How to Start a Trucking Business in 5 Simple Steps

ExpressIFTA | September 18, 2019 | how to start a trucking business, owner-operator bookkeeping, starting a hauling business, starting a trucking business, starting your own trucking business, trucking business, trucking management software | No Comments

Starting a trucking business is a huge step for drivers. Trucking management software can help.

So, you’re starting a trucking business, but aren’t sure quite where to start.

Don’t sweat it. Starting your own trucking business doesn’t have to be difficult.

Understanding the investment you’ll need to make to run a successful trucking business, and taking advantage of tools that will fast-track your success and growth are critical.

Keep reading to learn more about starting a hauling business and steering it to success.

Starting Your Own Trucking Business

Step One:

The first step in starting a trucking business is to legally establish your trucking business as an LLC. This protects your personal property as a business owner, and offers several other tax and business advantages.

To complete this first step, you’ll need to appoint a registered agent and obtain an EIN (Employer Identification Number) to open a bank account.

A registered agent will serve as the direct point of communication between your trucking business and the secretary of state.

Your EIN is unique to your business and is necessary for opening a business bank account and submitting tax filings each year.

Step Two:

The second step in the process of starting your own trucking business is to obtain business licenses and permits.

Here’s what you’ll need when starting a hauling business:

– CDL: Drivers of commercial motor vehicles must have a CDL, or Commercial Driver’s License. Contact your state’s licensing agency for more details.
– USDOT Number: This is used to identify your trucking company when conducting audits, inspections, and investigations.
– MC Number: You may need to get more than one MC, or Motor Carrier Operating Authority, number depending on your business operations.
– IRP Credentials and IFTA Decal: If you’re planning to offer services across multiple states, you’ll need IRP (International Registration Plan) credentials and IFTA (International Fuel Tax Agreement) decals for your vehicles.

Be sure to understand exactly what your trucking business needs depending on its services and location.

Step Three:

The next step in our guide to how to start a trucking business is buying or leasing equipment.

Be sure to understand exactly what you need before choosing equipment. What purpose will your trucking business serve? What types of goods will you be transporting?

Do your research first. Consider speaking to other trucking professionals if possible as well.

Step Four:

The next step in starting your own trucking business is choosing insurance.

You’ll need to get business insurance for your company. Contact several agents and weigh your options.

Consider these options before making a decision:

– Primary liability insurance
– Cargo insurance
– Physical damage insurance

– Passenger accident insurance

Step Five:

The last, and most important, step in starting a trucking business is tracking your income & expenses and staying compliant.

Starting a trucking business isn’t enough to reach success. If you really want to grow your trucking business and become successful, you need to take owner-operator bookkeeping seriously.

Choosing a trucking software for small fleets can help make this easy and save you time.

Consider trucking management software TruckLogics.

Whether you’re an independent owner-operator, leased operator, or fleet manager of any size, TruckLogics trucking management software is designed to simplify managing your trucking business on the road and assist with owner-operator bookkeeping.

From managing dispatches and scheduling maintenance, to tracking income and expenses, you’ll get tons of features that will save you time and effort as you juggle the efforts of starting a trucking business.

Get started today with a FREE 15-day free trial.

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