The trucking industry is profitable, but even more so competitive. Whether you’ve been driving in the trucking industry for years or just breaking through, there’s always an opportunity to grow.
Forbes states, “A financial statement analysis shows that private companies in the general-freight trucking industry, on average, increased sales by about 7 percent.”
There are many aspects to becoming a successful truck driver; from equipment financing to customer loyalty, to freight factoring. Start the transition into an outstanding and prosperous truck driver by following the steps below!
1. Get the right equipment.
You may think that step one is a no-brainier, but you’d be surprised how many trucking companies try to cut corners when it comes to trucking equipment. The equipment necessary for your company can be expensive so you will have to decide whether you want to buy or lease the equipment. There is really no right or wrong answer, it all depends on your situation, but you always have the option of too. Equipment financing is considered a business loan that gives you the financial flexibility to purchase items that are vital to your business’ growth and success.
2. When it comes to customers, think quality over quantity.
Many truckers find their beginning customers from a load board. Load boards, also known as freight boards, are online matching systems allowing shippers and carriers to find each other and enter into agreements to move freight. Load boards are extremely competitive, so you have to bid rock bottom prices. This sometimes leaves pricing low, giving you little room for profits. Once you have a consistent business, you will want to venture out and create your own lasting customers.
3. Be reliable, be profitable.
Many truckers run their business the smart way by using load boards in the beginning and later branching out to sales calls and building their own customer list. The customers that you build a relationship with will be your most profitable customers. To gain and maintain profitable customers, you need to be reliable. Keeping up with expenses like maintenance, truck repairs, truck and trailer payments, fuel, and the cost of your work will be hard work. Truckers and trucking companies often choose freight bill factoring to keep up with these expenses and to keep the strong relationship with their customers. Freight factoring is when a company, for example; Phoenix Capital Group, purchases freight bills at a discount. Instead of having to wait 30, 60 or 90 days for your customer to pay you, a factor can get you that money in as little as 24 hours.
4. You must be ambitious.
Do not fear failure, take action, and place your customers before yourself. Forget about your own selfish desires and serve your customers each day. And always remember what JC Penny, Founder of JC Penney Inc. said, “Unless you are willing to drench yourself in your work beyond the capacity of the average man, you are just not cut out for positions at the top.”