on Facebook: https://Facebook.com/EntreCourier
Folow us on Twitter: https://Twitter.com/EntreCourier
Connect with us on Linkedin: https://linkedin.com/company/36870762/
This might be instantly my favorite episode so far. For a couple of reasons. I'm honored to have UDM on with us this week.
The timing of this episode and the topic just collided with real life in an incredible way. It's all about balancing life and priorities with the work we do. Sometimes it's just really easy to get lost in our work. But life happens. It happened for me and played a part in putting this out at a slightly different time. I get into that more in what I called episode 38a.
Check out UDM's Youtube channel.
In the interview he mentioned taking a look at Dispatch. You can learn more about them here. If you want to sign up with them, I really suggest you check with UDM and ask if he has a referral code. I won't post his email just to keep him from getting spam but if you go to his about page on his channel, there's an option to email from there.
One topic that came up in today's conversation was about knowing and remembering your why. Episode 3 in our podcast talks about that more, or you can visit the companion post on our website.
More about the EntreCourierYou can get more tips and ideas at our website, Entrecourier.com
We have a special section on the site for the podcast at DeliverOnYourBusiness.com
Sign up for our weekly Courier Nation Motivation email at http://eepurl.com/gtdbsv
Follow us on Facebook: https://Facebook.com/EntreCourier
Folow us on Twitter: https://Twitter.com/EntreCourier
Connect with us on Linkedin: https://linkedin.com/company/36870762/
Hey there, Courier Nation
You can tell pretty quickly this week that this is a bit different. None of the production, it's just some raw audio.
Which is okay because sometimes life is raw. In good and bad ways. This week has its share of both for me.
Bottom line: I called this Episode 38-a because the normal episode is delayed just a bit. I wanted to put something up so you didn't wonder what's happening. But you know me, I'm not so good at "Hey everyone, gonna be a slight delay."
Life happens. Whether good or bad... that's what it's all about. Life.
But in the end it's not about life getting in the way of work.
It should never be that. It's just... don't let work get in the way of life. Because life is what this is all about.
https://entrecourier.com/2019/09/20/does-life-get-in-the-way-of-your-work/
AB5 is almost certain to become law. The final vote in the California state senate is expected to pass before the week is over.
What will happen to the Gig Delivery industry and to contractors for Grubhub, Doordash, Postmates, Uber Eats and others in California? How will that affect our businesses? How will that impact us in other states? What will be the ripple affect?
We talk about this some in today's episode. Some of the topics we cover are: (with links to related articles at EntreCourier.com)
What IS AB5 and how does it apply to gig delivery work?
What are the drawbacks to AB5?
Why is AB5 Necessary despite the drawbacks?
What will this mean to California based contractors?
What is the ripple effect for those of us not in California?
What should we do as a result of its likely passage?
Every week we post a companion blog post that serves as a semi-transcript of the episode. There's so much to talk about with AB5, it was hard keeping the podcast at a reasonable length, but this week we decided to go into a bit more depth on the website. So instead of a single post, we published a series of articles. You can find the 'home page' for that article series here.
The plan was to continue the series on what it's like to deliver for each of the main delivery apps. However, Doordash STILL hasn't rolled out their new pay model. That's been such a big topic of discussion lately: Why are they changing? When are they changing? Why is it taking so long?
Today's episode will talk about the history of Doordash's pay model. We'll talk about why they moved to the current model, how the current model works, and what that means for however the new pay model will play out.
Some links to articles relevant to today's discussion:
No: Doordash is not stealing tips. Understanding the current pay model.
Doordash settled a lawsuit early in 2017 over misclassification of employees. Because they could no longer force drivers to accept deliveries, they had to create a model that better encouraged acceptance of low paying offers
Meet the New Doordash Pay Model. Same as the old model
The episode page on EntreCourier.com with a semi-transcript and screenshot of the email from Doordash announcing the pay change.
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Visit the EntreCourier Website for posts, tips, and ideas on successfully operating your delivery business as an independent contractor for Doordash, Grubhub, Postmates, Uber Eats and others.
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We have been focusing on the four dominant food delivery apps. In Episode 33, we talked about Postmates, and this week we'll talk about Grubhub. As we look at each delivery platform, we'll ask the following questions:
- How is the pay?
- How is the app?
- What are deliveries like?
- Do they respect the Independent Contractor relationship?
- How is their support?
You can get a semi-transcript of the episode (it's not going to be word for word, but close enough) on the episode page on our website at EntreCourier.com.
Grubhub was for a long time the king of the hill for on demand food delivery. They had a seemingly insurmountable lead in market share. However, by March, Doordash passed them up and appears to be creating a bit of a lead over Grubhub. Grubhub was long the delivery app of choice, but that seems to be changing with recent changes. They recently implemented a new pay model and that seems to have been a turning point for a lot of previously loyal couriers.
We have an article on our site that talks a bit more about the pay model change..
My experience with any of these apps is obviously going to be different than anyone else's. Some markets are busier. Some take a different approach to accepting orders, and all of that will inform your own opinions. I try to provide some information of things that work and don't work, to try to give you something to start with. Postmates can be great, especially if your customer service is great and if you don't get sucked into long waits after placing an order. They can be terrible. That's probalby true with all of them.
What do you think? What are the pros and cons in your experience? Go to our contact page and shoot me an email or leave a voice message letting me know your thoughts.
For the first time in this podcast, you get to listen to someone else along side me.
We're excited to have Gig Coach Jake join us as a guest on the Deliver on Your Business podcast.
You can follow Gig Coach Jake on Youtube.
You can learn more about him on his About Us Page.
Also learn more at his website, GigCoachJake.com
Jake has recently launched a Patreon group. Learn more here.
We're excited to see his new podcast get launched. It will be entitled Be Your Own Boss: Gig Economy Strategies for Success. He'll be available on Apple Podcasts, Spotify, Google Podcasts, Stitcher, all the major podcast sites. He plans to launch his first episode this upcoming Thursday, August 29. Stay tuned on our website and we'll post links once the site is live.
Jake talks with us about being your own boss. As he says, Anyone can be their own boss. It's all about a mindset, all about making smart decisions.
We will start looking at the four dominant food delivery apps, starting this week with Postmates. With each app we'll ask the following questions:
- How is the pay?
- How is the app?
- What are deliveries like?
- Do they respect the Independent Contractor relationship?
- How is their support?
You can get a semi-transcript of the episode (it's not going to be word for word, but close enough) on the episode page on our website at EntreCourier.com.
Postmates couriers seem to have a love hate relationship. Some swear by them. Others despise them. New drivers often have a feeling they aren't paid much due to the fact that the tip does not show up immediately.
We have an article on our site that talks a bit more about how the pay model works.
My experience with any of these apps is obviously going to be different than anyone else's. Some markets are busier. Some take a different approach to accepting orders, and all of that will inform your own opinions. I try to provide some information of things that work and don't work, to try to give you something to start with. Postmates can be great, especially if your customer service is great and if you don't get sucked into long waits after placing an order. They can be terrible. That's probalby true with all of them.
What do you think? What are the pros and cons in your experience? Go to our contact page and shoot me an email or leave a voice message letting me know your thoughts.
We're baaaaaack. Kicking off our weekly episodes, we ask the question of it if makes sense to use a bicycle for delivery.
For a semi transcript, see our blog post on "Can I Make Money Delivering on My Bike?"
Much of this episode was inspired by trying out the new Bicycle Mode feature on Doordash. I write more about my thoughts on using Doordash for bicycle delivery here.
There are a lot of factors you want to consider when thinking about using a bicycle for delivery with Grubhub, Doordash, Postmates, Uber Eats and others. One obvious question would be, does the company even offer bicycle delivery options for your market? Grubhub for example does NOT offer bicycle as an option in Denver as of this episode.
Where can bicycle delivery be more efficient? Are there cost savings? What are some of the actual costs? What are the opportunity costs? What about eBikes?
Episode 18 talks about the actual expenses of your car. You will want to consider that when comparing options.
Learn more about the EntreCourier by visiting our website.
Look us up on Twitter, Facebook, Instagram Youtube and LinkedIn. Check out our new daily Biztips on Youtube and Instagram.
It's been 31 days now. Today is our wrap up of the 31 Day Courier MBA Series.
We had intended to talk about professional development for your employee (who happens to be you), however some of the earlier articles covered that pretty well. Ultimately, my hope is that the series as a whole has helped you develop. I express some wishes for you as we conclude this series:
My wish is that you can walk away from the serious understanding who you are. You are a professional. You are a business owner. Take pride in that.
My wish is that you feel a little better equipped to make good business decisions
My wish is that you can see your worth and be willing to demand nothing less
My wish is that this delivery work in the gig economy can be a springboard into something greater.
I encourage you to check out a couple of previous episodes:
Episode 3: We talk about digging into your why. Understand why you are doing this and dig into it, search your soul and think about the things that have the greatest meaning to you.
Episode 7: We talk about developing an exit strategy. Start with your passions, with the things you're good at, and start dreaming and planning for doing great things after this.
There is a huge difference between what you receive from delivery companies and what your actual earnings are. You get a better picture of how you are doing compared to say an employment option once you start treating your income as a paycheck complete with withholdings and deductions.
In today's episode we talk about the importance of not touching your revenue until you have handled taxes, expenses and benefits. We talk about setting money aside for:
- Tax savings
- Expense savings
- Paid Time Off
- Insurance and Retirement
Once you've taken that money out, what you have left is the equivalent to your take home as an employee.
This can be a huge wake up call. It can tell you that you're not making what you expected. It can also tell you you're not making what you need. But even then, don't skimp on the process, don't avoid setting aside the money you need to set aside because if you think you're struggling with what's left over, that's nothing compared to the struggle when your tax bill comes due and you don't have money for it.
Some of the other episodes that have some impact on this topic:
Episode 17: Understanding Profit and Loss
Episode 18: Calculating your true car expenses
Episode 20: Saving for major expenses
Episode 21: Understand your taxes
Episode 22: Know when to say when
Episode 28: Give yourself benefits
Episode 30: Give yourself a pay check (today).
For a complete overview of episodes, you can go here.
We are into the last few episodes of the 31 Day Courier MBA series, with only 2 more episodes after today. We will then start a weekly episode schedule starting with Friday, August 9.
We mentioned the challenge that we put out in our weekly Courier Nation Motivation email that went out this morning. In that we encourage you to listen to Episode 8 on Measuring your performance, choose one of three key measurements we discuss there, and set a goal to be slightly better than you were last week.
Once you set a goal, tell someone. That helps you be accountable. If you want, you can tell the community your goal:
Email Ron@entrecourier.com
Post your goal in the comments on this facebook post
Post your goal in the comments on this LinkedIn post
Today we talk about six things you can do to make your work more enjoyable. This is about employee relations, because every business has a responsibility to take care of their employees, even the self employed.
Some of the episodes we refer to today include:
Episode 3: Understanding your Why
Episode 7: Develop an Exit Strategy
Episode 8: Measuring your Performance
Episode 10: Choosing equipment
Episode 29: Work Life Balance (today)
For a full list of episodes you can go here.
We start our last section on the 31 Day Courier MBA series, where we talk about employee relations.
We don't have employees, you say.
When you're an independent contractor, you are considered self employed, so guess who your employee is? You have a responsibility to take care of that employee.
We talk about three major types of benefit that are often provided only for employees. Is it possible to give yourself these benefits?
Paid Time Off
Insurance
Retirement.
These are all things you can give yourself. There is a cost, just like there is a cost for an employer to provide these things. You need to realize that these kinds of benefits DO add to the disparity in earning power between being an employee and being an independent contractor. See Episode 6 for more on that.
It's important to think about these things and ask how much you need them. What happens if something happens to you while working? What insurance do you need? It's worth getting with a good independent insurance agent to discuss where you are vulnerable, and get with a good tax pro to udnerstand how these things affect your taxes.
In the episode, we referenced this article from Dave Ramsey on how to tell if you need life insurance.
For a blog version of this episode (not necessarily word for word) you can go here.
For a list of all episodes on the series, go here.
There are times when a business has to ask if the relationship with the customer is helping them meet their business goals or is it getting in the way.
When I was in telecom, we had customers who, when all was said and done, were more hassle than benefit. We were able to operate better and more profitable when we ended the relationship
Remember that the customer in our case is the delivery company we are contracted with.
We may have times we want to fire THEIR customers. There are certain restaurants that we make the business or personal decision not to deliver from any longer. They will take too long, they are rude or disprespectful. It's okay to move on. There may be certain end users that we determine not to ever deliver to again.
Firing your customer is different than deciding to move on from the delivery gig altogether. If you are thinking about that you might want to listen to Episode 22 on when the business decision is best to move on.
When it comes to the delivery apps like Grubhub, Doordash, Postmates, Uber Eats, Caviar, Instacart, Shipt, Deliv, Bitesquad or a number of others, there are times when the relationship is no longer the best to continue:
When the relationship just becomes emotionally a headache
When the customer crosses the line and is disrespectful
When your worth is more than what they can or will pay.
A few episodes that might help when thinking about this:
Episode 3: Understanding your Why
Episode 22: Know when to say when
Episode 7: Develop and Exit Strategy.
For a complete list of episodes in the series, you can go here.
For a blog version of the episode (not necessarily word for word) you can go here.
With some platforms, tips are still made after the delivery is completed rather than ahead of time. Uber Eats and Postmates are the primary examples.
The key to good tips is to deliver what the customer expects:
- Quick delivery
- Food arrives in good condition.
When you can demonstrate that you are doing everything in your power to ensure that these objectives are met, you can increase your chances of getting more tips on these platforms:
Get in and out of restaurants quickly
Communicate well with the customer (but not too much)
Be professional when delivering and demonstrate that you are meeting THEIR goals, not just yours.
I think we can overdo it. Sometimes if we make it look like the tip is more important than our service, it can work against us. Don't look desperate, don't ask for tips. Do a great job at demonstrating that you are getting their food to them quickly and that you are taking good care of their food, and that will help.
In the episode, I talk about appearance. We only have a few seconds with the customer. Appearance can demonstrate that we care about what we are doing. I referenced this post on our blog that you can look at.
Do I have to wear a uniform?
For the blog post version of the information provide here, go here.
For a list of all episodes past and present in the Courier MBA Series go here.
You hear the phrase used a lot in businesses that the customer is always right.
We know that our customers - the delivery apps we contract with - are not always right. In fact they are often wrong. What do we do when they are wrong?
We discuss this in today's episode
In yesterday's episode, we identified that the delivery company is your primary customer. Since we are contracted with them, THEY are our customer. The restaurant is their customer, and the diner is, well.... sort of everyone's customer.
When you think of Grubhub or Doordash or Postmates or anyone like that, how does that make you feel when you think of having a customer first attitude? Is it even possible when the relationship so often seems adversarial?
A customer service attitude is NOT just accepting whatever they give you and NOT just putting up with everything. It begins with understanding the parameters of the relationship.
A customer service attitude IS a commitment to do your best with what you agreed to do for the customer. That begins with accepting a delivery offer and ends with the completion of the delivery. At that point you agree to do your very best.
A customer service attitude is an attitude that treats all entities with respect and professionalism.
For a list of all the episodes int he series, you can go here.
If you ever saw the movie Inception, it was about a dream within a dream within a dream. As gig economy contractors for Grubhub, Doordash, Postmates, Uber Eats, Caviar, Shipt, Instacart, Amazon Flex, Deliv, Bitesquad, etc., the customer relationship is almost that complicated. It's about a customer of a customer of a customer.
As independent contractors, our real customer is the one we are contracted with, the delivery company. At the same time, we have their relationship with their customers, and of course with the end user to keep in mind.
Customer service requires being respectful and being professional with all levels of our customers.
This is the first of five episodes on Customer Service. For future episodes, here is a schedule.
While we may love doing gig delivery work, there always comes a time when it makes sense to move on. When is that time?
The most important answer to that is going to be, when it doesn't support your why any longer. We talk about finding your why in Episode 3.
It is important to be realistic about what you are really making. Ask yourself the following questions:
Is it enough?
Can it be enough?
Am I making progress?
When the time comes that it doesn't make sense to continue, what do you do next?
This is part of our 31 Day Courier MBA Series. For a list of past episodes and what we have scheduled, you can go here.
Other episodes that are relevant to today's episode include:
Episode 3: Understand your Why
Episode 6: Understand your financial requirements
Episode 7: Develop an Exit Strategy
Episode 8: Measuring your performance
Episode 17: Understanding profit and loss
Episode 18: What are your REAL expenses?
Taxes may be the one thing that trips up and causes more problems for independent contractors in the gig economy.
We are used to having taxes withheld. We are used to something straight forward like income tax. We are used to deductions keeping our income taxes low.
And then the self employment tax throws a wrench in the works. Everything is different. Self employment tax is 15.3% of EVERY. DOLLAR. OF. YOUR. PROFIT. There are no deductions.
The best piece of advice that I can give you on taxes is don't take advice on the internet. And don't take it from a blog or podcast, not even mine. None of this information is intended as advice, but more education about how taxes work. It's important that you understand some basic things about taxes for independent contractors like ourselves:
- Your taxes are based on your profits, not on your overall earnings. Keep good records of your expenses so you aren't paying more than you have to
- You have income tax AND self employment tax. Self employment tax is our version of FICA (Social Security) and Medicare that you see on a W2 - only we pay double what we do as employees (because the employer pays half).
Understand the differences, understand how the taxes work, and get a tax pro to help you understand what you need to be tracking and saving.
We linked to another blog post that was posted earlier that went into a bit more detail on taxes.
Earlier episodes that help lay a foundation for this week include:
Episode 17: Understanding Profit and Loss
Episode 18: Understanding your real expenses
Episode 20: Be prepared for major tax and vehicle expenses
A complete list of future and past episodes for the series can be found here.
This is episode 20 out of 31 in the Courier MBA series, where MBA stands for Mastering Business Attitude. This is a weekly podcast but we are kicking of with this 31 day series.
There are always surpises that happen when it comes to money. But too often independent contractors in on demand delivery for Grubhub, Postmates, Uber Eats, Doordash, Caviar or any others are surprised by things we shouldn't be surprised by. Here's the reality when driving your car to earn money:
You will owe taxes on the money you earned
You will wear your car out by driving.
We talk about taking steps to be prepared. Ultimately, we recommend that you NOT treat the money deposited by delivery companies as your income. You treat it as a business does their revenue. Your PROFIT is your income. It's the money that's left after expenses that is your income.
Quit spending money as soon as it comes in
Get away from instant pay
Save money for taxes
The big one when it comes to preparing for vehicle costs.
Calculate cost per mile on your car and set that money aside very week based on how many miles you drove. Then as you have vehicle costs (gas, maintenance, insurance, etc) take that money out of your vehicle fund.
Take control of your money, don't let it control you. This practices helps you be realistic about what you are really earning, as there's less money left over when you do this. Make decisions based on that reality that you're not making as much as it appears.
Some episodes that might help further:
Episode 6: Understand your financial requirements
Episode 7: Develop an exit strategy
Episode 16: Reduce your miles driven per dollars earned
Episode 17: Understand Profit and Loss
Episode 18: Understand your actual expenses
For a complete list of episodes past and future in the series, you can go here.
This is one of the most important things an Independent Contractor courier HAS to think about with their delivery business: Insurance.
If you are delivering for pay, most personal policies specifically exempt you from coverage.
That means you are uninsured. If an accident happens while you are even logged into a delivery app, you are not covered by your insurance and little if any coverage from the delivery company.
Who's going to pay your car loan off when it gets totaled and the bank calls the loan in? Your insurance company isn't. Grubhub isn't. Doordash isn't.
It is imperative you understand your coverage, find out if your insurance company offers a rider or endorsement that covers you, and if not you either quit delivering this moment or you get the right kind of coverage.
It is not worth the risk.
If you think you can just pretend you aren't delivering, keep the bags hidden in the trunk, check out the picture in this article. I know, that's a worst case scenario, our thoughts and prayers are with the family and friends of the driver involved here. But isn't that the whole point of insurance? For the worst case scenario.
Don't take chances, Courier Nation.
This is part of a 31 Day Courier MBA series, where each day we talk about different business ideas and concepts and apply them to our work as delivery couriers. Today's episode is the 3rd of 6 dealing with the money side of your business. For a list of past and future episodes you can go here.
We got a bit long here. But this is important stuff today - Your costs, especially your car costs, are what make or break you when doing delivery work in the Gig Economy for Doordash, Grubhub, Postmates, Uber Eats or any of the others. Too often we think that it's only about our gas and maybe oil changes. There are major costs involved in using your car for your delivery business.
What does it really mean if you drive enough miles to completely write off your taxes?
Understand the true costs of operating your car.
We provide a way to calculate a real world idea of your true costs. Many costs seem invisible because they are not immediately out of pocket. But we do pay for them later. We talk about calculating
- Per mile cost for fixed costs
- Depreciation costs
- Gas cost
- Maintenance costs
We also discuss how leasing is different and what to calculate in a lease situation.
In episode 8 we talked about esitmating around 35 cents per mile. This is consistent with numbers when we run examples of these calculations. Rarely is it going to be under 30 cents a mile, maybe the very lowest will be about 25 cents per mile.
Deliver on Your Business is a weekly podcast, however we're launching with a 31 Day Courier MBA series - Mastering Business Attitude. You can find a blog post for each of these episodes that follows the information provide, just not necessarily word for word.
I do recommend you look at earlier episodes in this series as they do lay a foundation for future episodes.
Today's episode page can be found here.
We start the first of 6 episodes that focus on finance. It's all about the money here. We delve into different money topics affecting business and how they effect you. Please note, information provided in this episode is not intended to be professional advice. It is information that I provide from my perspective and experience. If you need specific advice to your situation you should seek a financial professional.
We've talked a lot about profit in the past, but today we talk about developing a profit and loss mindset.
It's not what we get deposited in our accounts from delivery companies like Grubhub, Doordash, Postmates, Uber Eats, Caviar, Shipt, Instagram and others that we really earn. It's the profit. It's the money left over after we've taken out expenses.
We talk about a number of advantages that come with having a mindset that sees the profits as what we've earned rather than a payday mindset.
The most important figure when looking at profit and loss is the bottom line, not the top line. It's about the profit, not the revenue.
We explain some of the expenses you would track. We talk a little about how we see our vehicle expenses - there are three views:
- The perception view - when we think only of immediate expenses
- Actual expense view - where we track all car related expenses
- IRS view - based on the current 58 cent per mile allowance.
The IRS sets the allowance there for a reason, and that's an indication that our actual expense is going to be higher than it looks. We'll get more into this in Episode 18.
Finally, we talk about ways you can track your income and expenses, getting a birds eye view of our actual profit and our taxable profit.
Some of the previous episodes mentioned in today's episode:
Episode 7: Developing an Exit Plan
Episode 8: Measuring Your Performance
A full list of past and previous episodes in the Courier MBA Series can be found here.
Deliver on Your Business is a weekly podcast, however we are in the middle of our 31 Day Courier MBA series - Mastering Your Business Attitude. We will publish a blog post each day that has the same general information, though not necessarily word for word.
I do recommend you look at earlier episodes in this series, as they do lay a foundation for future episodes.
Today's episode page can be found here.
Today is the last of 9 episodes that focus on Operations - on strategy and making business decisions. We talk today about increasing your dollars per mile, keeping your greatest expense as low as possible.
Episode 8 has a lot of key information that lays a foundation for what we talk about. In that we encourage that you track three important metrics:
- Profit per hour
- Deliveries per hour
- Dollars per mile.
The most important things that can impact our profitability are all things that we have control over:
- Selecting orders that meet your minimum price per minute
- Shorten delivery times allowing more deliveries per hour
- Limiting the miles we drive, keeping expenses down.
Your car costs more than you realize. We'll dig into that more in Episode 18. We talk about some ideas on how we can improve our dollars per mile.
One important note that we conclude with: Dollars per mile is NOT the final goal here. Profit per hour is the important metric. Improving dollars per mile helps improve the profit per hour, but we want to make sure we don't do so to the extent of creating greater expense elsewhere.
Some of the previous episodes mentioned in today's episode:
Episode 4: Know your market
Episode 8: Measuring Your Performance
Episode 9: Use the 40 Cent Rule to make business decisions
Episode 11: Finding the Best Places to Deliver
Episode 12: Setting your price by accepting and rejecting orders
A full list of past and previous episodes in the Courier MBA Series can be found here.
Deliver on Your Business is a weekly podcast, however we are in the middle of our 31 Day Courier MBA series - Mastering Your Business Attitude. We will publish a blog post each day that has the same general information, though not necessarily word for word.
I do recommend you look at earlier episodes in this series, as they do lay a foundation for future episodes.
Today's episode page can be found here.
Today we're talking about the Loss Leader principle, used especially in retail. Think of Black Friday sales with super cheap merchandise. Retailers will sell a small number of items at little or no profit, sometimes at a loss, to bring people in the door. The idea is that when you come in and shop you will buy other things and they'll make more profit in the end than if they didn't sell these items so cheap.
As delivery drivers for Grubhub, Postmates, Doordash, Uber Eats, Caviar, etc., we can utilize the loss leader principle. While we preach being selective with orders at the EntreCourier, there are times that a low or no profit order can lead to greater profitability. Some scenarios include:
A delivery that helps get you to somewhere you want to be - such as a more profitable part of town, or it takes you home at the end of the day
A delivery that fills a gap, such as one that can be filled while waiting for another order to be ready
A smaller delivery in a stacked order
A delivery that helps you fulfill a promotion, bonus or incentive.
We recommend that you carefully weigh all deliveries. Most will stand on their own, but their are times where normally unprofitable deliveries DO help increase profits. We examine questions you can ask yourself about deliveries.
Don't go on hope, people. Don't take a low pay order just hoping there might be an extra tip. Make decisions based on your understanding of the market, on things that are more likely to happen, not on what might.
Some of the previous episodes mentioned in today's episode:
Episode 4: Know your market
Episode 9: Use the 40 Cent Rule to make business decisions
Episode 12: Setting your price by accepting and rejecting orders
Episode 14: Using multiple applications
A full list of past and previous episodes in the Courier MBA Series can be found here.
Deliver On Your Business is a weekly podcast, however we are in the midst of a 31 day daily series called the 31 Day Courier MBA. Today is Episode 14 and the 7th of 9 episodes on strategy and operations. Each episode will have a blog post associated that will be the same general information, not necessarily a word for word transcript, but if you prefer to read over listeing, you can click on links to the episodes. Links are at the bottom of these notes.
As part of the 31 Day Courier MBA series, a lot of earlier episodes provide a foundation on which we build later ideas and concepts. While I try to make each episode stand on its own, It may be useful to start at the beginning, listen to or read on the portions about your busines plan and move from there.
Today's episode page can be found here.
I see four ways that drivers can relate to the number of delivery companies available:
- You can choose to focus on one application or platform and deliver for them exclusively.
- You can work for multiple delivery companies but do it so that when you work for one, you focus on that one exclusively, and at a different time you might work exclusively for the other. Work for these platforms never interferes or overlaps.
- You can work multiple platforms at the same time but deliver individually. You make yourself availabe on multiple apps until you accept an order, then you turn off or ignore the other apps until that order is completed.
- You work multiple platforms and sometimes deliver from different platforms at the same time. This would usually be where your pickup and drop-off locations are similar.
In this episode we talk about mult-apping, as it's often called in the driver community.
We talk about your right to work multiple platforms
We talk about evaluating whether delivering for one company is enough for your goals, and your options if it's not enough
We go into a bit more detail on how multi apping works
We talk about things you need to consider about multiple applications, and some warnings
We briefly discuss the four major platforms and how they work in multi-app situations.
Some previous episodes we mention:
Episode 1: Know your rights as an independent contractor
Episode 3: Know your why behind doing this work
Episode 5: The importance of multiple revenue streams
Episode 6: Setting adequate earnings goals
Episode 12: Set Your Price by Accepting and Rejecting Orders
For a list of episodes in the series, and a schedule of upcoming episodes you can go here.
For more in depth advice on multi-apping, check out Gig Coach Jake's Youtube Channel
Deliver On Your Business is a weekly podcast, however we are in the midst of a 31 day daily series called the 31 Day Courier MBA. Today is Episode 13 and the 6th of 9 episodes on strategy and operations. Each episode will have a blog post associated that will be the same general information, not necessarily a word for word transcript, but if you prefer to read over listening, you can click on links to the episodes. Links are at the bottom of these notes.
As part of the 31 Day Courier MBA series, a lot of earlier episodes provide a foundation on which we build later ideas and concepts. While I try to make each episode stand on its own, It may be useful to start at the beginning, listen to or read on the portions about your busines plan and move from there.
Today's episode page can be found here.
Get In, Get Out, Get Paid. It sounds like an infomercial for house flipping or something. But today it's all about the restaurants. You can be paid more by delivering more quickly, and efficiency at restaurants can make all the difference.
- Knowing the restaurants in your market
- Positioning yourself to head quickly to the customer after pickup
- Have order information on your phone before walking in
- Look professional
- Have your delivery bag
- Be courteous, professional and respectful to the staff
We also talk about another way to increase revenue when you know there will be a long wait at the restaurant.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
Episode 9: Using the 40 Cent Rule to Guide Business Decisions
Episode 10: Choosing Equipment to Save Money and Increase Revenue
Episode 11: How to Choose the Best Places to Deliver
Episode 12: Setting Your Price by Accepting and Rejecting Orders
Episode 13: Get In, Get Out, Get Paid More
Deliver On Your Business is a weekly podcast, however we are in the midst of a 31 day daily series called the 31 Day Courier MBA. Today is Episode 12 and the 5th of 9 episodes on strategy and operations. Each episode will have a blog post associated that will be the same general information, not necessarily a word for word transcript, but if you prefer to read over listeing, you can click on links to the episodes. Links are at the bottom of these notes.
As part of the 31 Day Courier MBA series, a lot of earlier episodes provide a foundation on which we build later ideas and concepts. While I try to make each episode stand on its own, It may be useful to start at the beginning, listen to or read on the portions about your busines plan and move from there.
Today's episode page can be found here.
We dive in today on the question of whether or not you should reject orders or is it better to accept most if not all. You probably already have an idea of where I stand if you've listened to many episodes at all, but when it is all said and done, that is a business decision that can only be made by you.
Here are some topics we cover in relationship to this:
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Understand that you are an independent contractor.
-
A primary right of a business owner is the right to set your prices. We do that through accepting and rejecting orders
-
How do we respond to concerns about termination for low acceptance rate?
-
Are there times when incentives make it worthwhile to accept more deliveries?
-
Remember, you're the boss. You are the business owner here, they are your customer.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
Episode 9: Using the 40 Cent Rule to Guide Business Decisions
Episode 10: Choosing Equipment to Save Money and Increase Revenue
Episode 11: How to Choose the Best Places to Deliver
Episode 12: Setting Your Price by Accepting and Rejecting Orders
We are on episode 11 of the 31 Day Courier MBA series. This is the fourth episode in our section on Operations - the nitty gritty of strategy and doing well. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
Episode 9: Using the 40 Cent Rule to Guide Business Decisions
Episode 10: Choosing Equipment to Save Money and Increase Revenue
Episode 11: How to Choose the Best Places to Deliver
One of the first questions someone will have as a new courier for Grubhub, Postmates, Doordash or Uber Eats is, where should I go?
The answer to that depends very much on your comfort level with your market. You can look at episode 4 on understanding your market to get more on understanding your market.
If you don't know your total area as well, I always recommend starting somewhere you know. Begin in a place where you are comfortable and lean on your confidence in that area. Your deliveries will by nature start spreading you out and you'll grow in your comfort.
You want to focus further on getting to know the areas where restaurants that deliver on your platform are more concentrated. In particular, get to know the areas that have more high end restaurants.
Finally, we dig into a method you can use to get a better picutre of what parts of town are most profitable, by tracking individual deliveries in different parts of your market.
We are on episode 10 of the 31 Day Courier MBA series. This is the third episode in our section on Operations - the nitty gritty of strategy and doing well. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
Episode 9: Using the 40 Cent Rule to Guide Business Decisions
Episode 10: Choosing Equipment to Save Money and Increase Revenue
When I was in telecom, I learned a guideline that was great for our customers - that you should never invest in technology unless that technology helps you be more profitable or more competitive. We need to look at the tools that we use for our delivery business the same way: How will it help you be more profitable? How will it help you save money (and if you listen to Episode 9, you can see how we emphasize putting an actual value on your time.
In this episode we talk about a number of items that can make a difference in your profitability. We don't go into recommendations here. I'd love to get your feedback if you think a review would be useful. Some of the items you want to think about are:
- Your car
- Your cell phone (and your cell plan)
- Your phone holder
- Your Delivery bag
Are there other items that might help? Items for convenience for the customer such as keeping a cooler for cold items? What other items would help you increase your efficiency or help you save money?
We are on episode 9 of the 31 Day Courier MBA series. This is the second episode in our section on Operations - the nitty gritty of strategy and doing well. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
Episode 9: Using the 40 Cent Rule to Guide Business Decisions
The 40 Cent Rule is a central principle in our approach to operating a delivery business. We mention it often in this series.
In a nutshell, we encourage you to determine a goal, a target amount that you are setting out to make. Break it down into a per minute amount. For examples used here we'll refer to 40 cents a minute or $24 per hour, but you set your own rule.
Use the 40 cent rule to evaluate your delivery options. Every delivery should pay 40 cents per minute. Use the rule to make purchase decisions - will the purchase save you time? How much time? At 40 cents a minute, will it pay for itself? Use the 40 cent rule to help you make the decisions necessary to operate your business.
At EntreCourier.com we have posted a few times on the 40 cent Rule. You can read up on previous posts here:
This One Quick and Easy Rule Will Help You Make Better Business Decisions While Delivering
Use this 8 Step Process to Keep Your Earnings up Even When Grubhub and Others Cut Your Delivery Fees
Evaluating Delivery Offers: The 40 Cent Rule Simplified
We are on episode 8 of the 31 Day Courier MBA series. This is the first episode in our section on Operations - the nitty gritty of strategy and doing well. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
Episode 8: How Are You Doing? Measuring Your Performance
I really encourage daily tracking of delivery statistics. For each day you want to track these four totals:
- Dollars earned
- Miles driven
- Hours
- Number of Deliveries
There are three key peformance indicators you can use with these numbers to evaluate your success for a day, a week, or even a single delivery.
- Profit per hour
- Deliveries per hour
- Dollars per mile
One of the best ways to get improvement in your profits is to measure your performance and make adjustments.
If you want to get really ninja, start tracking every delivery.
In today's episode we dive in on how to calculate these numbers and use them to evaluate and improve your preformance.
We are on episode 7 of the 31 Day Courier MBA series. This is the fifth and final episode in our section on Creating Your Business Plan. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
Episode 7: Where do We Go From Here? Crafting an exit plan
We encourage you to visit our contact page to leave comments or questions, either by email or by clicking the microphone and leaving a voice mail. You can also comment on the episode pages on our site, linked above.
Part of planning for your business is understanding that it won't last forever. What do you do with that? Are you ready for that?
Have you started thinking about your next chapter? Have you considered what you future opportunities might be?
In this episode we encourage you to ask the question: What do I want to do next? What is your next opportunity?
Go back to episode 3 and think about your why. Use that to help identify your passions
Use the opportunities you have of time in your car and the ability to listen to podcasts and audible - use the time to help prepare for that next chapter
Two thins can happen: The gig may change your you may change. Be ready for either and start planning for your next opportunity.
We are on episode 6 of the 31 Day Courier MBA series. This is the fourth episode in our section on Creating Your Business Plan. You can see a semi-transcript at DeliverOnYourBusiness.com. Here are show pages for previous episodes.
The Schedule: Episode Schedule for the 31 Day Courier MBA Series
Episode 1: Introducing the 31 Day Courier MBA - Mastering Your Business Attitude
Episode 2: Who Are You? Understanding the Independent Contractor relationship
Episode 3: Why Are You? Creating a Mission Statement
Episode 4: Where Are You? Understanding Your Market
Episode 5: Don't Put All Your Eggs In One Basket - The Importance of Diversification
Episode 6: Is it Enough? Creating an Hourly Goal For Your Delivery Business
We encourage you to visit our contact page to leave comments or questions, either by email or by clicking the microphone and leaving a voice mail. You can also comment on the episode pages on our site, linked above.
We talked in Episode 5 about understanding your earnings potential in your market. Today we have to ask, is it enough? Can you earn enough to meet your needs? Today we hope to help you:
Understand the things you are not getting a lot of the things as an independent contractor that you would as an employee.
Understand that we need to evaluate our earnings not on a dollar total, but on an hourly earnings.
Understand how to evaluate how your independent contractor earnings compare to a 1099 job and use that to determine a realistic earnings goal.
Challenge yourself to set a goal worthy of what you do
For a semi-transcript of the post, you can go here
This is day 5 of the 31 Day Courier MBA series. For a schedule of past and future posts, you can go here.
In episode 2 we covered the Who
In episode 3 we covered the Why
In episode 4 we covered the Where
Today and tomorrow we'll cover the How Much of a business plan. We'll look at the opportunities today, and then tomorrow we'll talk about how to respond to the opportunities, evaluate them and create a goal from them.
One of the worst mistakes you can make in the gig economy or in any business situation is to rely too much on one customer. Remember that the delivery companies are your customer. You do not want to be tied in to one platform only.
Get familiar with the different delivery platforms available in your market. Learn what you can about how they pay, their strengths and weaknesses in your market.
Get to understand other gig opportunities in your area as well. Always remember your why as we discussed in episode 3.Maybe there are opportunities that fit even better than driving.
Look into referral bonus opportunities if available from your platforms. You can earn extra money when you play that well.
Always be aware of what's going on in your market, and ready to adapt when things change.
You can find a semi-transcript of this episode here (I try but it's never word for word)
This is part 4 of our 31 Day Courier MBA series. MBA stands for Mastering Business Attitude. You can go here for a schedule of past and future episodes.
In episode 2, we asked, Who are you?
In episode 3, we asked Why are you?
Today we get to ask, Where are you?
One of the most imprtant things a business needs to do when planning for success is to know their market. Companies spend tons of money learning the market and trying to determine if they can be profitable.
We need to know our market. This is critical to our success. Here are Seven things you need to know about your market
- You need to know the layout of your market. Make a map in your head.
- You need to know the restaurants in your market
- You need to know the players in the market - what delivery apps are doing well?
- You need to know the traffic patterns in your market, know when and where to avoid getting stuck
- You need to know what parking is like in different parts of your market.
- You need to know the things that are happening in your market that will affect delivery.
- You need to know what the residential areas are like.
Do you have suggestions to add to this?
What are some quirky things about your market?
Comment on the episode page for Episode 4, or go to our contact page and leave an email or click the microphone to leave a voice mail.
Did you ever just want to ask yourself... what in the world was I thinking when I signed on for this gig anyway?
It's actually a good question to ask.
And that's not because the gig work is a bad thing. I was asked what I was thinking when my wife and I were engaged - mainly because it seemed insane that between her kids and mine we'd be a blended family of 10 kids. But I've never regretted that one, and I don't regret the delivery work I do now.
In fact, I feel like it's a step up from my work as a business manager. That's not a reflection on the business manager work, I loved what I did and what we did as a company there, but it has more to do with my Why. I chose to do this to have the flexibility to do some things that were very important to me.
This isn't as much about writing an actual statement, though it might not hurt to do that - but it's about digging into your why. Understanding what it is you are doing this for. And once you dig deep, and I mean really deep, it centers you and gives you a foundation for what you're doing going forward.
You can read a semi-transcript of the episode here, where we dig deeper into how to dig deeper into your why, and how that can impact all the things you do once you set that foundation.
With special apologies to the Who (at about 46 seconds in you'll undestand) -
Today we get into the first of six expisodes that deal with the business plan. I know you're not thinking a business plan really makes sense for doing delivery work, but the key here is the elements of the plan. We'll look at things that help you lay a foundation for the rest of the principles ahead of us.
One of the first things on most business plans is a discussion of the structure, what kind of business are we? While there are options like becoming an LLC or other forms of incorporating, that stuff is maybe better explored later. What we want to talk about this week is the whole Independent Contractor thing.
It is critical you understand the difference between being an independent contractor and of being an employee.
You can see more on this by going to the episode page, where you'll find a semi-transcript of the episode, in case you prefer to read. I tend to type out the post first, and then use that as the basis for the podcast (though it's always possible to go off script).
You can go here for a complete schedule of upcoming posts for the 31 Day Courier MBA series.
There are so many things to enjoy about doing delivery work as independent contractors for Grubhub, Doordash, Postmates, Uber Eats, InstaCart, Shipt, and so many others. The earnings potential can be fantastic for the kind of work involved. The freedom and flexibility make this ideal for so many.
But what happens when the rug seems to get pulled out from under us? What do we do when the companies we deliver for don't always seem to treat us fairly? In this episode we mention three different changes that have happened lately in the on demand delivery world.:
Postmates has reduced pricing twice to an average delivery fee reduction of 20%
Doordash doubles down on a pay model that only promises $1 per delivery
Grubhub promises pay improvements and reduces pay instead
These can be demoralizing. They can leave us feeling out of control. In today's episode we launch the idea of the 31 Day Courier MBA series. MBA isn't a degree, but it stands for Mastering Business Attitude. We discuss how attitude makes all the difference.
California Legislation tries to better define the Independent Contractor Relationship
California's AB5 legislation may lead to a change in classification in the future but for the time being, we are Independent Contractors. We discuss how to take advantage of that fact, and develop a business owner's mindset. We also introduce the upcoming themes in the 31 Day Courier MBA Series. Below is a schedule of upcoming topics
Visit the Episode Page on our site for a semi-transcript of the episode (far from word for word but it captures the general gist).
Developing a Business PlanJuly 2: Who Are You? Understand your business type.
July 3: Creating a mission statement - Understand your Why
July 4: Understanding your market.
July 5: Your Sources of Revenue
July 6: Understand Your Financial Requirements
July 7: Develop an Exit Strategy
Operations: Making Business DecisionsJuly 8: Measuring your performance - how are you doing?
July 9: Using the 40 Cent Rule to Make Business Decisions
July 10: Choosing equipment to help you be profitable
July 11: Identifying the best places to deliver
July 12: Accepting and rejecting orders
July 13: Get in and out of restaurants quickly
July 14: Juggling multiple applications
July 15: Using the loss leader principle on low pay orders
July 16: Reduce delivery times with efficient driving
Finances:July 17: Understanding Profit and Loss
July 18: What are your REAL expenses?
July 19: Protect Yourself - What insurance do you need?
July 20: Protect against future vehicle disaster - create a sinking fund.
July 21: Understand your taxes
July 22: Know when to say when.
Customer ServiceJuly 23: Who is your real customer?
July 24: Create a customer first attitude
July 25: Is the customer always right?
July 26: Improving tips through customer service
July 27: Firing your customer
Employee RelationshipsJuly 28: Pay yourself a paycheck
July 29: Work Life Balance
July 30 Benefits: Paid vacation, retirement, etc.
July 31: Professional Development.