Lots of businesses are launched by people who already have the capital to self-fund their entrepreneurial endeavors. But what if you’re more limited in this regard, but you’ve still got a burning ambition to strike out with a solo project? To Start a trucking company with no money might sound like a pie in the sky idea, but there are some ways to make good on your commercial concept if you don’t have a big pot of savings on tap. Here are a few tactics to try and routes to consider if you are in this position.
Minimize costs from day one
The first thing to do is work out what costs you’ll face to get your trucking company on the road, and the primary expense at this point will be the vehicle itself.
While a truck can be a good investment, the cost of brand new models is steep. You could rent out a truck instead of purchasing it outright, but another option is to choose a second hand model instead.
Used trucks of all shapes, sizes and capacities are a cost-effective alternative in this case, and you can check the advantages of buying a Peterbilt 579 on chartertrucks.com to see just how attractive a second hand unit can be. Even with maintenance considerations, used models are appealing.
Secure a small business loan
Finding the cash to kick start a trucking company is possible with the help of a loan from the Small Business Administration (SBA).
There are lots of lenders which partner with the SBA in order to fund up and coming organizations, and in most cases you’ll be connected with a lender that’s local to you, which makes things more convenient.
You will still need to jump through some hoops to get approval in this context, but thankfully there are all sorts of packages available, from microloans to long term financing deals.
Another advantage of working with the SBA is that certain loan arrangements also factor in training and education for business owners who aren’t sure of how to take their fledgling firm to the next level.
Consider outside investment options
You might not have any money to plow into your trucking company, but others might, and working with third party investors is always a strategy to look into.
Some choose to tap up friends and family for seed money for their small business, while others go to private individuals or investment firms for this purpose.
Whatever you do, make sure you have a solid business plan in place. This is the document that will lay out what your trucking company will do, and how you intend to go about achieving aims you set.
It’s useful for your own purposes, and also for showing that you’ve put thought into the next steps when investors want assurances about the viability of your ideas.
Sort out the administrative aspects of starting a trucking company
By this point you will hopefully have got some sort of funding in place, or worked out a rental deal for your vehicles. Next you need to complete a whole heap of paperwork, and go through other trials and tribulations, to make your trucking company a reality.
If you don’t have a Commercial Driver’s License (CDL), you’ll need to get one. It’s also a good time to register your business, usually as an LLC. Snapping up company insurance must also be a priority to protect you from the financial fallout of a variety of different dilemmas that might arise.
In short, getting a trucking company off the ground won’t be a quick or easy process, but it’s still a possibility whether you’ve got capital to spare or you’re starting from scratch.