2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16
Freight transportation is considered a promising type of business. People living in both cities and towns use transport services if they need to deliver bulky items. Therefore, potential customers can be found anywhere. This is very important for those who are wondering how to start a trucking business. After all, every product or service needs a buyer. The higher the demand, the more profit the business owner gets.
Where to start?
The trucking business may seem like a very simple matter to some. However, in practice, this is a costly and troublesome business. No wonder only a few remain in this market.
So, the first thing to start a trucking business is finding a vehicle. If the starting capital is low, it is recommended to start with a Gazelle car.
This type of business involves a lot of investment,which will be used to purchase at least a small fleet of vehicles, as well as rent a parking lot.
A potential businessman has two ways to get trucks for transportation: buying or leasing. In the second case, it is possible to significantly reduce the initial investment and achieve a faster payback. Indeed, for minimum profitability, it is recommended to organize a fleet of at least six trucks.
Search for clients
This is the next important question to answer for those who are wondering how to start a trucking business. You need to understand that if there is no demand, you will not be able to earn money.
That's why you need to choose the most suitable place and time to start your own business. In addition, you need to be ready to withstand the competition that exists in the freight market.
Potential customers want to get the most favorable conditions for themselves: fast, inexpensive and high quality. However, compliance with such requirements will put the carrier on the brink of bankruptcy. Need to find a middle ground.
It is necessary to fulfill orders for cargo transportation with high quality. This will create a loyal customer base, which will become a stable source of income in the future.
What you need to open cargo transportation
So, to start a business in this area, it is important not only to find transport and attract customers, but also take care of the legal side of the issue. In particular, you need to register an IP. A license is required only ifif a businessman plans to transport hazardous substances.
The registration process includes several steps.
- First of all, you need to submit documents to the tax office. This can be done in person, by registered mail or remotely using the website.
- Followed by document verification.
- The final stage is the registration of IP. This happens after the relevant information is entered into the USRIP.
Taxation
As you know, any income in the Russian Federation is required to pay tax. To do this, you need to choose the most appropriate option. This may be the simplified tax system, UTII or a patent for cargo transportation for individual entrepreneurs.
It is impossible to say unequivocally which option will be more profitable in a particular case. For each business, you need to perform calculations on an individual basis. Only on the basis of their results can conclusions be drawn about the appropriateness of using one or another taxation scheme. You need to decide on it before registering an IP.
When submitting an appropriate application, the future entrepreneur must select the OKVED codes of cargo transportation. These are numerical values corresponding to its activities. They are collected in a separate guide. It is enough for an entrepreneur to select one or several codes, and then indicate them in the application for registration of IP.
Features
If you are interested in how to start doing cargo transportation, you should first of all understand the essence of this work. From the outside, the whole chain seems incredibly simple. Conclusion of the contract, packaging and loading, deliveryto the destination address.
However, there are many nuances that make up the features of the business associated with freight transportation. For example, delivery must be on time. This is very important, as failure to meet deadlines undermines the reputation of the company, scaring away potential customers.
It is worth considering the possibility of additional services. Some customers need not only delivery, but also the subsequent unpacking and installation of things. Such services can be fixed in an additional agreement and set a separate fee for them.
What not to do?
There is an opinion in the market that the sphere of cargo transportation is preferred by those who could not find a place in other industries. Such entrepreneurs are not ready to provide quality service. They register IP, hire a dispatcher and start taking orders, but they are in no hurry to complete them.
In addition, they often announce the final cost after unloading things. Usually it differs significantly from the original in a big way. That is why customers remain dissatisfied and are not even going to recommend such a company to their friends. Accordingly, the effect of word of mouth cannot be counted on.
When wondering how to start trucking from scratch, try to avoid such mistakes, including dismissive attitude towards customers. Otherwise, this activity is unlikely to turn into a stable source of income.
Relevance
You already know what it takes to start shipping. However, no lessit is important to assess the relevance of this business area. Otherwise, there is a high probability that all efforts will be spent in vain.
It is believed that in the modern world people especially value time, so high-quality logistics is important for them. The relevance of companies involved in the delivery of goods is increasing.
To understand this, just imagine that this area of activity has ceased to function for some reason. What will happen? Goods will not be delivered to stores, people will not be able to transport bulky items, etc.
Cargo transportation is an actual business. But this does not guarantee profitability.
Should I start?
This question can be answered by the business plan of a transport company.
Opinions are different. Someone believes that cargo transportation can become a stable source of income. Others, on the contrary, are convinced that it is better to focus your efforts on other industries in order to make a profit.
In the case of a business plan, instead of subjective opinions, you will get more specific numbers that allow you to draw conclusions about the advisability of opening a company in this area.
However, in order to obtain reliable information, preliminary work needs to be done. In particular, determine the segment of the audience that your services will be targeted at, and then find out its needs and financial capabilities. Even the highest quality service will be difficult to sell if potential customers have nothing to pay for it.
Also when drawing up a business plan in the fieldfreight transportation, it is important to consider the initial investment. In this case, they will be significant. Since the business is related to the acquisition of vehicles.
Staff
A freight business cannot be run alone. At a minimum, drivers will be required to deliver goods.
To ensure profitability, you need to correctly schedule the work of employees. For drivers, it must be continuous. Therefore, for each vehicle, you will need to find at least two drivers with the right to drive a freight transport.
You also need to hire one or more dispatchers who will take orders.
Each employee needs to be paid and make contributions to the Pension Fund. Therefore, you will have to hire a professional accountant.
How to find orders?
Businessmen who start trucking from scratch try to first assess the prospects at minimal cost. That is why at first they can do without a dispatcher and temporarily act as a driver.
However, it is impossible to develop a business without customers. You can start by looking for ads on the Internet. But you need to understand that this is a labor-intensive method.
Starting entrepreneurs often prefer to receive orders for cargo transportation from third-party dispatch companies. In return, you will have to share part of your own profits.
An alternative would be your ownadvertising. You can place ads on the Internet, try out banners and signs. It is difficult to say for sure which method will work best. However, the second option is considered quite expensive. It is not known whether such costs will pay off.
Important conditions
If you want to get a profitable trucking business, there are some conditions you need to follow.
- Full load. The less free space left in the car, the more profitable freight transportation becomes.
- Permanent work. The less cars are idle, the more profit they bring. Ideally, you need to calculate the potential demand at the start, and, taking it into account, calculate the amount of transport.
- Maintenance. Do not neglect regular checks, as well as car maintenance, especially if they are working at a constant load.
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