The trucking business is a growing industry. In 2017, the industry generated $700 billion, according to the American Trucking Trends 2018 report released by the American Trucking Association. Figures show that as much as 71% of all freight in the U.S. is dependent on trucking. The industry currently employs millions of drivers and serves as the lifeline that connects manufacturers and producers with consumers. It also comprised at least 6% of all full-time jobs in the country. Thanks to the robust industry, there is a high demand for truck drivers, who can earn as much as $90,000 annually.
With the growing popularity of e-commerce and real estate trend of setting up warehouses, there will be a greater need for trucking in the near future. If you want to expand your trucking business, now is the time to do it.
How to Expand a Trucking Business
Build Your Fleet
If you want to expand your business, you must be willing to put in more money for purchasing additional trucks and the right equipment. Many truck drivers face problems and challenges on the road, and the sooner they can resolve them, the faster they can accomplish their deliveries.
Hire Competent Drivers
Expanding your business means hiring more truck drivers. When hiring competent truck drivers, look beyond their educational background. What’s more important than their education is their discipline on the road. Most truck drivers often drink alcohol even when they have a schedule. If your drivers get caught driving while intoxicated, you may want to secure the help of a Board Certified DWI Attorney to help you with the case.
Secure Profitable Loads
One of the challenges of running a trucking business is securing profitable loads. The best approach for this is to maximize load boards so you can choose the ones that will match your equipment and routes. However, load boards can work to your disadvantage, particularly for popular routes, because of higher competition. You may need to charge less than your counterparts just to secure a load.
One option you can exploit is working with your current clients. Build your relationship with them. Give them better services and deals. This way, you will build a long-term and secure relationship with a shipper. Note that truck businesses with strong shipping relationships can earn as much as $20,000 per truck monthly.
Expanding your trucking business does not mean that you should hire more people to monitor and run your business. It would be best if you remained hands-on and still handle the day-to-day coordination of the company. You will not necessarily micro-manage, but you have to be present. This way, you can develop a good process for your business.
Handling daily operations of your business will allow you to manage your cash flow better. Running a trucking business needs careful financial management. You must always have steady cash to cover fuel, driver salaries, and equipment repairs. Delays in shipping payments can cause potential problems if you don’t have enough money to make the business run. Without cash, you cannot take in more loads. As a result, your company may stop operating.
Any business without knowledgeable people to handle daily operations can stagnate. However, enterprises managed by experienced people have great potential for expansion. The trucking industry in the U.S. is growing and will continue to do so. Based on the current real estate trends and consumer behavior, more and more online businesses will require trucking to transport their goods to their consumers. It is up to you on how you will capitalize on this industry.
For more information also read: http://www.eshoparchive.com/fastest-cars-under-30k/