Some Background on the car transportation industry
Car transport business is one of the most prominent and crucial parts of the trucking industry as a whole. Let us review some general facts pertaining to the trucking industry. The trucking industry in the United States has had a great impact on the political and economic history of the country over the last 20Th century. Prior to the invention of automobiles, most freight was moved by train or horse –drawn vehicles. Trucks were first used extensively by the military during World War I. With the increase in construction of paved roads, trucking began to achieve a significant foothold in the 1930s and soon became subject to various government regulations (such as the hours of service).
What you should know when starting a Trucking business!
First and foremost you will need to obtain a commercial driver license ( CDL ) before starting anything. Most states issue interstate CDLs at the age of 18. Finding an opportunity with a motor carrier where you can operate within the interstate requirements would be a great way to get started in your career.
The first steps to launching your career will not be easy as you are always young and inexperienced at first but it is essential that you never give up. When you finally obtain your trucking driver’s license make sure to choose the best transportation business for you where you feel welcome and have potential to learn. I would recommend going into freight trucking at first as it will be less of a headache than car hauler trucking and you will gain the experience necessary to get you ready for the car transport business. You may ask why the car hauling business may be difficult sometimes? Well the short and simple answer is that you must be very responsible for unloading cars, any damage and it will cost you a lot.
How much drivers get paid for car hauler drivers?
First of all it is important to understand that drivers for car haulers and car hauler owner operators are different occupations and typically drivers work for car hauler owner operators or larger companies. All car transport trucking companies have a couple salary options. Most trucking companies pay by percentage or rate per mile. Local trucking jobs also offer hourly salary. Average rates per mile in auto hauler trucking is between $0.60 and $0.75 or 30% up to 40% from gross income.
How much can a car hauler owner operator make?
Now it is important to remember that car hauler owner operator are different from drivers and can make much more on average depending on how much you work. So the question is how much exactly can you make? This is a good question and it all really depends on how much time you put into your job and the work you are willing to do. Who wants to work hard ? Nobody-LOL ☺ . I can give you an idea of how much brokers pay per car or a full load of cars. If you are planning on driving a 100 mile radius around your location, car hauler brokers pay between $50 up-to $150 per car. If you choose to drive further distances such as all around the Midwest, auto hauler brokers pay between $125 up-to $400. Honestly it all depends on where you go and what kind of cars you are going to haul. If you decide to take trips over the road you can make a lot of money! Car Transport Brokers pay between $600 up-to $2000 per vehicle however like i mentioned before, it all depends on what kind of vehicle you haul and to what location! As you know, taking a single car from multiple places takes a lot of time. Car transport rates for a full load in the Midwest region pay between $2 and $4 per mile. You must remember that there is high competition for hauling a good quality full load and these types of loads typically go quick! One reason for why the car hauler trucking business is exceptionally better than other freight trucking by a mile is because most car hauler brokers customers pay around 90% upon delivery on average. Forms of payment can be through pickup Cash, Check, Direct Deposit or others. The potential that stems from car hauler trucking can really build your capital for your business in the long run.
What car hauler equipment I recommend!
As I mentioned in the previous section it is up to you to decide on whether is is more beneficial to become a driver for a car hauling company or becoming an owner operator yourself. I will now also discuss the important equipment needed for any job in the car transport business and the basics surrounding it. I would personally invest in the biggest 9-10 car hauler instead of a 3 car hauler as it is ultimately more efficient and makes more money. You MUST remember that a CDL is needed for this and hauling cars without one is illegal most of the time. I want to look out for you and need to remind you that the fines can be very large if caught doing this. However, If you are a non CDL holder I can recommend driving with a 2 car enclosed hauler. It will ultimately generate the same amount of money as a 3 car hauler. You may ask why? This is because enclosed car transport rates always pay almost twice as open haulers as they typically carry nicer and more luxury automobiles. In the end if you are a CDL driver I would recommend hauling as many cars as possible whether that is 9-12 as that will generate the most income in the long run. Remember it is not easy work but in the end will pay off.
Where and how do I start ?
Well this is for sure an important process of launching your career. I will describe as much as I can and hopefully inspire you to pursue your dreams in the car hauling industry. First you need to open your company name and get an INC or a LLC . I would recommend reading online how they are different. Before you open your company make sure that you choose a unique name that is relevant to you and stands out. I would recommend something like John Auto Transport or John Car Transport. If you haul motorcycles only then it should be something like “John Motorcycle Transport”. Why is it so important to have these keywords such as “auto transport or car transport”? This is because customers and clients will search for these keywords first when finding the best car hauling transport business for them and if your name is tagged along then they will know who to call! After you incorporate your company you must obtain your DOT and MC license. Please visit the FMCSA website for more instructions. Your DOT and MC number will issue once you purchase liability and cargo insurance, this process will take up to usually around 3 months. Once you have your license you need to register to the car transport load board where you can find many different types of cars and vehicles to haul. I personally believe that the best auto transport load board right now in this market is “Central Dispatch” as most of the biggest brokers and dealers use that. Unfortunately It’s not free but it is worth the money as it will give you the best exposure to many different vehicles to hold and clients that need them. Nowadays without central dispatch there would be no business or at least it would be very limited. I love central dispatch and I continue to use it. If you have any other questions please feel free to email me.