USDOT Number: HOW TO RUN A PROFITABLE TRUCKING COMPANY

The trucking industry is one of the engines running the economy of the United States. They are constantly hauling raw materials from suppliers to manufacturers and delivering finished products from manufacturers to consumers. Without them, the whole economy will stop moving and can affect other industries. The trucking business is very profitable and competitive. Many trucking companies are established every year, but they end up failing. These often happen to great truckers that are not a good entrepreneur. Therefore, knowing how to grow your trucking business is more than being a good truck driver. You need to choose the right niche, stay compliant, obtain your USDOT Number, charge the right rate, and many more.  Read on as Global Multi Services gives us the step to run a profitable trucking business.

HAVE A BUSINESS PLAN 

Having a business plan is one of the fundamental rules when starting a business.  Before rushing to buy a truck or register your business, do some research and planning. These will give you a broader view of the industry and help you develop a basic business plan. Your business plan should contain your market research, data-driven strategy with step-by-step goals, and many more.

 

CHOOSE THE RIGHT MARKET NICHE 

 

Choosing the ring market niche is one of the most important steps to run a successful trucking business. Your market niche determines the type of equipment you buy, the rates you charge, and your route.  The market is very competitive and choosing the right niche will help you grow your business. You can focus on specialized freight and transport them from one place to another. For example, hauling frozen, meat, and fresh produce in temperature-controlled trucks has many advantages. These include less competition, year-round work, and resistance to recessions.   

 

GET YOUR USDOT Number 

 

Before starting your trucking business, you need to register and obtain a USDOT Number and other licenses. The USDOT Number is a unique identification number given to trucking companies operating commercially across multiple jurisdictions. Trucking companies transporting hazardous materials intrastate in quantities that require a safety permit must also register for a USDOT Number. The DOT Number is issued to trucking companies by the Federal Motor Carrier Safety Administration. The number is used for monitoring and collecting the company's safety information.

 

BUY THE RIGHT EQUIPMENT

 

Buying the right equipment is an essential factor when establishing a trucking business. It provides seamless operation and avoids failure. Choose a licensed truck driver, professional dispatcher, experienced operation manager, and many more. Also, you need to ensure the truck you are purchasing can accommodate the type of freight you want to haul. Get an insurance coverage plan as it will cover any loss in case of an accident.  But make sure you choose an insurance company that specializes in truck insurance. 

 

BE OPEN-MINDED

 

Research has shown that 91% of the trucking companies operating in the United States are small. That is, they have less than six trucks in their fleet. These small trucking companies make a great impact on the trucking industry. Therefore, do not limit yourself. Be open to the challenges that come with having a trucking business and set up achievable goals to avoid failure.