The average trucking company has a profit margin of approximately 6% to 8%. An owner-operator can bring in more than $300,000 per year, although operating costs will reduce the amount of profit. The Bureau of Labor Statistics puts the median pay for heavy and tractor-trailer truck drivers in 2020 at $47,130. We hope that this post has allowed you to envision a bigger and brighter future for your transportation business or service. In this industry, it’s entirely possible to start small and scale up—even going so far as to offer global services to customers around the world. https://interreviewed.com/how-to-start-your-small-business-in-trucking/ If you follow the above steps, you’ll be better equipped to start a successful transportation business.
A lot of the puzzle pieces surrounding how to start a transportation business will come together in this stage. If you’re wondering how to start a transportation business, first consider all of the possibilities. Our guide to starting a transportation business can help you define what a transportation business is and will go over everything you need to start a transportation business of your own. It takes a lot of planning, but you can successfully start a business if you’re ready to dedicate time to it.
So, if you are planning to start a successful trucking business, take note of your competitors and make appropriate strategies to counter them so that you grab your market share. When you’re asking yourself how to run a successful trucking company, don’t forget that as a business owner, you should always take care of the money first. A key factor in running a trucking business is having a robust and transparent way to track income and expenses. A business plan is your roadmap on how to start and run a successful trucking company. Now, it’s likely that you may update or change it later down the road, as your trucking business grows, but you need to build the foundation to start with and get back to if something goes wrong. ECapital is a rapidly growing leader within the freight factoring space and a trusted financial partner to thousands of trucking businesses since 2006.
But make also sure that your website design is not only unique but user-friendly also. Use images of your business and employees to fill your clients with confidence in your company. Start off with a few clients and do your best to meet deadlines and avoid freight damage. If you do a good job with those clients, you may start to get referrals and have more work than you can handle. Hearst Newspapers participates in various affiliate marketing programs, which means we may get paid commissions on editorially chosen products purchased through our links to retailer sites.
The Federal Motor Carrier Safety Administration is the arm of the DOT that oversees regulatory compliance of all transport companies. Review the requirements for an Operating Authority Number also known as an MC Number, which is required if you transport federally regulated cargo. If you need one, apply via the online portal on the FMCSA site. Carriers must designate a process agent on behalf of the business. This is the point of contact to whom court papers are served in a legal proceeding.