The first decision to make before starting a new business is to choose an entity depending on how you want to run your business. Generally, most entrepreneurs either register as a corporation or process LLC Registration. Limited liability companies protect personal assets, provide ease of operation and tax flexibility. Read on as Global Multi Services takes us through what you need to know about LLC Registration.

LLC Registration

WHAT IS A LIMITED LIABILITY COMPANY?

Limited Liability Company is a business entity where the members are not liable for the company’s debt or liabilities. It combines the features of a corporation, partnership, or sole proprietorship. The members file taxes, listing the profits and losses of the business on their tax returns.

LLC Registration requirements vary from one state to another, and anyone can be a member of the business entity. These include foreigners, other limited liability companies, corporations, and many more. LLC provides a more formal partnership, more flexibility, and protection. It is also easy to establish when compared to other entities.

HOW TO ESTABLISH A LIMITED LIABILITY COMPANY

Limited Liability Company is created by choosing a name, designating a registered agent, and filing articles of organization in your base state. The articles of organization contain the name and address of all the members, business statement of purpose in the base state, the right, duties, and other obligations of each member of the limited liability company.

ADVANTAGES Of LLC REGISTRATION

Tax Flexibility

Limited liability companies’ members choose how they want to be taxed. They are taxed like a corporation, a partnership, or a sole proprietorship. But most tax option s similar to a sole proprietorship. That means most of them file taxes listing the profits and losses on their tax returns. Many limited liability companies do not pay corporate tax. These help them to avoid double taxation.

Simple To Set Up

Limited liability companies are easy to set up compared to other business entities. They are generally under state law, and their requirements depend on the state it is being established. They also take less paperwork and are simple to manage. While some states require filing articles of organization with the Secretary of State in person and drafting of Operating Agreements, other states allow online filling.

DISADVANTAGES OF LLC REGISTRATION

Self-Employment Tax

Limited liability companies pay self-employment tax, and these taxes can sometimes be more than taxes paid by a corporation. The self-employment tax includes Social Security tax, medical tax, and many more.

Automatic Dissolution

Other members of a limited liability company’s liability are protected if one of them fails to meet its legal obligations. However, the automatic dissolution of the limited liability company gives creditors leverage to go after members. Death or withdrawal of a member without any succession can affect their operating agreement and structure. These can also lead to automatic dissolution.

Different State Law

The difference in state requirements and laws governing the establishment and operations of a limited liability company can affect its operation in multiple states. It can also lead to additional documentation and paperwork across different states.


What makes a trucking company successful in the United States? The trucking industry can be an exceptional opportunity for those with an entrepreneurial spirit who desire to run a trucking company. But the industry is competitive and requires obtaining many licenses and permit such as UCR Permit, MC Authority, and others.

Your success also depends on doing what satisfies your clients. These include handling and delivering freight in perfect condition, innovation, on-time delivery, safety practices, state-of-the-art technology, and many more.

Freight mishandling, breaching agreements, or delays can lead to poor performance and customer dissatisfaction.  Whether your company is a start-up, established, or growing, here are crucial things that will increase your chances to succeed in the trucking industry.

UCR Permit

BUILD CUSTOMER TRUST

Building customer trust is one of the best ways to stay ahead of your competitors in the trucking industry. Reliability and building trust means keeping a promise and satisfying your customers. Many new trucking companies often bid a low price to attract more customers but fail to meet their needs. Some do not have the resources, and others do not consider every factor before accepting and signing proposals. These result in unfulfilled delivery, unhappy client, and a bad reputation.

GET YOUR OPERATING AUTHORITIES

Trucking companies need to be aware of the rules and regulations guiding the trucking industry at the federal and state levels. They must obtain interstate operating authority to operate outside their base state, United States Department of Transportation Number, and comply with the federal and state fuel use tax and vehicle licensing.  There are also specific rules and regulations for hauling different kinds of freight in every state. So, trucking companies must obtain all the necessary operating authority to stay compliant.

ON-TIME DELIVERY

Late deliveries can be very problematic for many clients. Not having the smallest component on hand can freeze an entire production or marketing line. Therefore, trucking companies must commit to on-time deliveries. The right equipment to comply with freight hauling must be available before accepting to haul the freight. These allow trucking companies to have loyal customers who stick with them always.

OBTAIN UCR PERMIT

The UCR Permit is a federally-mandated program for trucking companies traveling interstate and international lines. Trucking companies must complete their Unified Carrier Registration and pay an annual fee in their base state according to the total number of vehicles in their fleet. Trucking companies also need IRP, IFTA, Motor Carrier Permit to operate interstate. Let Global Multi Services help you obtain your UCR Permit and other trucking permits to stay in compliance in the trucking industry.

PRIORITIZE SAFETY

The safety of freight and truck drivers is the most crucial element in the trucking industry.  Reliability and on-time deliveries are often unachievable when these are compromised. Poorly maintained equipment and improper operation of trucks can have disastrous results on customer satisfaction. Sudden breakdown, injuries, and damage caused by negligence can permanently affect the company’s reputation. Therefore, tracking your safety records and drivers’ performance continuously can minimize the potential for an accident.


According to the American Trucking Association reports, the trucking industry is experiencing an increase in driver shortage. The costs associated with obtaining your MC Authority, finding and hiring new drivers are also very high. Hence, retaining your truck drivers can save you thousands and faster delivery. It will also create a better environment for your employees. Your drivers need to feel happy enough with you to stick around for a long time.

They also need to be provided a safe and state-of-art truck to retain them. Do you want to cut costs and maintain a healthy work environment for your drivers? Focusing on driver retention is your best bet. Not sure how to retain truck drivers? Global Multi Services explain ways you can make your company more attractive to employees and retain drivers longer.

MC Authority

Appreciate Your Drivers

Acknowledging, appreciating, and rewarding your divers is one of the best retention policies. Drivers who feel appreciated are more likely to stick around. Build a sense of community and mentor-ship program for your drivers. These help them learn ways to manage stress and everyday life as a trucker. According to psychologists, appreciation releases happy hormones in the human body. So don’t be afraid to appreciate your drivers. They also motivate them to perform better.

Invest In The Latest Equipment

Inadequate trucks and poor maintenance are another reason truckers leave their fleets.  Old machinery can increase breakdowns, accidents, unscheduled downtime, and late delivery. It can also put drivers and other road users in danger. Investing in good equipment will improve day-to-day life on the road, keep drivers safe, and save time.

Provide Employers Support

Building a retention strategy that supports your employers is key to driver retention. Providing support through unbiased regulations, financial planning, wellness programs, and time off when needed.

A vital part of providing employer support is knowing what your drivers need and asking for feedback to understand the issues they experience. These help you identify what can lead to disengagement and provide a willingness to listen to drivers’ concerns can have a positive impact.

Obtain Your MC Authority

MC Authority is the authority motor carriers obtain from the Federal Motor Carrier Safety Administration to transport goods on public roads. MC Number Registration indicates they have met all the requirements to carry out commercial operations. Getting your Motor Carrier Authority saves your drivers from facing issues with the authorities

Provide Quality Home Time

Truck drivers spend long hours on the road away from home that can sometimes be lonely and frustrating. These make them crave more time with friends and family when they get married or have children. Therefore, it is crucial to help drivers achieve a work-life balance. Understanding the importance of home time and life outside of work impacts driver retention. It is also critical to respect drivers’ time-off requests and driver preferences when building weekly schedules.

Utilize New Technology

Implementing new technology often improves drivers’ productivity. Using technology that prioritizes life on the road and optimizes shipment can increase employee engagement and retention. They also improve monitoring and create entertainment and better working conditions while driving.