Hands down!
A box trucking business is easier to operate than a big rig business.
Compared to big rigs, box trucks are smaller and haul shorter loads.
At the same time, straight trucks are the preferred vehicles in the local transportation markets.
So, if you want to learn how to start a box truck business, follow the steps below.
What do you need to start a straight truck business? (Requirements)
You need a couple of things settled down before starting a straight truck business. These are:
1. You need vehicles
Obviously, you need to acquire some kind of straight truck whether this is a cargo van or a 24 ft or 26 ft box truck.
2. You need funding
If you need to a buy a new vehicle, starting a box truck company can be costly and you'll need to find financing options.
To decrease the starting cost of the business, you can rent or lease a truck. That option works fine as well.
Anyways, you'll need some money set aside to start running your box truck business.
3. You need a business plan
As I mentioned before, starting a box truck business can be costly. That is especially true if you need to borrow money.
In that case, you need an actionable plan on making your business profitable.
Your business plan should include your budgeting thoughts, an understanding of your local market and your competitors, thoughts on your marketing strategy, pricing, on hiring more drivers or not, etc.
At this point, your business plan should be more of an organizational tool for you. You can always polish it later.
If you need to get funding, having a business plan may help getting that initial investment.
Is starting a box truck business profitable?
Per ZipRecruiter's Box Truck Owner Operator report, their salaries range between $52,000 to $146,500, while the top earners make $260,000 annually.
As of Dec 18, 2020, in the United States, the average annual pay for a box truck owner-operator is $110,275 per year. That is $53,02 per hour, $2,121 per week, or $9,190 per month income.
If the business owner is experienced and the location is commercially good, chances to make money with box trucks increase.
However, if you are determined to start a box truck company, be aware that there is a learning curve.
Generally, you should expect that the compensation between a 24 feet non-CDL straight truck owner and a CDL driver owning a 53 feet trailer is different. That is because the carried freight of a 53 feet trailer is larger than that of o 24 feet box truck trailer.3 steps of starting a box truck company?
1. Fill out the legal papers
To register your business, you need:
- Fill out all the legal papers.
- Choose the business structure for your box truck company.
- Wait for the approval.
- Once approved, you are good to go.
2. Run your business
Once the company is approved, roll out your sleeves.
It's time to do some work because:
- You need to run the operational tasks of a box truck business.
- You have to market your services.
- You have to be in contact with customers.
- If you are a beginner, you need some time to learn how to do these things.
3. Scale up your business
If you do well after a year, try scaling your straight truck business by renting, leasing, or buying more trucks.
Box truck business ideas
1. Amazon contractors
If you own a 26k box truck, you may want to look into the Amazon Relay Partnering Program.
If this is the case, pay attention to the straight truck requirements that they have to be eligible to run for Amazon.
2. Delivery jobs
With the growth of e-commerce, it makes perfect sense to start a box truck delivery businesses.
Although the larger stores might already have their curriers, the medium and small businesses may still look for box truck delivery business.
If you spot enough demand for truck delivery service in your local area, you should learn how to start a non-CDL delivery business.
3. Moving Services
Since moving from one place to another can be a demanding task given the heavy load, it requires a truck to transport belongings.
Having a box truck, you can help your customer move to a different residential area or commercial property.
Besides offering the service, check the guidelines for owning a moving service in your area. Some states have strict regulations when it comes to moving household goods.
So, choose your job wisely.
4. Advertise on your box truck
If your box truck moves around, that makes the vehicle a billboard on wheels.
Many local or even national businesses would be interested in advertising on your straight truck.
To find the businesses willing to pay for advertising on the vehicle, sign up on Wrapify or Carvertise.
Advertising on your straight truck may earn you passive income.
5. Junk removal jobs
Junk removal jobs involve driving, lifting, and loading many heavy items.
Some larger junk removal jobs involve cleaning out garages, storage units, and basements full of junk.
After picking up the items for return or disposal, you need to decide what to do with that Item and determine the most eco-friendly option in your area.
Consider partnering with broker companies like XPO Logistics and CH Robinson.
6. Become an owner-operator
As a business owner, you need to be aware that the demand for box truck services fluctuates in any market.
Today, the demand is enough to satisfy your financial needs, but tomorrow it may decrease and affect your earnings.
So, by cooperating with trusted logistic companies, they can provide you with a constant flow of loads.
So, learn how to become a box truck owner-operator.
7. Earn extra money with a box truck side hustle
If you own a box truck, earning with these box truck side hustles should be easy.
Side hustling with a box truck provides a great way of making money besides your 9 to 5 job.
Besides that, these side hustle jobs are part-time jobs, which means that you can choose your favorite working schedule.
Useful advice and information
1. In the beginning, don't expect to make as much as the CDL driver makes.
2. In your first year of starting a straight truck business, you will need to have a pretty good reserve of cash for fuel, oil, tires, breakdowns, insurance, meals, etc.
3. To remove the constant hassle of finding loads, consider working with a broker.
4. Before you start, determine what kind of deliveries you want to go for - local (lowest pay potential), intrastate within state boundaries (mid-level pay potential), or interstate (highest pay potential).
Be aware that no matter what load you pick, all costs of running that truck fall squarely on your shoulders.
5. Know your vehicle’s weight limit to avoid shutting you down due to being overweight while passing through a required scale on the road.
6. To promote your cargo van business on social media, local forums, or Facebook groups.
Set up a website and list your shipping services out there.
Create a Facebook Business Page and link it to your website.
To reach out to wider audiences, launch local advertising campaigns on Facebook or Google.
Once your website is up and running, contact cargo van delivery brokers and let them know about your services.
Partner with the big players in the trucking market such as FedEx, Panther II, CH Robinson, etc.
