The idea of starting a trucking business is very exciting. The truth is that if you are not ready for the obstacles that lay ahead for a new venture trucking business, your excitement will disappear as fast as it came. You will have to make an important decision about what kind of truck to buy. Should you start off with a box truck or big rig, reefer, flatbed, etc? It all depends on what you can afford, and your business goals. Box trucks can go up to about 26 ft, and big rigs can pull 53 ft trailers. CDL license isn’t necessary for box trucks carrying under 26,000 Ibs.
It will be necessary to get your CDL license if you don’t have them already if you are looking to buy a big rig. The more capacity your truck has, the more freight you can haul which equals more money. Picking your truck is the exciting part when it comes to starting a trucking business. So, you have your truck, here comes the pain, “Commercial truck insurance.” When you are a new venture, it is very hard to get affordable insurance rates.
Insurance rates can be as high as $22,000 a year for one truck. I personally suggest you shop for rates before you get your truck. Beware of the kind of insurance you get! Your insurance agency must be able to provide all the necessary filings with the Department of Transportation or your DOT NUMBER will go inactive. If you buy a truck without proper insurance coverage, your truck will sit, and you won’t be able to make money with it.
Meanwhile, you will have truck payments if you didn’t purchase your truck in full. Before you buy a truck, check with the Department of Transportation for all the necessary insurance requirements. Some insurance companies will take your money, and won’t be able to fulfill the Department of Transportation requirements for insurance. So, make sure the insurance agencies you speak with can provide the necessary filing required by the Department of Transportation. Once you find a company that can provide the necessary filing so that your DOT NUMBER will be active, you can consider rates.
High insurance rates are normal for a new trucking service. You have to shop around to find affordable insurance rates. I suggest you keep shopping until you find rates that you will be comfortable with paying. The Department of Transporter is very helpful when it comes to your trucking needs. Make sure you get very familiar with the Department of Transportation.
Once you have proper insurance, fulfilled DOT requirements, and have medical cards for all your drivers, you are ready to hit the road. Your next obstacle will be finding good work for your trucking business. Load boards and brokers are an option, contracting with larger trucking companies is another options. But working directly with shippers is the best options. Do your due diligence before starting your trucking business.