Starting A Trucking Business
If you’re considering starting your own trucking business, there’s a lot of important decisions that have to be made. The trucking industry is one of the most important industries to our economy in the United States and economies around the world. Big trucking companies do control the landscape of the trucking industry but there’s opportunities everywhere, you just need a viable plan to follow and react too.
Many owner operators have started their trucking company business with only one single truck. While some owner operator drivers have succeeded, many have failed. A lot of veteran truck drivers will tell you that they are completely against becoming a business owner. Being a company truck driver is a safe bet, job security and has little risk if any when it comes to financial situations. At some point in life though, successful trucking company business owners took a risk to get where they are today and that is a decision you will have to make for yourself.
In order to start a trucking business, you’ll need a detailed plan. Below, we’ll go over a plan that you can integrate with your own business plan as needed. We’ve included some of the main steps you should be aware of.
Becoming A Limited Liability Company
The first order of business is to set up a limited liability company for your trucking business. Most home-based trucking business owners prefer the LLC business model because of the lack of formality involved in running and operating the business. It also provide you with limited personal liability, which is extremely important if something happens on the road. To set up an LLC, you will need to file articles of organization with your state and pay a filing fee.
Create A Business Plan For Your Trucking Company
The very first order of business for your trucking business is a detailed business plan. There’s several components that need to be highlighted in your business plan. For starters, your business plan needs to include everything that you hope to accomplish with your trucking business. Every business needs a strategy to generate revenue, how will you succeed bringing in new customers for your business? What are going to be the operating cost and expenses of your business? What is your estimated revenue? All of this will need to be included in your business plan.
Make Sure You Have A Reliable Truck
There’s nothing easy about starting your own trucking company. We’re already assuming that you have your CDL. If you don’t have a commercial drivers license, you’re going to need one before you ever think about starting your own trucking company. You need to make sure you have a reliable truck out the gate. We all would prefer to have a new truck so we don’t have to immediately worry about break downs, however, many of you likely don’t have the funds to purchase a new semi truck or one ton truck.
Do your best to make sure your truck can handle the task at hand. You should already establish a business banking account and should be trying to build it up as much as possible. Your best bet is having some money to fall back on just in case something happens to your truck. I wouldn’t recommend starting out with a truck payment, so used is better unless you have the funds to purchase a brand new truck. I know some of you may have come into some money. If so, a new truck is not a bad idea.
Insurance Coverage For Your Truck And Business
Take the time to shop around for insurance coverage for your truck and business. There’s a variety of options out there for you. You don’t want to risk your trucking business driving around without insurance. You need this before you get started. This is another expense you need to be planning for. Fuel, tires, take this time to make sure all your expenses are included in the business plan you prepared.
Generating Revenue and Marketing Your Company
You need a plan to generate revenue and market your company to potential prospects, customers. There’s a variety of hot shot load boards and other load boards that can help you get beginning loads for your trucking business. When your out on the road, you need to be making the effort to get your company’s name out there. Advertise it on your truck, always be a professional driver, and you can also pass out business cards to everyone you can.
Generating revenue streams is vital and so is marketing your company. Having a website built, joining load boards can give you a jump start. Promoting your trucking business online is also a great idea to get your business out there. A lot of trucking business is now done online. You can even take the time to research potential companies that may need your trucking services.
Always take the time and make the effort to go the extra mile for your customers. There’s a lot of companies out there that rely on trucking services, not only in the United States but all around the world. Take the time to make phone calls and always record everything you do. While you will have a tough hill to climb, no one every made it to be successful without taking risk. The rewards of a successful trucking company are what you make them, the sky is the limit.