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MODERN WAYS TO FIND GOOD TRUCK DRIVERS AND RETAIN THEM

July 28, 2022 by admin0truck businessTrucking

Retaining your drivers is one of the best ways to keep your trucking business running successfully. Truck driving is a challenging lifestyle. Truck drivers give up most of their family time, driving for long solitary days with limited access to healthy food options.

Also, they often feel disrespected by other drivers on the road and their employers. These challenges make many of them quit their job, making it difficult for trucking companies to find qualified truck drivers.

Additionally, trucking companies with truck drivers find it hard to retain them. This is due to the truck driver shortage that the United States is currently experiencing.

Although finding and retaining truck drivers is no easy feat, commitment and making your drivers a top priority can change everything. Continue reading as Global Multi Services explain the modern ways to find truck drivers and retain them.

HOW TO FIND TRUCK DRIVERS

TARGET OTHER DEMOGRAPHY

According to statistics, the average number of new truck drivers is around 35years. But that does not mean you should only target the demographic. Consider underrepresented groups like female drivers, who comprise less than 10% of truck drivers, according to the ATA.

RECRUIT YOUNG DRIVERS

Recruiting young drivers is the key to long-term success as older drivers retire. You can recruit them through training programs, mentorships, or local outreach. But the only downside to these is the issue with insurance carriers’ driver eligibility.

USE MULTIPLE PLATFORMS

‌One of the best ways to find truck drivers is by being visible. That is why it is paramount to post your listing in many places. Here are a few platforms to post your visibility.

Company Website

Your website is one of the most suitable places to advertise job openings. Have the following sections on your website.

  • The “Apply” section should be in the headers of your website.
  • Job description and application process

Social Media

‌Social media platforms are an efficient place to use in the hiring process. According to statistics, 80% of people use social media to search for job postings. Additionally, 90% of companies use it to recruit employees.

‌Social media can be challenging to maintain when using all the platforms. Therefore, choose two or three platforms. LinkedIn and Facebook are common recruiting platforms. You can start with them and add more later.

Job posting board

Job posting boards advertise openings in your company and increase the likelihood of finding the best candidates. Some posting boards are only for truck drivers. Here are a few job posting boards:

  • Flex Job
  • Google for job
  • Every Truck Job
  • Truck Driver Job 4all
  • CDL Jobs

MAKE THE APPLICATION EASY

We all know information is important when hiring someone. But, getting all that information during the first application process is unnecessary. No one enjoys filling in endless applications, and potential employees might move to another company if your application is too long or complex. Therefore, keep your applications easy, short, and straightforward.

EMPLOYEE REFERRAL PROGRAM

Your current truck drivers and staff are the most valuable resources when considering how to find truck drivers. Many of them know someone fit for the job prescription. So, creating an employee referral program makes it easy to suggest candidates. But it must come with a referral reward for these to work.

TIPS FOR RETAINING TRUCK DRIVERS

INCREASE PAYMENT

Every employee is at work to make a living. So, how much you pay your drivers determines if they will work in your company. Therefore, offering more per mile, incentives for meeting specific goals, and other significant benefits is paramount.

COMPENSATE YOUR DRIVERS

Compensating your drivers motivates them to work smarter and stay loyal to you. You can create a list and categories. For example:

  • The most professional and dependable drivers
  • The best fuel mileage and pre-trip inspection

These improve your business and increase your driver’s pocket. You can also consider providing a gym membership. That means they do not have to pay for one out of their paychecks.

OBTAIN NECESSARY PERMIT

Permits are mandatory for trucking companies operating intrastate or interstate. It prevents illegal operations and ensures truck drivers adhere to government regulations. Obtaining all the necessary permits like UCR Permits, IRP Plates, and Motor Carrier Permits allows your drivers to haul across multiple states without detention.

PRIORITIZE THEIR HEALTH

‌According to CDC reports, long-haul truck drivers are likely to be chronic smokers, obese, and develop high blood pressure and diabetes. Sadly, these lead to serious health complications and deaths.

Prioritizing your trucker’s health encourages them to live healthier and partake in more physical activities. Here are several ways to help them:

  • Organizing health training
  • On-site gyms or providing memberships for external gyms.
  • Giving incentives to truckers that quit smoking or lose weight.
  • Encouraging cooking rather than eating fast food.

These steps make them feel valued and help them stay longer with your company.

REGULAR HOMETIME

‌Drivers also have friends, sons, daughters, mothers, fathers, wives, and siblings. But they give up their time and the people they love to deliver freights. Driving for days can lead to loneliness, depression, and other mental issues. So, it is essential to prioritize your driver’s hometime. Spending time with their family is vital to their mental health and your company.

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IS THE TRUCKING BUSINESS A GOOD INVESTMENT IN THE UNITED STATES?

July 26, 2022 by admin0Permitstruck businessTrucking

Do you want to set your hours and be independent while driving? Are you planning to venture into the trucking industry but not sure if the trucking business is a good investment? We have all the answers to your question.

The trucking industry keeps everyday life moving, and the industry has continuously grown over the years. With the trucking demands and digital revolution, trucking companies are more valuable than ever. But the National Association of Small Trucking Companies states that about 15% of new trucking companies survive their first year of business.

Well, your trucking company does not have to be one of those 15% statistics. Whether owner-operator or truck driver, you can create a profitable trucking business with careful planning, hard work, and dedication.

At Global Multi-Services, we want to make that happen. That is why we compiled a list of things to consider to ensure your trucking business provides a return on your investments.

SELECT A SPECIFIED NICHE  

Choosing a specified niche determines the services you offer, what equipment you buy, and what rates you charge. It is also one of the best ways to form critical financial planning and make profits.

Look for loopholes in the industry. That is, what customers are lacking in the industry. It is also advisable to pick a niche with less competition directly from large, established companies.

For example, the dry van market is more competitive because it has many established companies and owner-operators. But temperature control is a more profitable niche. There is less competition, seasonal fluctuation, and risk of economic disruptions to the market.

CALCULATE THE OPERATIONAL COST  

An adequate financial plan is paramount when starting a trucking business. Also, your income must be higher than your expenses to make profits. Therefore, you must know your operational cost. These help you determine the revenue you need to generate to make a profit and how high you need to set your prices.

The operational cost is divided into fixed costs and variable costs.

FIXED COST  

Fixed costs are predictable costs, and they do not fluctuate over time. They include the following:

  • INSURANCE

Having insurance is mandatory for all trucking companies. Primary auto liability and general liability insurance should be the very minimum. You can also include coverage for physical damage, cargo, medical payment, and reefer breakdown coverage.

  • TRUCK AND TRAILER COST

Your truck and trailer cost often varies from time to time. However, it will be a fixed cost you pay every month if you take a loan.

  • LICENSE AND PERMIT

Trucking companies must obtain state and federal permits to operate legally in the United States. The Federal Motor Carrier Safety Administration and Department of Motor Carriers ensure trucking companies adhere to the industrial regulations. So, you need funds to apply for your IRP Apportioned License Plates, IFTA License and Decals, UCR Permits, Motor Carrier Authority, and Unified Carrier Registration. These licenses and permits often require yearly or quarterly renewal, which could mean extra fees.

VARIABLE COST  

Variable costs are costs that do not fluctuate based on production or revenue-generating activities. They affect cash flow and increase based on your business size.

Variable costs include the following:

  • MAINTENANCE SERVICE

Your equipment requires regular maintenance to keep them in good working condition. It varies depending on your operations and equipment.

  • FOOD AND TOLLS

Food is a must-have, and its prices depend on the area and restaurant. The toll fee also depends on the states you are operating across.

  • DRIVER COMPENSATION

Driver compensation is your highest variable cost. Therefore, carefully plan the types of truck drivers you want to employ. Also, you can work with owner-operators if it’s a better option.

  • FUEL PRICE

Fuel prices are different in each state, season, and city. So, your fuel cost depends on the miles traveled and the state.

CUT FUEL COST

The International Fuel Tax Agreement simplifies fuel tax reporting for trucking companies operating in the contiguous states and Canadian provinces. But they must obtain an IFTA License and IFTA Permit in their base jurisdiction to be qualified. Registered companies must also file IFTA Quarterly Fuel Tax Report to their base jurisdiction totaling miles traveled and fuel purchased in all participating jurisdictions. Your base state calculates the fuel tax you owe each jurisdiction.

With IFTA, trucking companies’ fuel taxes are determined by the fuel cost in their base jurisdiction. That means fuel price at the pump minus their per-gallon state tax. Therefore, always purchase fuel in states and pumps with the lowest price.

FIND SHIPPERS 

Finding loads can sometimes be hard for a new trucking company. So, you need to develop a good strategy for finding shippers. Develop direct relations with shippers and offer a competitive price. These promote your business and maximize your profit margin. You can also find shippers through freight brokers or load boards. But they will charge a fee, reducing your profits.

PLAN YOUR CASH FLOW  

Running a successful trucking business requires careful planning of your cash flow. Shippers and brokers make payments between 15, 30, and 45 days. So, a cash-flow management strategy is mandatory to keep your business running while waiting for payments.

PROMOTE YOUR BUSINESS  

The trucking industry is highly competitive. Therefore, you must promote your business relentlessly to attract good clients and quotes. Create a website and social media accounts to reach out to your potential customers. Also, attend various networking events and join online communities to connect with people beneficial for your business growth.

ABOUT GLOBAL MULTI SERVICES  

Global Multi Services help trucking companies apply for their truck permit and license in the United States. Our experience and expertise allow us to overcome permit application difficulties and obstacles, allowing you to run your trucking business legally.

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HOW TO NAVIGATE THE TRUCKING INDUSTRY

July 22, 2022 by admin0Permitstruck businessTrucking

The trucking industry is one of the industries that people mention when they think about booming industries in the United States. The industry has enormous potential for professional truck drivers that want to start their trucking business. But it is highly competitive and sometimes frustrating.

Building a successful trucking company involves having the right equipment, using the proper safety indicators, and getting the required permits. These truck permits allow you to operate interstate and internationally without violating the regulations. Are you considering transitioning from a professional truck driver or owner-operator to running a trucking company? These blogs from Global Multi Services give details on what to do when starting your trucking business.

PERMIT NEEDED TO START A TRUCKING COMPANY 

Navigating your way through permits in the trucking industry can sometimes be confusing and overwhelming. The Department of Transportation regulates the trucking industry and ensures trucking companies adhere to state and federal regulations. They also ensure motor carriers follow the state requirements for interstate and intrastate transportation. Here are some mandatory permits for trucking companies

INTERNATIONAL FUEL TAX AGREEMENT 

The International Fuel Tax agreement simplifies the reporting of fuel used by trucks operating across the conterminous United States and Canadian provinces. Registered trucking companies have a single fuel license. But they also need to file quarterly fuel use tax returns with their base state.

UNIFIED CARRIER REGISTRATION

The Unified Carrier Registration is mandatory by the federal government for trucking companies that travel interstate and internationally. Trucking companies must also register their business to receive UCR Permit and pay an annual fee based on fleet size.

INTERNATIONAL REGISTRATION PLAN 

The International Registration Plan permits operation under a single registration plate. IRP is issued to trucking companies in their base jurisdiction and requires an annual renewal fee. The state allows them to operate across the United States and Canadian provinces.

MOTOR CARRIER AUTHORITY 

A motor carrier authority is an operating authority that gives trucking companies the right to transport goods on public roads. Receiving your MC Authority allow you to operate legally across the United States

MISTAKES TO AVOID WHEN REGISTERING YOUR TRUCKING COMPANY 

Taking a leap of faith by starting your trucking business always comes with mistakes. There are many trials and errors as you learn the valuable lessons of your new business. But these mistakes made can be costly and time-consuming to correct. Here are the most common mistakes trucking companies make when starting their business.

MISSPELLINGS 

Every detail must match 100% when registering your trucking company. From entity name, owner’s name, address, and Employee Identification Number to the Federal Motor Carrier Safety Administration registration. Spelling mistakes can cause rejection of your registration. It can cost you money to correct.

ADDRESS ISSUES

The Federal Motor Carrier Safety Administration uses the United States Postal Service to notify and communicate with trucking company owners. That means they do not accept PO BOX as a physical address and registering a wrong physical address can create problems.

Many trucking companies now use virtual addresses. They pay other companies to create a virtual for them. This address is accepted through the USPS system, and the company accepts mail on behalf of the trucking company. These also allow trucking companies to create an entity in any state. But this is not possible in states that require proof of residency to approve your International Registration Plan.

NO BUSINESS KNOWLEDGE

Focusing on what you know about trucking and driving is not enough to run a successful trucking business. You must research and understand how the industry works. Running a trucking business can be less exhausting and tiring when you know how to navigate it. Therefore, you need to be mentally ready for the stress that comes with profit. Study on your own or with your startup representative.

FILLING ERROR 

Common filing errors include

  • Not having your business identifier listed on the EIN filing.
  • Filing under the wrong entity type.

Obtaining your EIN before registering your business entity with the state can cause rejection of your company name due to similarity to another one in your state.

RUSHING YOUR BUSINESS REGISTRATION

Rushing your business registration can lead to many errors that can take time and money to correct. Therefore, take your time when registering and ensure everything is correct.

Do you want to be a brokerage, dispatcher, and carrier all at once? You will need a lot of capital and time. These might be too much to handle simultaneously. Register for one first and grow into your other plan. Building your business with a clear vision gives you a higher chance of success.

STATE FILING

Every state has a different permit and handles everything differently. Failing to adhere to every state regulation can get you penalized, fined, or your license revoked. Therefore, know the rules of the states you want to operate across. You can also consult a trucking permit company like Global Multi Services for help.

HOW TO AVOID THESE MISTAKES

CREATE A BUSINESS PLAN 

Creating a business plan helps you focus on the core parts of your business. It lays out permits, licenses, capital required, financial projections, and other strategy details. It also keeps you focused on building your company according to a blueprint.

BE PREPARED 

Be prepared physically and mentally. Ask yourself these questions what will I do if my truck breaks down on my first load? How will I run my business if it takes weeks to get paid on my first load? How can I pay my drivers and find loads?

GATHER INFORMATION

Gathering information for the entire process helps you understand what you are getting into and how to navigate your way. It also avoids confusion or falling into the hands of scammers. Check out online information about starting a trucking company and ask around other people in the industry.

TO SUM IT UP 

Understanding how to start a trucking company can sound complex and tiring. Realizing the industry is a bit more competitive should not affect your desire to start. With the right business plan, permits, and finance, you can get the wheels rolling in your trucking business.

Do not be afraid to hire a trucking permit service provider like Global Multi Services to help you. Our truck permit services are the best in the United States. We will ensure you have everything completed and filed correctly.

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