Are you a company driver with the passion to become an owner operator? RealTruckers has your back!What are the steps you need to take to become an owner-operator of your own trucking business? With help from Real Truckers, you can get started right away!
What Do You Need to Start?
A company name registered with your state’s Division of Corporations
A Federal Tax Identification Number
Equipment and Insurance
An Owner-Operator Network
1) The first step you need to complete is naming your trucking business. Once you have completed this important step, you will need to register your business with your state’s Division of Corporations.
There is a registration fee to make your company name official and the fee may cost a few hundred dollars. Please contact your local Division of Corporations for more information.
This is a critical step for your trucking business because you can’t legally operate without registering.
2) Once you have registered your company name, your new business will be able to receive a Federal Tax Identification Number (FTIN). This number can be retrieved from the IRS website and is essential for your company to have in order to open a bank account in your business’ name.
Your FTIN number will also be necessary for any financing you may need for your truck and other business permits you apply for.
3) The next step is equipment and insurance. Buying a truck can cost anywhere from $110,000 to $125,000 with a trailer included. Real Truckers offers trailers for drivers, so you have one less thing that you have to worry about when you are getting started.
Your fleet of trucks can be a large cost if you are just starting in the industry. Thankfully, you do not have to get for a new rig.
Purchasing a used rig can save new truckers a lot of money, and there are favorable leasing options that fit most financial situations. There are lenders that will finance your truck completely. However, even if you do not qualify for this type of financing, you can still typically lease a rig with a down payment.
4) Finally, you need insurance. Without the appropriate insurance your business could be in jeopardy in the case of an accident. General liability insurance and a cargo policy are required and should be account for at least $750,000 of coverage. In addition to this, you will also need to apply for a surety bond in order to get your licensing.
Our friends at Drive Logistics can help you bridge the financial gap and answer any questions you have about equipment and insurance. For more information, please contact them here.
Building an Owner-Operator Network
Once you have everything in place that you need, your license is registered, and your DOT number is ready, you will need actual cargo. Without loads, you will not be able to make the money that you need to offset your costs.
Here is where the Real Trucker community can help!
At first, this may seem like a difficult task, especially if you have not developed relationships within the trucking industry. The MyDrive mobile app, made possible by our friends at Drive Logistics, is your one-stop negotiation tool to big on loads available to ship around the country.
RealTruckers wants to hear from you at 'The Truckstop.' This truckers-only Facebook group offers weekly giveaways, trucking discussions, memes and general trucking-related content. Join here!