Startup Costs: $10,000 - $50,000
Franchises Available? No
Online Operation? No
There are a few approaches that can be taken in terms of starting a trucking business. The first approach is to start your own, which involves securing transportation accounts and hiring subcontract drivers with their own trucks and equipment to service the transportation accounts. The second approach is to purchase or lease a truck and work as an independent trucker, servicing your own accounts or subcontracting for a transportation firm. Both approaches to starting a business within the trucking industry have their pros and cons.
ASK THE PROS:
How much money can you make?
“Be forewarned: the trucking industry as a whole is extremely competitive, and the rising cost of fuel, maintenance, and insurance has resulted in drivers having to work extremely long hours to generate any profit beyond a working wage. Profit potential including income, $50,000+ per year.” —Entrepreneur staff
What kind of experience do you need to have?
“If you’re hiring drivers, you’ll likely be hiring someone who has at least gone through truck driving school or has a commercial license for the specific kind of driving needed for your business. The larger trucking companies have their own schools. Beyond that, you still need to think about training your employees, whether they’re rookie drivers just out of school, bookkeepers or schedulers. These employees need to keep abreast of the latest trends in the transportation industry and know how to use the most up-to-date tools to do their jobs effectively and efficiently.” —Entrepreneur staff
What’s the most important thing to know about this business?
“Transportation is a highly regulated business. It will be up to you as a business owner to not only understand the regulations of your particular segment of the industry but also keep up with the ever-changing regulations as your business matures. The federal government has its own transportation laws specific to any part of the transportation industry you plan to join. In particular, any transportation that crosses state lines (i.e., interstate transportation) is subject to federal law as well as the laws of the states you’re leaving from your original destination, passing through en route, and entering as your final destination. You’ll become very familiar with the U.S. Department of Transportation.” —Entrepreneur staff