Categories
Business Lifestyle

How Do I Start a Light Pickup Truck Delivery Busines

If you have a reliable pickup truck and good driving skills, a light delivery service might be the perfect small business for you. You will need to make a few decisions about the particulars of the delivery service you want to provide and be sure to get special licensing as needed. Follow these steps to get started and start delivering.

Set your location. Determine what area you will cover. Consider routes, gas prices, traffic patterns and the time it will take to drive from one section of your delivery area to another. All of these factors will affect how much money and time you spend on each delivery.

Figure out your load limits. How much weight can your truck safely carry? Figure out the weight limit and make sure you have the materials you need, such as bungee cords and rope or other methods of fastening the cargo. Figure out how much you are going to charge for the amount of cargo you carry and the distance.

Brainstorm. Think about all the cargo you might be able to carry. Do you have a particular specialization in mind, or are you willing to haul whatever needs to be hauled? Thinking about your options will help you determine how to market your business.

Look into licensing. You probably need a business license from your local or state government, and you may need a commercial driver’s license to provide professional delivery service. Call your local chamber of commerce or the secretary of state’s office in your state for help.

Get the word out. Once you’ve set your delivery area, your load limits and your prices, you need to spread the word about your delivery business. Distribute fliers, call businesses who might be interested in your service, and let friends and family members know about it so they can spread the word as well.

Categories
Carriers Freight Loads

Canadian Transportation of Dangerous Goods Training

Transportation of dangerous goods training in Canada falls under Transport Canada, a department of the federal government, which regulates the transportation of dangerous goods by road, rail, water or air and sets out training criteria for companies transporting dangerous goods. Transport Canada does not accredit specific courses or training centers, but enables companies to use whatever methods are best suited to their operation and the needs of their employees.

Transport Canada’s definition of adequate training includes having sound knowledge of all topics related directly to the required tasks and specific kinds of dangerous goods a worker moves, offers to transport or handles during the course of their work. Topics that training may cover include dangerous goods safety marks requirements, safe handling and transportation practices for dangerous goods, and how to operate equipment used to handle or transport dangerous goods. Other important topics include reasonable emergency procedures to reduce or eliminate danger to public safety that results or could result from an accidental release of dangerous goods.

Transport Canada requires workers who handle, offer for transport or transport dangerous goods to be trained and possess a training certificate in handling or transporting dangerous goods or only perform tasks involving dangerous goods while under the direct supervision of an employee who does possess a training certificate in transporting dangerous goods. Handling encompasses loading and unloading, packing or unpacking and storing materials and covers jobs such as cargo handler, lift truck operator, dock worker, shipper/receiver, freight handler and warehouse operator. Examples of workers whose jobs include offering for transport include dispatchers, office workers who prepare documents, shippers, freight forwarders and billers.

Training in the handling and transportation of dangerous goods can be delivered through formal classroom training, on-the-job training or experience gained under the supervision of an adequately trained employee.

Employers who are reasonably satisfied that their employees are sufficiently trained to perform duties related to that training are required to issue those employees training certificates that include the name and address of the employer’s place of business, the employee’s name, the expiry date of the training certificate and the aspects of handling or transporting dangerous goods that the employee is trained for, including specific topics.

Those who employ a person who is a member of a ship’s crew may have a reasonable expectation that the employee’s certificate of competency, issued under Marine Certification Regulations, is acceptable evidence of adequate training. In this case, the employer does not have to issue a training certificate. Training certificates are valid for three years, except in the case of transport by aircraft, when they expire after two years. Training certificates or copies of them must be provided to inspectors immediately upon request.

Valid documents issued to a truck driver of a vehicle licensed in the United States or to a member of a train crew for the transportation of dangerous goods in the U.S. are considered valid evidence of dangerous goods transportation training in Canada. Documents certifying training in dangerous goods transportation issued to members of airport flight crews or ship crews from outside Canada are also accepted as proof of training, as long as the aircraft or ship is registered in a member country of the International Civil Aviation Organization or the International Maritime Organization.

Categories
Owner Operators

How to Become an Owner & Operator With a Prior Bankruptcy

Starting a business after bankruptcy may seem difficult, especially if your business needs credit. Other creditors such as vendors, suppliers, distributors, and property owners may run a credit check or require collateral that you do not have. Bankruptcy does not have to be a death sentence to your future prosperity, though. You have a fresh start, and as an owner or operator of a new venture, you have unlimited possibilities. Do not let bankruptcy determine your destiny. Start your business now.

Incorporate your new business. Form a corporation or limited liability company (LLC) to protect your personal assets in the event that you encounter financial difficulties. Unlike running a business as a sole proprietor, you have legal safeguards with limited liability for your business debts. To form a corporation or LLC, see the Resource box for more information.

File a Doing Business As (DBA) at the county clerk’s office. If you run a business under a name different from yours or your corporate name, you must file a DBA. You can piggyback off the success of your new business if you start another business in the future. Each DBA is a separate business, but you may run those businesses under the same corporation. Therefore, good credit earned from your corporation flows over to the new entities and gives you more to work with when applying for credit and doing business with others.

Apply for a new Employer Identification Number (EIN). Unlike businesses run by a sole proprietorship, Corporations and LLCs are a separate business entity, so you must have an EIN. Under some circumstances, a sole proprietorship must apply for an EIN. In any case, applying for a new EIN gives you a fresh credit file, and separates you from your business. You may need to make changes to your business in order to qualify for a new EIN if you had an EIN previously. Use the Resource box for more information.

Open a business checking account. Most banks require an EIN for business banking, even though you want to use your SSN instead. Some banks require a certified copy of your DBA in order to open one. A business bank account separates your personal finances from your business finances, making it easier to track, budget, and gather information quickly for tax preparation.

Build credit with your new business. Some creditors use the business owner’s personal credit file in addition to the credit file of the business when determining whether to extend credit. Take out a secure credit card and use it for your business needs to build credit. Have your utility payments reported to the credit bureaus so your company can establish a good credit history, so your previous bankruptcy will not have as much influence and overshadow your new business ventures.

Apply for a business license and other required permits. Your city’s business licensing department can give you the information you need regarding zoning requirements and permits needed for your type of business. The location of your business may not allow businesses for your type in that zone, including those who work from home. Permits such as fire, water and air pollution, and signage permits are only some of the types of permits your business needs. After bankruptcy, the last thing you want to do is violate a fundamental responsibility, inching your way into another financial meltdown.

Categories
Business Lifestyle

Subcontract Requirements for the North Carolina Department of Transportation

The Office of Contractual Services (OCS) of the North Carolina Department of Transportation (NCDOT) operates a subcontractor program that allows subcontractors to work on: NCDOT statewide projects that originate from Raleigh headquarters office that are known as Central Let contracts; and NCDOT divisional projects that originate from one of the 14 division offices that are known as Department Let Purchase Order contracts.

Generally, subcontractors must fulfill three requirements to become and remain eligible to work on NCDOT contracts completing a separate application for each of the requirement levels.

The first-time Pre-Qualification Application is the initial entry into the NCDOT subcontractor program. OCS will assess qualifications and abilities before approving. Once approved, subcontractors are given a user ID and are listed in the NCDOT Directory of Transportation Firms with a Pre-Qualification Status of “Subcontractor” and will wait a month before being allowed to bid for jobs.

An annual Renewal Application is necessary to ensure that the OCS has current contact and experience information and Safety Index on file for subcontractors. A 3-year Re-Qualification Application allows for periodic reassessment of a subcontractor’s abilities, experience, and equipment list.

The NCDOT Disadvantaged Business Enterprise (DBE) Program is designed for independent small businesses where a minimum of 51 percent of the ownership stakes are controlled by socially or economically disadvantaged individuals, minorities, or women, respectively.

Through this program that is conducted by the NCDOT Office of Civil Rights and Business Development (OCRBD), these persons receive separate DBE certification and are not required to go through the pre-qualification process to be subcontractors, in accordance with Title 49 CFR, Part 26, Appendix C.

The DBE Certification Application is submitted to the OCRBD for review. After an interview and a site visit, a DBE Certification Technician will approve the application and will generate a listing in the federal Unified Certification Program (UCP) Directory. A UCP listing allows the DBE subcontractor to participate in any federally funded program with any other state agency without having to reapply for DBE certification.

DBE subcontractors are required to submit an Affidavit and Personal Net Worth Statement annually and a Re-Certification Application and Personal Net Worth Statement every three years to maintain DBE Program eligibility.

The NCDOT Small Professional Services Firm (SPSF) Program is very similar to the DBE Program. However, it uses the size of the business as a criterion for enrollment. The NCDOT uses the SBA size standards based on the number of employees and the gross annual income.

SPSF Program applicants will first complete the general pre-qualification process. Once completed, a complete and notarized SPSF Contractor’s Self-Certification Form will be submitted to the OCS. Upon acceptance, the SPSF contractor is listed in the UCP Directory.

Categories
Lifestyle Owner Operators

Financial Help for Owner Operators

Over the road truck operator-owners are small businessmen just like anyone who runs a small store or service provider. Occasionally, money is scarce, which merits a need to seek financial assistance. Although people generally advise against borrowing money to pay creditors, it can be good business sense to borrow money to make more money. An owner-operator can pursue various avenues, with varying amounts of risk and reward. When seeking financial assistance, however, always remember to have everything in writing. Financials, projections, obligations and receivables are required.

Any business needing cash will probably need to put up collateral for the loan. Of course, the owner-operator has a readily available piece of collateral: the truck. Don’t be too hasty, however, to sign away the truck unless the potential for reward using the financial assistance is almost guaranteed. Without the truck, there is no more business. Also, be hesitant to put up a personal guarantee because this will involve all the assets the owner-operator possesses. It’s a very delicate balance between risk and reward to assign collateral to any loan type.

A quick source for needed money is factoring. Quite simply, the owner-operator sells any receivables to a third party at a reduced rate. The rate is negotiable, but expect it to be significant. The buyer can’t make money if paying too much for your outstanding invoices. Factoring is good because it can raise quick cash to buy diesel fuel or new tires to make a cross-country run that will make the year. The risk is selling an account balance to what is essentially a stranger. Your customer will get bills and requests for payment from someone unknown. You get the money, but you may lose a customer.

A quote loan is a loan on an accepted quote to do business. Farmer’s and merchant banks are great places to seek this type of loan. These types of banks do the loans constantly with farmers: loan against the future sale of the harvest. You’ll be requesting a loan against the future payment of a completed load. Don’t expect a loan for the full amount, but possibly between 25 and 30 percent and a fair interest rate. The loan comes due with the invoice. The loan is due whether the invoice is paid or not.

Leaseback is the same concept as refinancing your house: You get a lease against your truck, the leasing company pays you the difference for the value of the vehicle and you pay over time. The advantage is you can deduct the lease payment from your taxes as an expense, a low interest rate and payment over time. The disadvantage is the leaseback will only be for the market value of the truck less any liens. If the truck is paid for, you might get a decent amount. If it is not paid for, and the existing loan value is high, you might not get back your application fee.

Categories
Business Freight Loads

Elevated Methods of Moving freight

Several different types of equipment move freight from one location to another. Depending on whether you are moving freight inside a building or outside in a storage area, you should use the best equipment to stack the freight.

Elevated freight equipment uses chains and hooks to pneumatically lift the freight high off the ground. Workers should engage in safety practices and have the required training concerning the equipment they plan to operate to elevate the freight for movement.

Move freight inside the warehouse with hoisting equipment. This hoisting equipment consists of a mechanical crane elevated above the warehouse floor that can be moved by a hoist operator. Attach the freight to the hoist with lifting cables and hooks.

Push the button on the pendant control to hoist the equipment off the warehouse floor. Guide the hoist with the freight by using the pendant control, which is a control box on a long cord that operates the hoist above. Lower the hoist and freight once you have moved it to a new location in the warehouse.

Move the freight from the warehouse with a telescoping boom attached to a forklift. Slide the lifting cables around the freight and hook the chain to the telescoping boom at the rear of the forklift. Ensure the freight is stable and centered on the forklift to prevent the machine from tipping over by the sheer weight.

Drive the freight to the necessary area. Lift the freight to the required height and stack it. Detach the chain and lower the telescoping boom to a normal height.

Categories
Business Trucker News

How to Replace a Lost or Stolen California Driver License or ID Card

If you recently lost your California driver license or state ID card, you can easily replace it by following some simple steps.

Your California driver license will have to be obtained in by first setting up an appointment at a DMV office. Before you set up your appointment you must have your social security number and a phone number where the DMV can reach you.

Next fill out the DMV appointment system form. You will need to select the California office where you want to make the appointment to complete the required paperwork. Check the box “Apply for Replace or Renew a California, driver license, identification card”. Fill out all portions of the form and select the available date and time for the appointment. Appointments at the DMV office can be made up to 30 days in advance. You cannot make a DMV appointment for the same day.

Complete a California Driver License or Identification Card Application form DL 44 or DL 44C. (An original DL 44 or 44C form must be submitted since copies are not accepted.) If you need a duplicate driver license for a minor, they must have parents’ or guardians’ signatures on the DL 44.

Pay the required fee to replace your lost California driver license or ID card. This replacement regular license fee is $22. The replacement commercial driver license fee is $27. The replacement regular ID fee is $24. Reduced fee replacement ID cost is $7.

Provide your thumbprint when asked by the DMV worker. Pose for your license photo when asked by the DMV worker.
You will the receive a temporary ID card/ interim California drivers license that is valid for 60 days. You replacement California driver license or state ID card will then be mailed to your address.

Categories
Business Lifestyle

What Is Contingent Cargo Insurance?

People ship cargo out to different regions on trucks, ships, trains, planes and other vehicles. This lets them do business with different people and companies even if they are far away. However, shipments don’t always reach their destination. This is where contingent cargo insurance can prove itself a true asset to a broker.

Contingent cargo insurance is a type of insurance that freight brokerages carry. It is a secondary insurance that covers some or all of the cost of handling, storing, getting rid of or replacing cargo that’s refused, damaged or lost. It pays only if primary insurance doesn’t pay out. It is called contingent cargo insurance because it covers unexpected expenses that aren’t covered in a primary insurance policy.

Significance

There is no law that requires a broker to cover contingent cargo insurance. However, carriers usually won’t work with brokers who don’t have this insurance. Brokers usually forward claims to their carriers if something happens to a shipment, but if the carrier’s policy won’t pay out, someone still has to pay expenses. If you don’t have contingent cargo insurance as a broker, your shippers — the people who hired you to find someone to ship their goods — can blame you for the loss even if you can’t be held liable. Your relationship with your shippers consequently can suffer. Carriers understand this and prefer not to work with brokers who are willing to take such risks.

Coverage

Coverage under a contingent cargo insurance policy will vary based on where you get the policy. However, some standard protections are for theft, vandalism and accidents.

Benefits

Having contingent cargo insurance lets you compete with other brokers and establish good relationships with carriers without paying for losses out of your own pocket. It also aids the consumer; if anything happens to a shipment, you still can get goods to others without too much disruption.
When It’s Needed

There are two instances when having contingent cargo insurance is imperative. The first is if you sign an agreement with a carrier that transfers liability to you. The second is if the carrier you select doesn’t have proper carrier’s insurance. Ideally, this shouldn’t happen, but carriers sometimes neglect premiums unintentionally or simply don’t have a policy that covers as much as you’d like.

Categories
Carriers Freight Factors

How to Start My Own Freight Trucking Business

A freight trucking business can take a variety of forms. You can specialize in large fleet logistics, or transport vehicles and move single loads for consumers and businesses. Secure the proper permits and insurance certificates before you open, no matter what kind of trucking operations you offer. State and federal authorities regulate the trucking industry, but there is always a demand for licensed, qualified trucking services.

Form a Limited Liability Corporation (LLC) to protect your personal finances and to set up the boundaries of your business. You will need to incorporate your business plans and operational guidelines in the paperwork, which can further help define your direction.
2

Increase your credibility and prepare for interstate work by applying for Interstate Operating Authority permission through the Office of Motor Carrier Safety Administration. Register for intrastate permission with your state Department of Transportation (DOT).
3

Make arrangements to obtain the required level of insurance for the various types of materials you will be hauling. High-risk loads, such as explosives and other hazardous materials require a higher level of coverage. FM Global offers insurance for any type of cargo as well as risk management and loss prevention consulting.
4

Get a USDOT number from the U.S. Department of Transportation for each of your vehicles. This number must be posted in the truck and available for inspection. All commercial motor vehicles must display this number.
5

Develop a plan for bidding on contracts. Take into consideration your time and the price of fuel. Newcomers to the industry may want to underbid the competition to build a stream of referrals. Build a reputation before raising prices.
6

Register with a website that acts as a third-party broker service. Individuals and businesses that need freight hauled post their requirements and transporters may bid on the job. Many sites sell their services on a commission basis while others are fee-based. Sites such as eFreight Lines utilizes experienced logistics professionals to match clients with the company best suited to serve their clients. They operate on negotiated fee rates with carriers.

Categories
Carriers Trucker News

How to Start a Small Trucking Business

Starting a small trucking business is the dream of many drivers who are behind the wheel of a big rig. This dream is obtainable for most, and even though it will require a lot of hard work, it is not as difficult as most people assume it is. If you have ever thought it would be great if you could start a small trucking business of your own, keep reading to find out exactly how to do it.

The first step for anyone wanting to start a small trucking business is to simply register the business. If you live in a small town, this will likely be done at the local Court House. You can get appropriate information from the County Clerk’s office as to how to go about getting your business registered. If you reside in a larger metropolitan area, your city will most likely have special divisions set up to facilitate the process. In this case, a quick call to the local Chamber of Commerce will point you in the right direction. Getting the business registered is usually as simple as filling out a form and paying the filing fee, although the process may very slightly from State to State.

Decide what kind of freight your trucking business will handle. Some freight may require specialized refrigerated trailers, while other freight may require the use of flatbed trailers. Most types of freight can be shipped using a standard truck trailer, but if your freight does require a special trailer, it is important to identify this before you acquire any equipment.

Think about whether you would like to hire your own drivers, or subcontract the routes out. If you subcontract the work to other Owner/Operators, then you will spare yourself the upfront expense of buying trucks and trailers. However, if you go this route, remember that the driver you use will be a reflection of your company, so make sure they have a reliable truck that will not break down and cause your trucking business to look bad.

Taking into account the decisions that you made during Steps 2 and 3, you may need to purchase or lease trucking equipment for your business. Most small trucking businesses only require one or two trucks and trailers, rather than a large fleet. The advantage to having a small fleet is that it is easier for you to afford to have an extra trailer that is equipped for special jobs.

Make certain that your trucks, or in the case of sub-contracting, the driver’s trucks, are all properly licensed, insured and carry appropriate permits. The licenses and permits you will be required to have for your trucks are USDOT Numbers, MC Numbers, IFTA Decals, IRP Tags, 2290s and Fuel Tax Reporting. You will also need to make sure that all drivers have a valid Commercial Drivers License (CDL).

Build relationships within the supply chain. Keeping your trucks loaded and on the road is the key to the success of your small trucking business. Although obtaining the contracts to deliver goods may sound like the most difficult part of the business, it doesn’t have to be. There are companies all over the country that specialize in hiring small trucking companies to deliver freight. Scroll down to the Resources section for links that will get you started in the right direction for building relationships with these freight brokers.