Trucking and Transportation
In the ever growing marketplace, the common necessity for goods and products to be moved to another city or state creates opportunities for new and existing transportation businesses. Because of the growing demand for reliable transportation services the industry is extremely competitive and making the right decisions for your business can result in rapid growth of a new business or the quick demise of another. Stick to these guidelines and watch your company hit the road to success:
Because of the growing demand for reliable transportation services the industry is extremely competitive…
- Choose Your Company’s Identity. Trucking companies operate by bidding on and fulfilling jobs. There are generally two ways in which trucking businesses are formed – using Sub-Contracted Drivers or Privately-Owned Drivers. The first option allows you as the business owner to run the business, bid on jobs, and receive contracts but your drivers are not actually employed by your company. The second option requires you to run your business privately using your own equipment and drivers. Many companies start using Sub-Contracted Drivers and grow to using Privately-Owned Drivers when they are able to secure the capital to purchase their own trucks. Fora Financial regularly provides business owners with the capital to buy trucks.
- Build On The Basics. Make sure that you fully understand how to be compliant with all trucking specific licenses, permits and forms. It is imperative that you fulfill the requirements that correspond with the type of trucking business you own. Use the resources that are available to you online. The US Department of Transportation and the Federal Motor Carrier Safety Alliance provide plenty of online resources to ensure that you are running your business correctly.
- Build Up Your Client Base. The transportation industry is extremely competitive and building up your client base is often the most difficult part in getting your business off the ground. At the beginning, you may not have the reputation that you need to gain the large accounts. Start by building up a client base of local businesses to which you can provide excellent personalized service. Once your transportation business is up and running you may find yourself strapped for some extra cash for an extra truck or permit. Fora Financial deals regularly with the business needs of the transportation industry. Through our services these companies are able to acquire the financing needed to purchase equipment, proper licensing, and operating capital to run a successful business.