Running a trucking company is one of the most successful businesses with many benefits in the United State of America. The business allows you to choose the type of company you want to work with and the type of freight you want to haul. It also allows you to decide how often you want to work and your fleet charges. According to surveys, the trucking industry will experience 27% growth in the next decade and 70% of fresh in the US are transported by trucking companies. The rise in freight demand, rates, and driver’s shortage in the industry made it the best time to venture into the business. However, the industry has a lot of competition which can be intimidating for beginners. Read on as Global Multi Services explains how to start a successful trucking company in New Mexico and obtain New Mexico Permit. Let’s dive in.
Choose A Name
Choosing your company name is the first step to take when starting a trucking business. Brainstorm different ideas and you can also ask your friend and family for help, then check if the name has not been used by another company. You can achieve this by searching through the United States Patent and Trademark Office database online or by using business name tools.
You can also file for a fictitious business name if you want a business name that does not have your first and last name. Or set up a limited liability company or other entities with your business name.
Choose Your Niche
Targeting the right niche is an important factor when venturing into the trucking business. Research about products transported to your target location and the critical needs of logistics activities in the area and analyze how you can meet the needs better than other trucking companies. Know the needs of your target customers and their weaknesses.
Choosing your niche at the beginning will also help you avoid unnecessary competition, establish your business name, and boost your sales opportunity in the industry. It will help you streamline your operational processes which save you from operating “anything to anywhere” freight services
Obtain Your Legal Requirements
You must fulfill all your legal requirements such as obtaining your New Mexico Permit before you can operate legally as a commercial motor carrier in New Mexico. Motor carriers registered in New Mexico and traveling intrastate for commercial purposes must apply for New Mexico Permit and get a New Mexico WDT Number.
The state also imposes WDT New Mexico, a weight distance tax on all qualified commercial trucking companies. Trucking companies operating in the state and across state lines must also acquire other legal registrations such as Unified Carrier Registration, USDOT Number, IRP license plate, Motor Carrier Authority, IFTA Permit, and many more.
Create A Business Plan
A carefully crafted business plan often makes the process of starting a trucking business easier. A business plan helps articulate the niche you want to venture into in the trucking industry. It also helps specify your fleet management, goals, marketing strategies, human and material resources needed, operational activities, and many more.
Select An Insurance Coverage
Protecting your trucking business from unexpected financial burdens and choosing the right insurance coverage is very important. Research about the best insurance company and read customer’s reviews on their website. You can also ask a legal practitioner for advice or recommendations on the best insurance to purchase based on your needs. The insurance should cover risks such as injuries caused by accidents, motor carrier damages.