Is the Trucking Business Profitable?

Video Transcript:

If you want to run your own trucking company, you probably want to know if the trucking business is a profitable industry to get into? I’m Rachel with Apex Capital and I’m going to tell you how you can run a trucking company with success in mind.

Apex Capital is a full-service freight factoring company that has helped thousands of trucking companies gain financial stability for nearly 25 years which means we know a thing or two about successful trucking companies because we have them as clients!

First, the answer to your question is the trucking business profitable isn’t a simple yes or no. The answer is, it could be, it all depends on how you run your business.

I know it’s not the most straightforward answer but don’t worry there are a few basics to help you run your business profitably.

The first is to know your large expenses. Driver wages and fuel costs are going to burn the biggest hole in your trucking company’s pocket. Our first tip might sound counterproductive, but you should always offer competitive driver compensation. This isn’t where you want to try to save on costs. Paying a higher wage to your driver will help you not only keep them but keep them happy. A happy driver means happy customers, which will help you grow your trucking company.

As far as fuel costs are concerned, there is a tool that can help you save big. We’re talking about thousands of dollars every year in fuel savings. The Apex TCS Fuel Card saves our clients an average of 33 cents per gallon on fuel with zero transaction fees at in-network locations. We’ll even start you off with a $2,500 fuel credit line when you factor.

That brings us to our next business basic, which is cash flow. A lack of cash can make or break a trucking business. Think about cash flow as a steady stream of money that comes in and out of your business. If the stream slows down or stops, you can’t pay for fuel or pay your drivers. Factoring your freight bills is one easy way to manage cash flow.

At Apex, we can help you get paid on a load that was hauled the same day, which means you can take on extra loads, pay for fuel, and never have to worry about how you’re going to pay your drivers.

Those are just the two most important parts of running a profitable trucking company, if you want to learn more check out our blog and if you want to learn more about getting steady and reliable cash flow then give us a call at 855-211-0929.