Transportation Startup Do's & Don'ts

Are you launching a transportation business but aren't sure how the enterprise will hold up in the uncertain economy of 2023? The wisest way to proceed is to follow a few basic do's and don'ts that have served the industry for several years, in good times and bad. Everything beings with the selection of vehicles. Get that step right, and much else can fall into place automatically. However, it's still critical to focus on other core factors.

Learn about the capabilities of modern GPS systems. Explore the option of making large fuel purchases and storing them on-site or in a rented tank. Establish a protocol for hiring new drivers, be careful to screen each one, and allow enough time for in-depth training. Finally, be diligent about customer follow-up so that your first wave of clients become long-term patrons. Here are more details about what to do and what not to do when starting a transport business.

Choose Vehicles Carefully

Vehicles are the lifeblood of even the smallest transport business, which is why it's imperative to select each one with care and attention. Owners who aim to build up a high-quality fleet and manage it on a day-to-day basis should establish a list of buying criteria for cars, trucks, vans, buses, and other vehicles they intend to acquire. Price should be only one of the many categories on such lists, as quality and cost are not always closely associated. 

To meet the needs of your business, customize the criteria list. Include features like safety ratings, fuel efficiency, dependability, the cost to operate, and whatever else suits your company's goals with respect to cost and utility. Spend time choosing each asset and be sure to use a lengthy test drive to assess all relevant features and components. As a cleaner alternative, electric vehicles tend to be better for the environment and are important for sustainable transportation with high fuel efficiency and can be a cost-effective way to reduce operating expenses across your fleet. You can review a guide that explains how electric vehicles are better for the environment to help with your decision.

Use GPS for Efficient Tracking

Whether you own one or one hundred vehicles, use a low-cost GPS tracking system to oversee the fleet. Location tracking technology has come down in price; at the same time, it has advanced in complexity and usefulness. Today's GPS software and devices offer pinpoint accuracy in locational capability and deliver solid benefits to managers who need to know where their fleet vehicles are 24/7.

Consider Fuel Storage

With the cost of maintaining diesel engines as well as purchasing diesel fuel near an all-time high, owners in the transport sector are seeking creative solutions to the price crunch. One remedy that makes sense for some is to store large amounts of fuel in tanks to avoid paying ramped up prices in the future. Another advantage of having access to storage capacity is that sellers are usually willing to offer volume discounts. That way, you save a bit on the front end as well.

Be Strict When Hiring Drivers

When bringing drivers on board, don't leave anything to chance. Make sure each one receives comprehensive training from a licensed academy and then undergoes your company's orientation and testing as well. If you can afford to pay for driver training in exchange for a work commitment, consider that route to gain access to skilled operators who are incentivized to remain with your company for at least a year or two.