Why You Should Start A Trucking Company Business in 2022

 Starting a truck company today is very rewarding for many reasons. The logistics industry is plagued by a shortage of about 75,000 trucks, and it is estimated that up to 200,000 trucks will be needed by 2020. As the economy continues to grow, the demand for trucks to move cargo will not end. Learning how to start a truck company business is what you share with you in this article, and the benefits that everyone can get by owning their own truck company and not having to buy a truck.

Starting a truck business makes you money

Owning a truck company in the United States today is a guarantee to make money. You can see the immediate revenue generated for each total load of trucks being moved. I always tell people that as soon as you receive your luggage you will be rewarded and you don't have much time to wait in the meantime. The load capacity of each truck depends on the type of trailer the truck is towing and is paid in miles. A good example is that pulling a flatbed product that carries 1000 miles of building material can cause a truck to generate up to $ 4000.00 one way. For this reason, it is very important to determine the appropriate trailer to use for cargo movement and to allow the driver to manage this type of trailer.

In the transportation industry, there are several types of trailers used to carry cargo. The most expensive trailers are usually flatbeds, followed by refrigerated trailers. Typical box freight pays less than usual, but the abundance of freight available is endless. By owning one of these types of trailers at a trucking company, a person can earn about $ 50,000 to up to $ 75,000 a year and keep the truck running every day.

When you start moving cargo with a new shipping company, you will be restricted to receiving the cargo for the first 6 months because the company is new. It is very important to work with a freight broker who can help you find a consistent freight dispatched. Freight brokers work with hundreds of different shippers to enable them to attract cargo as a new trucking entity. After months of operation with your own federal authorities, more shippers will start feeding you as your business time grows. Anyone, beginner or not, can keep moving cargo daily with the help of a good cargo broker. It is very important to first contact the freight broker to discuss the freight carried by the truck.

Affordable to start a shipping company

If you want to start a truck company today, it can be around $ 1200.00. This is usually the cost of your application and may vary from state to state, so check with a consulting firm such as LFS for the fees you plan to pay. One of the required requirements is to apply for a federal MC and DOT number. This is about $ 300.00. After applying to FMCSA, apply for UCR filing and an IFTA account to allow you to move your cargo to multiple states. These submissions can be made by a specialized company that submits on your behalf, so there is no doubt that you will be authorized 21 days after the submission date. FMCSA waits 21 days for MC privileges to become active.

The final requirement is to add a minimum of $ 750,000 in liability insurance to the MC Authority, which FMCSA actively permits to move cargo.

Listed below are the standard filings you need to get started with your own trucking company.

• USDOT Number-This number from the US Department of Transportation (DOT) is used to collect and monitor company safety information, inspections, collision investigations, and more.

• Operating Authority – All employment carriers must have authority from the DOT to carry cargo across state boundaries. Your authority also determines the type of cargo you can carry.

• Heavy Vehicle Use Tax – Applies to all trucks weighing over 55,000 pounds.

• International Registration Plan (IRP) – IRP distributes registration fees based on the distance traveled between US states or Canadian states. You need to register on your state's transportation website.

• International Fuel Tax Agreement (IFTA) – The IFTA is an agreement between the 48 states of the mainland US and the states of Canada that simplifies reporting of fuel use by carriers operating in multiple states. Carriers submit a quarterly fuel tax report to determine taxes and distribute them to the state. Trucks must have IFTA decals affixed and new decals must be applied for at the beginning of each year.

• BOC-3 Filing-This will nominate a process agent for your company. The process agent will be serviced on your behalf in legal proceedings. You must specify a process agent in each state where you maintain your office or sign a contract.

After these filings are done, it usually takes 21 to 30 days to get the first load. FMCSA will also participate in the new Track Participant Program for the first year. Within the first year, you should meet with a DOT inspector for the first safety audit. This will allow anyone to start learning the requirements and the audit should pass very easily. There are several companies that can help you learn new shipping companies, comply with FMCSA guidelines, and prepare for safety audits. We strongly recommend working with one of these companies. One of the most trusted companies to help you stay in compliance and meet DOT safety audits is JJ Keller.

You don't have to own a truck to start a truck business

As mentioned earlier, the amount of freight in this trucking business is infinite, which is very good for truck company owners. Most people think they need to invest in trucks that can be expensive. The truth of this is that you don't have to be the owner of a truck and trailer, you just have to be the owner of a truck company. A new truck company can start with someone else's truck and trailer. This is called the owner-operator and you can register the owner-operator track under your authority. The owner's operator is considered a driver's lease and he drives his trucks and trailers for you. You can make over $ 500.00 a week just by using this method, and many people are paying attention to this type of truck business model.

First-year insurers usually allow three to four trucks to be owned under the new federal MC agency. Because you are being monitored to make sure you are operating your truck business under the new Trucking Entrant Program. Just putting up to four trucks under a trucking company can generate over $ 2000 a week, and there's definitely a chance. After your first year, underwriters begin to allow you to add more trucks under your federal MC authorities and you can grow your new truck business organically I can do it. After the first year, it is advisable to decide at some point to buy the first truck and trailer. At this point, a driver moving full-truck cargo could generate an additional $ 1000.00 or more per week for each truck he owns. ..

You can work from home in your truck business

Owning a truck company today does not require a person to have a large truck facility. Most people who start by owning a truck company do it from the comfort of their own home. Your truck usually moves cargo daily on the road and you rarely see it unless you perform maintenance and check your equipment. You can monitor the activity of your truck from your home computer with GPS location software. This allows you to work in your home office, load up your trucks and ship them daily. You can also help yourself for the first year by allowing freight brokers to ship trucks while maintaining a company that complies with FMCSA guidelines. The basic needs for shipping trucks are computers and telephones.

As the owner of a truck company that does not own your own truck, you will only need a home office to dispatch and monitor your truck business. A basic computer with a loadboard solution and TMS (Transportation Management Software) is sufficient. The truck driver delivers the cargo and sends the documents electronically from inside the cab. You upload your documents and send them for funds to get paid for that load. You can usually get paid within a few days of delivering the shipment.

Basic truck reporting and accounting is also handled by TMS software, and virtually everything needed to manage the truck business is done from the home office. This is a daily routine that you will follow in your truck business and your driver will make their truck inspection reports weekly to ensure that your truck business is moving forward. If you are working with a freight broker, you will receive a daily report of your moved luggage and simply upload it to your TMS software. You would expect to work a few hours a day from your home office just by having one or two trucks on the road that carries the cargo.

Working from home and owning your own truck company can be very rewarding and generate a comfortable income. Many freight brokers that build a freight broker business are also owners of truck companies. Combining both businesses gives you a great opportunity to see logistics as a full-fledged home-based business.