How to Make Money Hauling Cars
Before your start hauling cars, you should know how you’ll make money doing it. Car hauling jobs can range from moving one vehicle at a time to carrying 5 or 6 (ore more) cars for dealerships. Think about the type of equipment you have or want and how you want to operate your car hauling business. We always recommend spending time to create a business plan for your trucking company so you can consider every aspect before you get started.
How Do You Make Money Hauling Cars?
While auto hauling can be quite lucrative, at the same time it is also much riskier because of the higher value of your cargo. There’s no magic book of instructions for this type of company. The way you make money hauling cars is essentially the same way you make money hauling any other freight. Find a load board that specializes in car hauling and get yourself a load. Use that first auto hauling load as a springboard to make connections for car hauling contracts. With every satisfied customer, you could get yourself more satisfied customers, including repeat customers. Securing dedicated lanes is a car hauling trucking company’s dream come true.
How Much Do Car Haulers Make?
There are never cut and dry numbers when it comes to how much you get paid for any load, including hauling cars. But we can offer you ballpark figures. The typical rate range of hauling cars for money can be anywhere from $300 to $700 per car. Obviously, there are other factors to that, the value of the car you are hauling and market demand plays into how much you will get for each car. The same thing goes for whether you are hauling cars intrastate or interstate. The farther you haul the vehicles, the more you will get paid.
Does Hauling More Cars at Once Affect Rates?
Car hauling, for the most part, remains a per-car business. There usually is no change in the per-car fee if you hauled, say, eight, nine, or 10 autos in one trailer. However, you could always negotiate a flat-rate amount for the load with the shipper or broker. By and large, though, the car hauling rates out there are round numbers that factor in the car and the distance hauled. Also, the more cars you haul the greater the chance you will have to wait to get paid. If you are waiting to get paid, then freight factoring could help. Apex Factoring offers a fast, flexible and reliable cash flow solution so you can keep hauling more cars.
Does Hauling More Cars Mean More Insurance Coverage?
The more cars you haul, the greater your profit. Simple, right? But by the same token, the greater your risks. You need to be sure that your insurance policy will cover your cargo. As an auto hauler, you typically should have $2 million in liability and at least $500,000 in cargo insurance. Check with your insurance company and carefully read your policy, then be prepared to increase your coverage.
How to Be Successful Hauling Cars
Like with any other trucking company, a car hauling trucking company needs to bring in revenue that exceeds expenses to turn a profit. How do you do that? By negotiating great per-car rates and by hauling more cars at once, yes. But also, by keeping your expenses in check. You have options to protect your bottom line. Take advantage of fuel discounts provided by a great fuel card. The Apex Fuel Card offers an average savings of 33* cents per gallon at more than 1,500 in-network truck stop locations. Of course, establish those relationships with brokers and shippers, so they become your dedicated lanes. Finally, work with a reputable freight factoring company, such as Apex Capital, for valuable help with immediate cash flow.
*Average savings of 33/gallon is based on actual In-Network TCS client transactions for all of 2019.