Starting a hotshot trucking business takes some work, but you can make it easier. You can quickly get your company off the ground with the correct information and planning. This guide will cover how to begin and which things to consider when starting a hotshot trucking business.
What Is a Hotshot Trucking Business?
A hotshot trucking business is a type of trucking company that specializes in hauling small but critical loads. These loads can range from construction materials to consumer goods and are often transported using super-duty pickups.
Typically operated by small businesses, hotshot trucking is known for the ability to move quickly. Hotshot drivers can get through traffic faster than other types of truck drivers because they can maneuver through tight spaces and busy roads more efficiently.
Advantages of Starting a Hotshot Business
If you’re considering starting a hotshot business, you’re in luck. Hotshotting is a great way to make money and gain valuable experience in the industry. This fast-growing, high-profit sector opens the door for you to:
- Allow your commercial driver’s license (CDL) to mature: Starting a hotshot trucking business can be an excellent way to earn money and gain CDL experience without making large six-figure purchases. Many people start as hotshots and move on to larger payloads, making this business a great way to get your feet wet before expanding or going into the industry full-time.
- Enjoy a low barrier and cost of entry: Starting a trucking business means you can enjoy the same benefits as other large trucking companies without worrying about the associated high costs of operating more intensive vehicles, like semi trucks. Unlike those who start by operating semi trucks, you can quickly get your local permits, insurance and other business requirements.
- Gain experience hauling larger freight: When you start your own business, it’s important to work on getting your name out there and building up a client base. This groundwork lets you learn how different trucks handle different loads, what routes are best for certain types of deliveries and how to get in touch with clients when things go wrong.
- Reach harder-to-access locations: As a trucking hotshot, you can reach harder-to-access places that larger trucks can’t go. While your semi truck competitors remain stuck in traffic jams, you’ll be zipping through back roads to deliver your goods.
- Handle specialized payloads: Hotshot businesses usually enjoy fewer constraints on the types of jobs they can take, allowing them to accept more complicated or sensitive jobs than other companies while receiving coveted hotshot rates.
- Reduce your carbon footprint: Hotshots are a more environmentally friendly way to transport goods in bulk, as they produce fewer emissions than traditional semi trucks. For this reason, companies looking to reduce their carbon footprint without sacrificing performance or reliability often turn to hotshots.
- Have a flexible schedule: One of the most significant advantages of a hotshot startup is that it gives you much more flexibility. As an independent contractor, you can work whenever and wherever you want without reporting to a boss or meeting with co-workers at a specific time every day.
Disadvantages of Starting a Hotshot Business
Starting a hotshot business is no small feat. You have to manage your time, personnel and equipment to ensure you can deliver on your promises to clients. With this job, you’ll also be:
- Searching for jobs constantly: Starting a hotshot business involves searching for jobs constantly. These frequent searches mean you won’t have any guaranteed work and will have to rely on the jobs you find.
- Taking responsibility for all costs: You’ll be responsible for all costs associated with starting your business, including equipment and insurance. This lack of support can be problematic if you don’t have time or access to capital or an extensive network of investors.
- Navigating potential competition: Some areas might have competition that makes finding a load more complex or requires you to lower your prices. However, other regions might not have any competition at all.
- Relocating to find more success: If the competition is too fierce where you live, relocating to another area might be necessary. Moving or operating farther away from your home base can be costly and time-consuming, so look into your competitors before making final decisions about where you want to set up shop.
- Performing more maintenance: When owning a hotshot business, you’ll have to perform more maintenance on your vehicles, including oil changes and repairs, to ensure your truck remains safe for the road.
Requirements to Become a Hotshot Trucker
In addition to having the right mindset, potential hotshots must meet several qualifications before they can start hotshot trucking:
- Valid license: To become a hotshot trucker, you must have a valid license. You will need either a CDL or driver’s license, depending on what vehicle you’ll operate.
- Medical card: To get your medical card, you must go to the Department of Transportation (DOT) and have a physical examination. If you pass the test, you will be issued a certified card allowing you to drive commercially.
- Insurance: When obtaining commercial driving insurance, you must have your CDL and meet the minimum requirements for driving experience and driving record. Once you satisfy these, you can apply for commercial driving insurance through your chosen insurance company.
- Operating authority: Before you hit the road, you’ll need a valid operating authority. If you’ve never had one, you’ll need to get a USDOT number and an MC number from the Federal Motor Carrier Safety Administration (FMCSA).
- Business registration: Before you begin, request a federal tax ID from the Internal Revenue Service (IRS) and open a business bank account. This registration process lets you track your income and expenses, which is crucial for filing taxes.
- Loads: It can be challenging to find loads, but it’s a critical part of being a successful truck driver.
- Equipment: The equipment needed to become a hotshot trucker varies, depending on the job. However, you will need the basics to perform your tasks correctly.
Hotshot Equipment
The following items are critical for anyone who wants to run a successful hotshot trucking startup:
1. Pickup Truck
A hotshot trucker needs a reliable vehicle that can handle hotshot routes and regular driving routes and deliver time-sensitive deliveries. A hotshot trucker may also need to move multiple loads in short periods. Ensure your pickup truck will meet these requirements by purchasing one with a long track record of reliability and cost-effective maintenance.
2. Trailer
A flatbed trailer is excellent for hauling larger loads safely. It keeps the weight of your cargo low and spread out on a flat surface, which helps prevent damage to the cargo or vehicle. In addition to offering more stability, this type of trailer also prevents damage from shifting loads during transit, which can significantly hinder delivery success.
You have many options for trailers and should choose one that suits your needs. Popular types include:
- Bumper pull: A bumper pull trailer is a superb option for those looking for a trailer that is easy to use and can be pulled by a smaller vehicle. Featuring lower maximum towing capacities than gooseneck trailers due to their lightweight design and small size, these popular trailer models take up less space on the road when parked and towed.
- Gooseneck: The gooseneck trailer is a popular choice among truck owners as it features a “neck” connecting to the ball hitch. This trailer style has a tight turn radius and can haul heavier loads than other trailers. Although the gooseneck is more advanced than the bumper pull model, truck owners with limited experience can still use it.
- Tilt deck: A tilt deck trailer is a handy tool for anyone who needs to load and move heavy cargo. This trailer tilts up and down for easier loading and unloading, making it more manageable to onboard heavy cargo than relying on ramps.
- Dovetail: The dovetail trailer’s low bed height prevents wheeled and low-clearance cargo from bottoming out, so you can haul longer items like cars without concern about any damage.
3. Straps and Chains
Straps and chains are an essential part of your trucking equipment. They keep your payloads secure and undamaged while helping maintain road safety. Aim for straps with ratchets and load binders to make strapping easier. These tools enable you to secure your cargo without using a lot of force or worrying about harming the product.
4. Tarps
Tarps help keep your cargo safe from the elements. Tarps are available in various sizes and can be tied down to keep them secure and prevent them from moving around. To ensure longevity, select tarps featuring puncture-resistant and durable fabrics.
5. Appropriate Attire
If you want to be taken seriously by your clients, you need to dress the part — but that doesn’t mean you have to dress up.
When meeting with clients or visiting a construction site, ensure your clothing is appropriate for the situation. For example, if you’re spending time on a construction site or warehouse floor with sharp objects or heavy machinery, wear protective equipment like hard hats, safety vests and goggles.
Finding Hotshot Trucking Loads
Many factors go into finding the right trucking load. You want to make sure that you get paid what you deserve, the job will be worthwhile and you can find consistent work for a sustainable income. Three common methods of finding hotshot trucking loads include:
- Browse free load boards: Load boards are a great place to find trucking jobs in your area and are available in free and paid versions. Search for jobs by date, distance and cargo type to find loads that fit your needs.
- Connect with a freight broker: Freight brokers are experts at finding trucking loads for their clients and can help you find the right load for your company. Connect with a freight broker specializing in hotshot trucking loads or working with companies of your size.
- Network: One of the best ways to find trucking contracts is to network with shippers. If you can get on their radar, they’ll be happy to recommend you as a reliable partner when it’s time for them to hire a trucking company.
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