With everything going on in the world at the moment, I realize this might not seem like the best time to start a business – your hesitation is understandable. The thing is though; this is quite possibly one of the best times to start a business, particularly a transport business. With many countries and places moving in and out of lockdown regulations to soften the blow of whichever wave they happen to be in, we all still need transportation on varying levels. From goods delivery to parcel couriers, transportation is an essential service. That’s where you come in! By following these 10 simple steps, your brand new transport business can be up and running in no time.
- Select Your Business
Before you can start your new transport business you need to spend time thinking about what type of transport you will be offering. Each different business will have different requirements in terms of the law, different costs associated with starting one, and different ways of running your transport business to make sure it’s successful. Consider what areas you plan on servicing and what services you plan on offering.
- Do Your Research
Research is a vital part of starting any business but especially for a transport business as the risks are a lot higher. You likely won’t be able to have a home-based transport business so you will need to find warehousing and office space. Find out what type of transport business will best serve the region you’re in. Dropshipping companies are all the rage these days so that is an area for you to begin investigating, those companies will all require transport companies to deliver their goods to their customers.
- Develop Your Business Model
Your next step is to put together a clear-cut and straightforward business plan. The best business plans can help you identify your potential threats and weaknesses and put plans in place to mitigate these negative factors. Unless you are planning on starting your transport business with your savings, you will need finance to begin the next phase of starting your company. All financial institutes and private investors will all require a great business plan to get them on board and willing to back you.
- Consider The Costs
Starting a transport business isn’t cheap but it doesn’t have to break the bank either. Put together a list of your projected costs for the first year of running, it is important to understand that your business will take some time before it turns a profit so you need to know how much money you’ll need to stay afloat until it becomes profitable.
- Source Capital
This part can be tricky but if you are properly prepared and armed with your projections and your fantastic business plan, sourcing capital shouldn’t be a tall order. You must not embellish or exaggerate any facts or figures at this stage of your financial negotiations – be upfront and honest because it will help you establish trust in your relationship with your financial institute right from the beginning. Good financial planning is important for individuals as well as businesses.
- Buy Vehicles
Once your new transport business is adequately funded you can move onto the next step, buying your vehicles. Buying new vehicles is easy enough, especially when there are plenty of international trucks for sale. Buying new is always recommended if you can, that is not to say that you can’t get great deals on used trucks – it just means that when you’re starting you need to do everything you can to keep your risks low. Once you are an established company you can look at getting great deals on used vehicles from reputable dealers.
- Fleet Insurance
It’s also important to have a truck accident lawyer on your side. Truck accident lawyers are specially trained to deal with the unique challenges of fleet management. They understand the rules and regulations governing commercial vehicles, and they know how to fight for your rights in the event of an accident. Whether it’s dealing with insurance companies or negotiating with opposing counsel, a truck accident lawyer will give you the peace of mind that comes from knowing you’re prepared for anything. So if you’re looking to protect your business, make sure you have a truck accident lawyer on your team.
In some countries, you cannot operate a transport business without fleet insurance, which makes so much sense. Don’t risk losing your entire business by not insuring your fleet. Do some research and make a few calls, it isn’t hard to get a great deal on comprehensive insurance. If your insurance is from a reputable institute it will not only cover your vehicles but will pay you out for any lost time as well as insure your drivers too.
- Get Drivers
Speaking of drivers, your next step is to hire some. Drivers are an integral part of your business and you should never compromise on the quality of drivers you choose. Find licensed drivers with experience in whatever driving they will need to do for your business. Long-haul drivers can be such a hazard on the road if they are not properly taken care of and if they don’t get enough rest so make sure you hire enough drivers to meet your delivery needs.
- Focus On Customer Experience
Make sure that your drivers are well-rested so they deliver on time, every time. Granted, some factors that will be beyond the control of you and your drivers, like heavy traffic and inclement weather conditions, but happy drivers are friendly drivers. The next way to ensure your customers are well-taken care of is to ensure that regular maintenance is done on your fleet of vehicles, break downs won’t just stress you and your drivers out, they will also put avoidable pressure on your customers and that could affect their desire to do business with your company.
- Consider Expansion
Once you have your transport company launched and running smoothly, the business will flock in. You will reach a stage where you will need to consider expanding into new areas and buying a bigger fleet, which is great! It is important to remember that every division within your company will need to grow with it, from admin staff right down to cleaners – the bigger the company, the more people it will need to keep it running in optimal condition. One aspect that every delivery company needs to consider at a certain point is warehousing, warehousing can cut down on transport costs and even save you time. There are pros and cons to warehousing so make sure to research that separately when the time comes.