When it comes to setting up a new business, there are many different kinds to choose from. One which is almost always likely to be a good idea, however, is that of transportation. There are certain kinds of business which are likely to always be needed by certain industries. Going for these kinds of business is therefore a relatively safe way to get started in the world of business. This makes them a good option for those who do not have much – or any – experience in running a business. Transportation is the perfect example of such a business. Of course, that doesn’t mean that running a transportation company is easy or straightforward. There is a lot to it, and you need to know as much as possible before you get started to ensure your success. Let’s have a look at some of the foremost factors of any transportation company. Here are your main considerations.
Find Your Place
As we have seen, the major benefit of a company of this kind is that it is always going to be needed by someone or other. Of course, there is another side to that: you are likely to have a considerable amount of competition as well. Competition is not necessarily a problem as such, but it is definitely something that you want to consider and take on board as early as possible. Before you even get started, you need to decide on a location for your transportation business. In one respect, you might say that the location is not all that important for a business of this nature. After all, the main task is transportation. But the location of the depot does matter – and so too does the area that your business is likely to service. So how can you find the best possible location for your new transportation business?
Above all, you want to try and find somewhere that does not have too much in the way of competition. This can be hard to discern to begin with, but with a little research you should be able to find out a good location in your area before long. You want to try and place your business physically so that you are as likely as possible to get as many customers as you can. It might help if you draw your desired radius of operation on a map, and try from there to work out the ideal location for your depot. Wherever it ends up being, you want it somewhere neither too cluttered, nor too distant from anything else. You should be locatable, but not dwarfed by other, well-established businesses all around your depot. You would be surprised at just how important this kind of detail really can turn out to be.
Regardless of what kind of transportation you are going to be involved in, you will need to get your hands on some vehicles. Finding your vehicles is one of the most important early stages of setting up a transportation business. You should endeavor to spend a lot of time on trying to find only the very best for your fleet. What you want to end up with is a fleet of trustworthy and well-maintained vehicles with a good history. If you can’t trust the vehicles that your colleagues will be driving, then you will find that you lose faith also in your business, so be sure to find the best vehicles that you can.
Where do you look for such vehicles? In general, it is a good idea to stay within the industry. Don’t go straight for private sellers offering incredible deals. More often than not, you will find that this results in poorer vehicles and a fast buck for them. Instead, look to reputable dealers whose reputation would be damaged if they sold you something of poor quality. You will need to make some executive decisions here regarding balancing your books and the quality of the transportation itself. But it is worth bearing in mind that the quality of the vehicles is something that will see your business through to the future, regardless of their short-term cost.
It’s also hugely important that you do everything you can to keep your vehicles in proper working order. Being able to properly maintain them is a big part of running this kind of business. If you allow them to fall into disrepair, it causes a number of issues. For a start, it is not the most financially savvy move for your business to allow your most important assets to fall apart over time. But more importantly, you should not do anything to put your staff or clients at risk. So it is very important that you carry out regular checks on your vehicles, and give them everything they need to keep as good as new. When a vehicle has really had its day, don’t be afraid to replace it entirely with a brand new alternative. Look after your fleet; look after your business.
In any business, finding and keeping hold of the right staff, and the right numbers of staff, is always something of a challenge. For a business of this kind, it is no different – except that you need to make sure you are being pretty diligent with your recruitment process. You need to be very careful about the people you hire, not least because they are going to be driving your precious fleet and the cargo that you have chosen to transport in your company. You should be rigorous, put them through a lot of tests and so on, and make sure that you are hiring primarily for experience rather than motivation. As long as you are able to trust your employees, there is no limit to what you can achieve in your transportation business. But the moment that you don’t quite feel you can trust them, you will find that your business soon starts to fall apart. A strong recruitment is necessary, and so is a solid training program for all new members.
Training is vital, because it ensures that you keep your employees in the right way from the very beginning. They need to know exactly what you expect of them and why, and this is the best way to get that information across without hassle. Training is not just for the start of employment, either – you should try to re-train your employees every now and then (about every six to eight months) just to ensure you are doing everything you can to keep them at their best. Get the staffing right, and you will have much more faith in your new business – the team themselves are the core of any business.
As an employer, you have something of a moral and legal duty to keep your employees as safe as possible at all times. For a lot of transportation businesses, safety is going to be hugely important. Clearly, for drivers in particular it is important that safety is given the status it deserves. The most beneficial way to approach this topic in your business is to have clear, defined rules that everyone knows they should follow. These rules should be clear to all, available to view or read at any time, and they should make sense to everybody. You should also try to encourage in your employees a sense of individual responsibility. At the end of the day, everybody is responsible for their own safety. Make sure everyone understands that, and it is much more likely that your employees will enjoy their work in safety.
It’s just as important that your workers know their rights, should there be an accident of some kind. Whenever anyone in your employ suffers an injury as a result of a truck accident on the road, they have the right to contact a truck accident attorney. They also have the right to time off with sick pay – but how much should be delineated in your rules and regulations. It is vital that you allow your employees everything they are entitled to, otherwise they might not be quite so pleased, and before long you could find yourself in a much less reputable position with your employees. Safety ensures that you are taking care of everyone in your business, so this really cannot be overlooked.
Licensing & Insurance
There are always certain legal procedures that any business needs to follow, and yours is going to be no different. For a transportation business, some of the most important regulations and laws are licensing and insurance. You need to have a license to carry out the kind of business you are engaged in – as a business and individually. You also need to make sure that every single person in your company is insured to drive. If they are not, you will find that your business gets into some very big trouble very fast. But as long as you have this satisfied, your business will be able to continue trading for as long as you like. And that is what you are likely to aim for in the early days of your business.