Stop by for a bit Get our newsletter How to Start a Business Opening a Tank Truck Transportation Business Here's some helpful information that is ideal for those of you who are thinking about starting a tank truck transportation business.
Strategic Analysis with current research! The Trucking Company, Inc. The Company was founded by John Doe. The Company will offer its clients the ability to manage all of their localized or long distance hauling needs through one business that will provide its clients the ability to manage their shipments in a cost and time effective manner.
At this time, Management is sourcing the two trucks that it will lease in order to provide services to its customer base. The third section of the business plan will further describe the services offered by the Trucking Company. The interest rate and loan agreement are to be further discussed during negotiation.
Doe has more than 10 years of experience in the transportation industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations. Doe expects a strong rate of growth at the start of operations.
Below are the expected financials over the next three years. Doe intends to implement marketing campaigns that will effectively target individuals and businesses within the target market.
The Company is registered as a corporation in the State of New York. Below is a breakdown of how these funds will be used: Doe is not seeking an investment from a third party at this time.
Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of the Trucking Company. Based on historical numbers, the business could fetch a sales premium of up to 6 times earnings.
However, with recent fuel costs rising, the premiums for trucking businesses have declined due to the volatility of the oil markets. It should be noted that Mr.
Doe intends to operate this business for a significant period of time, and a potential exit strategy would not be executed for at least five to seven years.
Doe believes that the key to maintaining a successful business operation will be to ensure that our clients can easily and quickly place orders for shipping their large merchandise trucking needs for short or long distances throughout the local or regional target market.
At the onset of the operations, the Trucking Company will operate two trucks and will provide dry freight hauling services to retailers and product distributors. Once the business expands, Mr. Doe may include specialty hauling services for perishable materials.
The Company will also provide moving services to individual customers. The most important key to maintaining and developing successful business operations is to be able to consistently deliver high quality trucking services at reasonable prices. With the recent increase in the price of diesel fuels, it is especially important, more now than ever, that Management develops and implements strategies to minimize the possibility of mistakes.
Currently, the economic market condition in the United States is in recession.
This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. Many economists expect that this recession will continue until mid, at which point the economy will begin a prolonged recovery period.
A primary concern for the Company is its ability to price its services affordably during times of economic recession or spikes of oil prices.
As ofthe price of oil and its associated refined energy products have reached multiyear highs. This increase in oil prices has caused the freight and trucking industries costs to rise significantly during last six months.
While this is a concern for the business, it is a risk and an issue faced by all other businesses as well. Doe will continue to increase prices at a standardized rate of markup to ensure the profitability of the business.
Within the continental US, trucking is the most cost efficient method for managing shipments. Over the last five years the number of established trucking businesses has increased from 40, businesses to 47, Gross receipts increased by The industry employs more than 25, people and has grown at a rate that is much faster than the economy in general.
As technology related to transportation has increased significantly over the last ten years, it has become imperative for companies to integrate new technologies into their supply chain management systems. This trend is expected to continue as the increase in technological advancements has allowed smaller firms to compete with larger competitors.Emergency preparedness and accident prevention, while technically not part of a business continuity plan, contribute significantly to the well-being of the company and its employees.
An accident prevented is a disaster averted. A business plan for a transportation or trucking company This Business Plan is for a Transportation company or can be used for any type of Trucking business.
This business plan contains 25 pages, as well as, 5 year financial projections. Trucking Company Business Plan SWOT – Economic Analysis In most countries of the world, the economic strength relies heavily on an efficient, safe, secure and sustainable freight transportation system; it is a vital sector in commerce and industry.
In this article I will explain the things that are important to keep in mind when writing a trucking company business plan and eventually starting your trucking business. If you are looking for a business plan template, here is an article explaining how to write a business plan.
An Analysis of the Operational Costs of Trucking: Update September Katherine J. Fender Engine Business Cummins Inc. Great West Casualty Company South Sioux City, NE Mr. Jack Holmes President UPS Freight Richmond, VA Mr.
Ludvik F. Koci Director Penske Transportation Components Bloomfield Hills, MI Mr. Chris Lofgren. Transportation company startups: A business plan for Transportation needs to include a sales forecast, cash flow forecast and a projected profit and loss account for three years.