They include drivers, assistants, logistics personnel, mechanics and operations manager. You will need a truck driver as the minimum starting employee for the trucking business. Finance and accounting employees are also required. For a small trucking and logistics business, the duty can be handled by the owner of the business or a part time accountant. However as the trucking transport business grows, there will be need for full time employees who will be responsible for the finance and accounting needs of the business.
Their duties will include usual day to day transaction accounting for business, managing the cash flow of the trucking business, and always ensuring the enough funds are available for the day to day needs of the trucking business. Marketing is essential for you to be successful in the trucking and logistics business. To have a stable cash flow, your trucks should always be on the road.
This is only possible if you are marketing your business. Thus your trucking business will also need marketing and sales staff. You can also have part time marketing employees who are paid on commission basis based on the number of clients which they bring to your business. Your trucking business plan should cater for the wages and salaries of all your staff. The amount of capital required for the trucking business depends on the size of the business.
It all depends on what you want to achieve and the resources that you have. When starting a trucking and logistics business, most of the capital goes to acquiring the trucks.
You can get a loan from the bank, or funding from investors, to use as capital to start your trucking business. If you plan to raise capital from investors and a loan from the bank, you need a good trucking business plan.
Trucking business is very profitable, so if you reinvest the profits you get, you can grow over time. Even if you are not planning to get a loan, you should still get a trucking project plan to guide you in starting and operating the business. It is essential for you to have a trucking business plan before you venture into the trucking and logistics business, so that you know all the costs involved and you make an informed decision. The market for the trucking industry is very huge.
A lot of industries require trucking services. These include agriculture industry, mining industry, manufacturing industry, construction industry, fuel industry, supermarkets, wholesalers, distributors and raw materials suppliers.
Companies and individuals need trucks to transport bulky goods. A good reputation for reliability, consistency and good service are the key ingredients for developing the customer base for your trucking business.
Most of the people that use haul freight focus on repeat business with those service providers who have met their needs and gone the extra mile before.
You need to build those relationships by joining the community of truckers and their customers. That means not turning down invitations to industry events and actively organising some of your own. Remember that once a reputation is lost, it is hard to recover it. You must be proactive in the marketing strategy of your trucking business. That means going out to meet and woo customers rather than waiting for them to come for you. Later on when the business has acquired a reliable client base; you may find that previous customers are actually selling your business for you via their review and recommendations process.
Do not forget the power of the internet. Make sure that you have a functional website that includes a welcome message, clear details about what you do and a purchasing process that is convenient so that people can order without physically visiting your premises. A proper marketing plan should be included in the trucking business plan. For an in-depth analysis of the trucking and freight business, we encourage you to purchase our well-researched and comprehensive trucking business plan.
We introduced the business plans after discovering that many were venturing into the trucking transport business without enough knowledge and understanding of how to run the trucking and logistics business, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.
It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the trucking transport business. The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the number of trucks, pricing rate per KM etc, and all the other financial statements will automatically adjust to reflect the change.
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