The trucking industry is one of the fastest growing companies in Africa and I would highly recommend this company to anyone with up to N4 million to invest. This is a company that guarantees you at least N 400,000 per month, excluding costs.
Lots of people are doing more than this month. I recently read an article written by someone in the company who claims to make at least N 100,000 per month just from transportation. However, in order to make money you need to be armed with a few tips for success.
The first piece of advice I would like to give you is that you should see yourself as more than just a contractor for your clients. You should see yourself as a partner who is interested in their success and therefore you should always strive to add value to your business. Many contractors move their customers’ shipments carelessly, causing delays and losses.
If you teach yourself and your employees to believe that you are a partner of your customers and that you are interested in their success, it will affect the quality of the services you provide them and you will be able to retain and gain more customers. Here are ten tips to help you run your shipping business successfully:
Top 10 Tips for Trucking Success
1. Avoid debt -. Don’t start this business with too much debt as it can ruin your business at the end of the day. Freight transportation is capital intensive and as a result many people are in debt in order to raise capital for a business. If you need to borrow money to start this business, make sure you have a secured contract handy and you are confident that you can start working on paying off your debts immediately.
Don’t just go to the bank for loans without detailed planning and feasibility studies. Additionally, if you are borrowing funds, you need to have the correct financial forecast, your forecast should include the interest you will be paying on the loans you have purchased, and you should be able to ensure that you can earn enough to pay off your loan. loan and your interests. during the term of the loan. I also always advise people to consider buying in installments as they are more flexible than bank loans. You should also consider long-term savings for businesses as they are generally more secure than any debt financing.
2. Manage and carefully monitor your business -: too many people to go wrong in this business. From bad driver to unscrupulous mechanics and agents special groups who stand on the road to sell tickets. Therefore, you have to keep an eye on this activity and keep an eye on what is going on.
First of all, you need to have a detailed business plan to be your first governance mechanism. Then you have to use rigorous budgeting methods; you need to be able to forecast your income and expenses and establish a monthly business budget that you adhere to strictly. Your business and financial management skills also need to be at their peak if you want to make money in this business.
3. Promote your business -: You should not miss a portion of your income to promote your business. You can always find profitable ways to advertise and market your business.
4. Join associations and unions -. You can also increase your chances of succeeding in this business by joining unions and making connections with others in the business. You can learn a lot from the people who have been in business before you, and understand how they overcame some of the challenges you might face. Also, you might find that some of them have jobs they can’t handle on their own and will need other entrepreneurs to partner with them.
5. Install security and tracking features in your vehicles … One of the main challenges entrepreneurs face is the lack of reliable drivers. Installing safety devices in your vehicles can help you check your drivers’ surplus and reduce recklessness. With the right security and tracking device, you can monitor fuel consumption, prevent theft, know the routes and the driver’s location at a specific time, follow speed limits and prevent car theft.
6. Hire professional drivers … Another tip for success is that you need to hire drivers who are properly trained and licensed to drive large vehicles. Also, you don’t have to put your drivers on the payroll, but on a per-trip basis, so what they earn depends on how serious they are in their job.
7. Motivate your drivers -. Pilots are very important to your success in this business. Drivers can make you feel good or spoil you, and you need to be careful about how you treat your drivers. A little motivation here and there will certainly go a long way. Always reward them for good performance, such as crash-free recordings, breaking traffic rules, and following company rules and regulations. On the other hand, do not hesitate to punish bad behavior and recklessness.
8. Take out insurance -: This activity, although profitable, is very risky. There is a risk of fire, theft and damage. A lot can go wrong, so if you are to remain calm and confident while running this business, you need to be insured with your insurance company.
9. Buy more vehicles … You need to acquire good vehicles first and then continue to increase the number of vehicles in your fleet as your business grows. You can still allocate money from your bottom line on a regular basis and you will have more vehicles in your fleet in no time.
10. Keep track of your expenses -: Finally, you need to track your expenses. You need to know how much each job is earning, which means for each trip you need to know how much you have left after spending. This is called the cost of activities.