Moving companies are a central part of the service economy. Because people never stop relocating, there’s always a large number of potential customers. Each organization does whatever it can to win over as many of those consumers as possible. That’s just one of the reasons moving startups invest so much of their initial capital in advertising. For new companies in this space, job one is figuring out how to acquire the best trucks based on criteria like value, safety, and potential useful life.
Knowing how to select the right assets is at the very heart of what it means to be an entrepreneur in the moving industry. Of course, it’s imperative to develop a rigorous process for hiring and screening new drivers, offer specials to entice new clients, work with an insurance specialist, create a detailed two-year plan, and more. If you’re about to launch a startup that focuses on short, medium, and long-distance moves, review the following list of musts.
Fleet managers for small moving companies need to acquire a high-quality fleet, and doing so is not the easiest task. However complex it might be to select the right trucks for the job, it’s essential for managers and other decision makers to do in-depth research and make sure they’re getting the perfect combination of price and value on each item they purchase. A transport company’s profitability and overall efficiency are directly related to the quality, performance, and reliability of the vehicles they acquire. For those reasons and others, it’s wise to not only devote time to the buying process but also to follow a specific set of steps to make sure that nothing is overlooked.
Professional movers occupy a uniquely competitive niche in the service industry. Every year, millions of consumers perform online searches for cheap, reliable, and well-reviewed movers who can get personal belongings from Point A to Point B for a fair price. Those same consumers read lots of review sites, which is why it’s so vital for owners to nurture early customers in order to earn glowing reviews. In fact, it’s worthwhile to ask every customer to leave a positive review on social media if at all possible. Many will do so if you ask, but if you don’t, they’ll likely forget to do so.
Amid a driver shortage, it’s tempting to skimp on requirements and screening criteria. But shortcuts are nothing more than a short-term solution to a long-term challenge, which is to get the best and safest drivers onto your team as conceivably possible. Avoid the temptation to adjust screening processes for operators. Not only is it bad for business, but it can be costly if unsafe or unreliable candidates slip through the process and end up behind the wheel of your company’s trucks.
Even if your firm is a tiny organization, don’t ignore the need for obtaining the proper kinds and amounts of insurance protection. When it comes to things like cargo, vehicles, office space, and drivers, you will likely be looking at a comprehensive form of coverage along with several specific policies. The only solution that makes sense is to consult an experienced insurance agent and review all your specific needs. For movers, there’s nothing worse than launching a startup without enough insurance protection. Keep in mind that the nature of your operation is transporting items on trucks, through traffic, in potentially very dangerous conditions.
One of the most overlooked steps during the pre-launch process is developing a two-year plan. Include estimates of revenue and expenses based on known facts. Don’t get hung up on crunching every number down to an exact figure. It’s not necessary. What is needed is to create a credible plan that covers all the areas of spending and income.
This challenging chore delivers multiple benefits. For one, it gives owners a blueprint for hitting benchmarks during those crucial first two years. A plan also has the potential to help you get a commercial loan. Nearly all lenders will ask to see the plan as part of their standard paperwork and screening process. If you have one, and if it’s based on realistic estimates and goals, there’s a much higher chance that the loan will be approved.