The trucking industry is a huge help in every country’s economy. Different products need to be transported locally or even outside the state. With that said, the demand for trucking services will always be there. So if you think that you have a good business plan, starting your own trucking company would be an excellent move.
However, just like any other type of business, aspiring to be an owner-operator will also require you to go through some processes. So here is a checklist that should guide you if you want to start a trucking business:
Secure a CDL
Anyone who will be handling a heavy truck is required to secure a Commercial Driver’s License or CDL. And mind you, this is not as easy as you may think. A thorough background check will be conducted, not to mention that you will have to undergo training too.
After this, you need to take the exam. If you pass the written and driving tests, then your application for a CDL will be granted.
Acquire Your USDOT and MC Numbers
In the United States, getting the DOT and MC numbers are quite important before you can start operating your business.
• US Department of Transportation (USDOT) number– A unique identifier when checking a certain trucking company’s safety and compliance record.
• Motor Carrier (MC) number – This identifies the kind of goods that your company is allowed to transport.
To get the number, you must accomplish the MCS-150 form as well as the Safety Certification Application, which takes about 10 business days to be reviewed by the FMCSA. If there is no dispute within that period, then you will be given the digits.
Complete the Unified Carrier Registration
To register, you need the DOT and MC numbers. This system was created to basically monitor the active insurance coverage where a certain motor carrier operates.
Get an IRP License Plate and IFTA Decal
If you intend to operate in all states, including that of Canada, then you must get an International Registration Plan as well as IFTA decal. The latter is an agreement of how truckers should report their usage of fuel when traveling across the different states including the provinces in Canada.
Register a BOC-3 Form
This particular form is essential if you want to operate interstate. It appoints a process agent, usually an attorney, in each state where you intend to do your business.
Obtain a SCAC
This code is another identifier for transportation companies. It is required if you are transporting military or government as well as international loads.
Acquire Working Equipment
Once you have all the things that we have mentioned above, then the next step is for you to acquire the equipment. One of the biggest decisions that you will have to make at this point is whether to go for a new truck or a used one.
Look for Loads
The final step is to finally look for loads. Although there are brokers out there, it is still highly recommended that you work directly with shippers. Also, you will be able to increase your revenue if you find loads that can cover your backhauls.