Most people who want to launch a trucking company do so because a) they have some experience in the business already and b) they have seen just how lucrative it can be. They want to make the step from trucker to entrepreneur so they can start driving a ‘65 convertible like their current-slash-previous employer. But while having a paper route is going to stand you in good stead, there is way more to running a successful trucking business than getting from A to B in the most time-and-fuel-efficient way possible.
Read on to see what is most important when trying to launch a trucking business.
Business Plan To Start It All
Every. Single. Business needs a plan. This isn’t just to help you gain investment or use to show potential partners, it is to help you understand the nitty-gritty details of your own business, to help you understand what is needed to help you grow, how to spend your money, how many employees you will need and how to go from startup to established. It is your map to success.
Be Clever With Your Equipment
Most industries rely heavily on the employees that work for them. This still applies to trucking, but it is your equipment that needs to get the same level of care and attention. Trucks, pressure washers, storage facilities, loading bays – these are all crucial and they are all expensive. As such, you need to be clever with how you spend your money. An increasingly popular route to go down is renting from places like Flex Fleet. Not only will this free up your capital, it won’t tie you into permanent purchases thus reducing your risk. If you want to own, then you should look at auctions to get huge bargains.
Forget About Trucking For A Minute
Whether you’ll be running a logistics business, entering the realm of construction, engineering, mining, pipeline or energy; there is much more to trucking than just driving; than picking up and delivering. It’s about marketing, training, accountancy, tracking, inventory, managing, and organization. It is about multitasking. The quicker you can get to grips with this, learn about these things and find the tech to help you the more successful you will become.
Don’t Neglect A Niche
Read any business blog and they will talk about how important it is for a startup to find a niche. The same goes for trucking. It is just an intensely competitive industry and that can mean people lower their prices more and more, which can be crippling for you. That’s why you need to find a niche and offer a service only you can provide, whether that be with certain goods, operating in a specific industry, taking certain routes or in a particular location. Find your niche and grow from there. The idea of having a unique selling point is crucial.
Find Clients For The Long-Run
Load boards are great for starting out and dreadful for longevity, meaning the only way they will work is if you are simultaneously on the phones making sales calls. You need to start on these boards but you need to get off them as soon as possible. The money you’ll make is just too slim. Plus these clients may not pay on time in which case you should rely on a factoring company for truckers. So use these as a way to get testimonials and build a reputation. See it as a means to an end, an end that pays roughly double per truck per month.