The United States of America provides citizens with ample business opportunities. This applies not only to Americans themselves, but also to immigrants. The U.S. has 50 states, one district and five other territories. In any of these places, you can open a cargo business.
Some states offer businessmen great advantages. But let’s say right away that it is useless to look for offshore zones in the United States. All entrepreneurs are required to pay income tax established by the federal government. There are no exceptions for anyone. Only the methods by which taxes of individuals and companies are calculated differ.
Advantages of starting a business in Nevada
In some states including Nevada, local income tax is not withdrawn. But can we say on this basis that in this state it is more profitable to open a cargo business?
In addition to tax incentives, other factors influence the choice of state. One of the main ones is the place of residence. It is most convenient to open a business in your home state. Non-residents in this case are in a more favourable situation. A beginner can choose the state that provides the most benefits.
How is Nevada good for starting a trucking business? In the well-known rating of the independent organization Tax Foundation, the state has held in recent years places in the top ten. Nevada does not collect income and corporate taxes.
The state’s rating was pretty much spoiled by some companies that in 2019 were caught in fraudulent activities. Otherwise, Nevada is one of the most promising regions in the United States for starting a cargo business.
How to start
For such a serious project as the delivery of goods, you need to be attentive. In this case, even small things can play a big role. Follow a few steps to make the business successful.
- Create a business plan
Many novice logisticians have the feeling that in cargo transportation large companies dominate everywhere, and there is no opportunity for competition. In fact, more than 90% of carriers have fewer than six trucks in their composition. So feel free to go forward, but work with your head. You will definitely lose if you do not analyse the market and do not draw the right conclusions.
Your business plan should include the following points:
- What trucks and equipment to buy or rent;
- Where your fleet will be located;
- How and where to find goods;
- Who to hire;
- Determine the pricing parameters in the business;
- Study competitors, take advantage of their weaknesses;
- Identify your target audience.
Your plan is your initial roadmap. You’ll make a lot of changes to it later.
- Prepare the legal documents
Your activity will become legal only after receiving all permits. Depending on the form of business and the state, the number of permits varies. Here is a list of documents:
- DOT and MC numbers.
- For the driver, a license for the transport of commercial goods (CDL).
- Cargo insurance.
- International Registration Plan (IRP) document.
- Fuel Tax (IFTA) sticker.
Obtaining all the documents will take a lot of time. Be prepared for it.
- Buy a truck
Many novice businessmen make the mistake of buying a cheap old car. It doesn’t take long and it fails. Repair and maintenance of old machines is too expensive. Experts recommend buying a car with a mileage of no more than 500,000 miles and not older than 5 years.
- Install GPS
The procedure will take only a few minutes, and the device will bring you a lot of benefits.
- Find drivers
You can start searching for drivers in advance, but you should not employ them before the completion of legal formalities. They won’t sit without money all this time. Find responsible drivers with experience.
Contact us to get the profession of a cargo dispatcher. After completing the courses, we help to employ graduates.
06/29/2022