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How to Start a Trucking BusinessTips for Starting a Trucking BusinessSummary: Many entrepreneurs have realized that transporting goods from one place to another can be a very profitable venture. Trucking is a lucrative industry that generates up to $346 billion in annual gross profits in the United States alone. Trucking businesses have therefore flourished because of the necessity for trucking services in moving food and consumer goods. If you are planning to get into the trucking business, it is important that you know basic things about operating a trucking business.
This is for reason that the trucking services business is a highly competitive industry and starting a trucking business without any prior knowledge about the business can have undesirable results. Here are some of the things that you need to know when starting a trucking broker business: Start-up capital and operationYour start up capital for a trucking industry business will depend on how you intend to operate your business particularly the trucking operations and equipment. Trucking business operators have the option to purchase or lease their own trucks or hire subcontractors who own and operate their own trucks. The former would require a large investment because of the considerable cost of buying or leasing trucking vehicles. Generally it is advised that entrepreneurs who are looking at the trucking industry for investment must have at least $10,000 in capital. This investment can be easily recouped though because trucking transportation businesses reportedly earn income of at least $50,000 in a year. Trucking business clientsTargeted market for a trucking business includes people and business organizations that manufacture, sell and distribute goods and materials. Getting big companies to work with you will be difficult though if your trucking company is just starting up and your trucking transport business has limited coverage. It is therefore important that you look for alternative potential clients which can include small business operators that are participating in trade shows to showcase their goods and products. These clients need trucking services when moving their goods from one location to another. Marketing your trucking businessYou can increase the number of clients who avail of your trucking services by advertising your trucking freight business. You may, for example, post ads in trade magazines where prospective clients are able to find them. You can also offer better rates than other trucking businesses and highlight your special rates when sending brochures to potential customers. Word of mouth remains to be helpful so take the opportunity to provide the best service to your clients as this can help spread the word about the excellent trucking services that you offer. 57 Responses to "How to Start a Trucking Business".
1. Corey on 6/12/2008
I have had a cdl since 2000 and i have an EIN, i want to get a semi so i need to know how to put in bids, who to contact, how to get long term contracts, are gov't contracts available to haul, should i get the truck before i have a bid and who has the best insurance rates for commercial big trucks? ? I have not been on the road in a few years but i have driven trucks and willing to take test or refreshing coarse if it is required.
2. jose on 10/14/2008
I have a cdl and i am interested in starting up my own trucking company I don't know where to start how do I pick up clients i am in the same position as corey above.
3. Glenn on 10/24/2008
I WANT TO KNOW HOW MUCH DOES IT COST TO START A SMALL TRUCKING COMPANY WITH 10 TRUCK.
4. Scott on 1/1/2009
I own 2 Bobtails and I'am interested in starting a delivery service or LTL business, is this a good idea.
5. Natalia on 1/31/2009 3:53:03 AM
I have 6-tonne trucks what business can i start with them?
6. Levi on 2/17/2009 1:46:03 PM
I would like to buy a semi for the purpose of hauling an end dump trailer and leasing on with a broker. I did this before but I didn't do all of the necessary steps and ultimately didn't make it. I would like to know what are the necessary steps for this type of operation. It is all local hauling and I have a broker that will keep me busy all I need to know is the proper filings and steps to take. I will not need my own authority because I will run under the brokers but I will need my own DOT number. I had my own before but will it be any good anymore since it has been 4 years since my business has been active
7. John on 3/16/2009 3:21:59 PM
I've been an owner operator for the last 12 years, specializing in in-home deliveries. I'm tired of making other people all the money and being treated like a second class person. I believe that as a driver I have been taken advantage of for far to long. I would like to start my own delivery service but have no clue how to break into this secret club. I've tried in the past and was successful for a short period of time until the contract was taken over by a larger known service. It has been an enormous struggle to remain positive about the business that I love. I hope that I can get some really good advice about what to do.
8. BIG on 3/19/2009 10:20:12 PM
I'VE BEEN A UPS FEEDER DRIVER FOR 13 YRS AND I WANT TO START MY OWN TRUCKING COMPANY AS SOLE PROPRIETOR THEN LATER ON EXPANDING. I JUST NEED TO KNOW THE STEPS FROM SCRATCH. I WILL BE LEASING STRAIGHT TRUCKS FROM RENTAL COMPANIES STARTING OUT. I REALLY NEED SOME GOOD ADVICE ON HOW TO GET STARTED, THE STEPS
9. charm on 4/6/2009 7:33:00 PM
I want to start a small trucking company locally in south africa kzn. i need some advise, where can i purchase an erf truck that is less than fifty thousand rand and contracts to get jobs? i want the truck to work at the durban harbour delivering containers. please help.
10. Tyler (American International Transportation) on 4/6/2009 10:16:34 PM
We are always looking for truck drivers that provide excellent service to our customers and clients. If you ever need loads feel free to contact us: tyler@americaninternationaltransportion.com
11. Randy on 4/12/2009 10:43:43 AM
I tried sending Tyler @ American International Transportation an e-mail but shows no address.
12. gabariel sefala on 4/19/2009 3:13:49 AM
hi! I'm interested in starting a new trucking business in South Africa. I don't know where to start. Is there any reading material that you can recommend or anyone I can contact? Thank you.
13. James on 4/19/2009 3:10:09 PM
@Gabariel, What is your investment amount? How big is your company gonna be? Is that you want to start with 1-2 trucks or more? You need to provide more information on this in order to advice you more.
14. drew daugherty on 4/22/2009 1:12:25 PM
how much will it cost to start a small trucking company in the country?
15. CATHY ADAMS on 4/27/2009 7:34:39 PM
I WOULD LIKE TO BUY MY OWN TRUCK HOW CAN I GET A GRANT TO BUY MY OWN TRUCK, I ALREADY HAVE A PLACE TO PUT THE TRUCK.
16. Chris on 5/2/2009 12:29:41 AM
I live in a place where the closest trucking company is an hour away, there is a big demand here where I live and I have a class A. I need more info on the best way to get a company of maybe a few straight trucks going. Thank you,
17. Michael on 5/2/2009 9:57:30 AM
I am trying to buy a truck to start my own business. I keep running into snags, because no one is loaning money for the transportation businesses. I am looking low price trucks, but don't want to get to old so I can make money not spend money. I have located a 1999 Freight liner that is in grate condition and would be a dependable first truck. I need 13,500 dollars to get started, can you help me?
18. ndumiso dlamini on 5/3/2009 2:33:41 AM
I would like to know how to get transport contracts from companies. Please advise.
19. ndumiso dlamini on 5/3/2009 2:46:56 AM
I would like to know how to get transport contracts from companies. Please advise.
20. Ezekiek on 5/5/2009 5:08:53 AM
i also want to start a trucking business, and i need your advice please, because i am interested in business.
21. badhabit on 5/11/2009 6:50:13 PM
I've had my cdl's for 24 years & i'm tired of making someone else richer. I want to start my own trucking company for my family, how do i get started. where do i start?
22. Curtis on 5/19/2009 12:59:00 PM
I am also wanting to start my own business by being an owner operator. I have my class A and am tired of working for other people. I am starting from scratch and need to know what all I need to get started. Need to know the do's and dont's.
23. mfundo on 5/20/2009 12:17:19 PM
I am looking at what options I have in starting a trucking company in terms of the finance and ownership, how do I go about securing contracts with other companies?
24. pawel on 6/1/2009 10:34:23 PM
I have a 32 tons tipper and i would like to know how can i use this truck. If someone could offer me a good contract. If you have any good proposition for me and for you please reply on my email. pawelkowalonek@yahoo.com
25. A Cody on 6/16/2009 1:09:09 AM
How would, I start my on LTL delivery company What should I focus on doing to get contracts. What materials should I read or better yet what company provides materials for start up owner?
26. Nkosinathi on 6/25/2009 6:39:32 AM
I need information on the following issue. How to start a trucking business? Basics on how to secure contracts? How to secure start up capital? I will appreciate if i can get the information as soon as possible.
27. D Steele on 7/7/2009 9:30:26 PM
Could I get the same information forwarded to Nkosinathi -above. I want to look into starting trucking company with my own authority, thanks
28. TR on 7/10/2009 2:32:32 PM
I'm wondering if someone might be able to provide some tips on running a trucking company. My husband & father in law are currently running a small one but struggle daily with trying to keep from having to shut it down, finding good & reliable drivers, and they also do the maintenance on the trucks themselves. Even with all of their hard 24/7 work, they just can't seem to find an operation that works for them. I would appreciate any tips & suggestions available. I would just like to see their hard work pay off! Thanks!
29. Geoffrey on 7/11/2009 5:51:37 PM
Hi, i'm 18 years old...leaving in philadelphia, PA. i was wondering can i get some great advice how to start my own trucking business in the future, Basics on how to secure contracts? How to secure start up capital? how much would it cost me to start at least with 5 to 8 trucks and i really need every little details so i can start. I will appreciate if i can get the information as soon as possible please and thank you!!!!.
30. James on 7/11/2009 10:54:44 PM
@Geoffrey, you are just 18 so you have lots of time to gather information and save money for this business. Never forget this business is really a tedious one. For your knowledge, there are various sizes of trucks and the rate varies with that. To start with you can also think of used or lease trucks because they will reduce your investment. It is also good to start with lower number of trucks like 1-2. Good luck....
31. calvin on 7/15/2009 2:15:45 PM
geoffrey, i can say this it takes someone with a lot of heart to travel up and down these roads every day and its really hard when you got a family at home... wait till you are 21 yrs old and go be a company driver first. keep your eyes on the fuel prices. you will learn the in and outs of being on the road. your dispatcher can make you break sometimes, you just have to know when it is your breaking point out on the road and you need sleep. i don't care what load is on me when i get sleepy i stop that truck because there is nothing in that box that's worth more to me than not being able to go home and see wife and kids again... i haven't been late on a load and don't plan to be... good luck i'm just stating out on o/o side and its hard. it's all about how you spend your money and on what because when you become a o/o every penny counts. build you a business plan and stick to it and try to eat out of your truck. i know the women are hot and the foods good but it wont do anything for your business... good luck and be safe and keep this in mind "keep the shiny side up and the rubber down"
32. Jason on 7/19/2009 2:35:29 AM
I have seen several posts regarding starting up your own trucking business, it seems that most people overlook a lot of the start up costs. First you will need equipment such as trucks, trailers, load securement devices, a dependable cell phone service. You will also need to look at acquiring your own cargo insurance, tractor/trailer insurance, cargo insurance often times requires a $10,000 payment for the required amount of coverage. You will also need to acquire your own authority/DOT/MCC registration, as well as setting aside the proper amount of overhead (operating expense) to hold you over for 30-90 days. Many of your customers do not pay for services for up to 3 months after you have provided a service for them, not to mention you need to cover yourself in case of a breakdown, etc. If you are on a time sensitive load of perishables for example and your equipment breaks down, you could end up being stuck responsible for the load as they may not accept it after a set amount of time. This could be a major setback and you need to be prepared for it. Be prepared to set aside as much as 40% of your gross earnings for taxes, etc. Planning is really the key, and not expanding the size of your company too quickly, it's always tempting to expand as quickly as your freight options expand but it's not always a good idea because as quickly as those freight options expanded they could dry up while you are left holding the note on a lot of equipment/payroll/etc.
33. John munene kabuitu on 7/23/2009 5:31:17 AM
my story is different, have done enough research on truck business, my dilemma is how do i finance this business, i have all the knowledge but am honestly stuck.
34. Howard Matthews on 7/23/2009 10:50:12 PM
I want to start a trucking company with one truck. I want to know the first step in starting a the company.
35. James on 7/24/2009 7:57:54 AM
@Howard Matthews, I need to know few things before answering your question. Which state are you in? Are you going to drive or you gonna hire a driver?
36. Marvin on 8/4/2009 2:48:32 AM
How much does it cost to start a trucking company and whats the minimum trucks you can start with in South-Africa?
37. phillip on 8/6/2009 9:20:50 AM
how can i get good subcontract and how to approach companies?
38. Nhlanhla on 8/13/2009 4:23:18 AM
I'm interested in starting my own trucking business. I need financial & long term contract assistance, so where and how do i get started?
39. naresh on 8/13/2009 7:30:15 AM
I want to start a logistics company, so please give me suggestions for to starting the business.
40. NKOSA on 8/19/2009 6:50:05 AM
I HAVE RECENTLY REGISTERED WITH CIPRO AND WOULD LIKE TO VENTURE IN GOOD TRANSPORTING BUSINESS BECAUSE I SAW THE GREAT POTENTIAL IN THIS BUSINESS. I HAVE DOWNLOADED SOME FORMS FROM NEF FOR FUNDING, BUT I AM EMERGING BUSINESS WITH PROJECT CASH FLOW, BALANCE SHEET AND INCOME STATEMENTS I NEED SOME ASSISTANCE SINCE I DON'T HAVE A BUSINESS PLAN ON STARTING MY BUSINESS.
41. lekanka pheeha on 8/24/2009 6:54:27 AM
i am as well clueless, i want to start a trucking company. i have got only R25000 invested please advice me on what to do. very serious
42. may machaba on 8/26/2009 10:28:52 AM
am third year student who would like to have partner and start their own trucking company because i have potential and i believe i can put too much hard work in making the business successful, because i have done my research. anyone out there who can help please contact me on 0739089104
43. zaahid on 8/29/2009 9:44:10 AM
i want to get into the trucking business with a contract with a mine. please send me full details on how to go about it. thank you
44. NOMBULELO Ntshiba on 9/3/2009 9:47:51 AM
I would like to start a trucking business. I need to know what steps should I take to establish this.
45. kenneth on 9/9/2009 10:46:46 AM
I want to start my own business with one truck. Where do I began? Could I secure grant to cover start up cost?
46. mick on 9/15/2009 7:22:04 AM
I'm interested in starting my own trucking business in South Africa. How do I get started? Is there anyone out there who can assist with a contract or subcontract for beginners in the industry, people who can actually help you to grow your business.
47. william on 9/28/2009 4:08:43 PM
I am looking for 10m3 tipper but is hard to get finance even if i have deposit. Please help with advices and connections.
48. jones on 10/1/2009 8:15:09 PM
I need to know how to get some bids for trucking contracts and grants.
49. chris on 10/8/2009 3:15:58 PM
I need to know if I need a DOT number to drive locally in SC? My haul will be within 100 miles of my location.
50. Eddie on 10/19/2009 9:40:31 AM
I want to start a trucking company in rustenburg with one truck. I am not going to drive myself.
51. Alex Walton on 10/19/2009 1:46:26 PM
I would like to start my own trucking business but I do not know how to go about getting my start up cost. I would be the only driver therefore I only need one truck. Where do I begin?
52. cedric on 10/28/2009 12:26:32 PM
i'm interested in starting my own trucking business do anyone have advices
53. naren on 10/31/2009 2:20:33 PM
i want to start up my own trucking company and i need all the help and advise i can get. i want to start small and grow from there please help me. 651 500 1541
54. Skheto on 11/3/2009 2:36:42 AM
I would like to start a trucking business i have R50,000. Please advise on how to get a contract.
55. some answers on 11/4/2009 3:14:15 PM
My husband and I currently checking into purchasing a truck and starting a business. The first of course is to have your CDL. We have contacted insurance companies who want 2 months of payments down which is ranging from $1100-$1300 a month. I have figured we would need a month of gas money saved which is about $5200. Then you figure to tag the truck yearly. Now my husband is leasing on to someone and he will get 90% of the pay from the runs. We found a truck we are purchasing from an individual we know which happens to be the truck my husband currently drives. So we pretty much know the costs. Plus you have to factor in toll costs, repairs, and of course your taxes. I would advise talking to someone who is in the business local to you, but runs a small trucking business. Learn the ropes from someone reliable. Then look at someone who has made mistakes. We are doing just that. We are going to go slow with starting with the leasing on, then gradually work into my husband getting his own authority and broker's license then leasing on other trucks. Now this will not work for everyone, but the best thing I can tell you is research and ask questions of your local companies. Every area is different.
56. Chris Long on 11/4/2009 6:40:47 PM
Where do I find the answers to the above questions?
57. tshepo on 11/5/2009 11:23:14 AM
me and my business partners have a registered trucking company here in South Africa and we have managed to secure a five year 10m3 tipper truck contract at a reputable contractor. however we lack start up capital and deposit. please help. . Email me at bhslick@hotmail.com
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