Starting a business towing?

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Usmc

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Question just bought my 2022 ram big horn a few months ago. I retired several months ago I have a 6 x 10 utility trailer and was thinking about starting my own part-time hauling business for example motorcycles and ATVs lawnmowers etc. just wondering if anyone’s done this and any advice you could give?
Thanks
 

Tray Burge

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My cousin did the same thing and bought a new Ford 350 for the job.
Now he's driving his ass off for a company just to make ends meat, he lost his ass on the "hot-shot" venture.
With diesel what it is now it's really bad timing.
 

gofishn

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Start shopping for a Commercial Insurance Policy.
Don't think, for a second, that your current insurance will pay out, if you get an accident, even one that ain't even your fault but the other 'At Fault' driver has no insurance, if you are engaged in a commercial money making venture.

Can you see it?
Some Illegal Scuzball slams into your trailer. You're hauling a brand new Motorcycle.
They got no License & no Insurance and your customer wants a new Bike.
Who do you think everyone is going to sue?
Some Illegal, that go back to whatever Helllhole he crawed away from, or your sorry ****?

Create an LLC, in an attempt to limit your liability.

By the longest, highest mileage Service Contract you can and , for the stuff that will not covered under warranty, find a great, cheap Mechanic.
have another vehicle to drive, when yours is in the shop.
 
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GTyankee

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is the 6' wide without the fenders ?
is the 10' long without the tongue ?

I had a utility trailer that was 8' wide, with fenders & 13' long with the tongue

mine had a single axle, but it was not light duty & it had Buddy Bearing Axle Hubs

Being as i was going to be hauling Harleys & at least once, i hauled a Datsun, i had a 3/8" X 6" X 10' length of steel down the center of the trailer, under the 3/4" plywood

When i had the trailer built, i had 2 ramps built for it, which was a mistake, because i had a trike, actually 2, a VW & Harley

If i had another trailer, i would have a trailer ramp gate

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JJEH

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Keep it both small and simple, your business as well as your headaches. But do get a commercial insurance as mentioned above.
 

Zoe Saldana

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Question just bought my 2022 ram big horn a few months ago. I retired several months ago I have a 6 x 10 utility trailer and was thinking about starting my own part-time hauling business for example motorcycles and ATVs lawnmowers etc. just wondering if anyone’s done this and any advice you could give?
Thanks

Talk with potential customers before doing anything.

The size you are taking about can be done by almost anyone and the profit margin would very small.

I met a guy who had a diesel 2500 and towed RVs and did well BUT with the higher interest rates RVs probably aren't selling too well.
 

tron67j

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You will also need liability insurance to protect yourself, insurance to cover the items you move, worker's comp should be considered, disability insurance as well. Get a good attorney who specializes in business work and both retain and use for contract development that covers everything from condition of transported item to who is responsible for misrepresented terms. You never know when someone will have you move something that is not theirs, it can and does happen. If you move something that is not suited to your trailer and destroy their property they will have your business (kind of an exaggeration). I used to do deliveries for my own business and the items were their property that I delivered upon purchase, so have experience. Trust me, people can be a pain. I had someone all over me because I didn't call them but turns out they gave me wrong number and although I went to house 4 times during day they still demanded a refund. Another expected delivery to second floor with spiral staircase to replace an item actually put in during house build. Just saying you have to always be ready to accept being wrong in the eyes of your customers even though it is rare that it gets this bad.
 

GTyankee

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By the way, i sold my trailer, i never took out a business license.
When i moved motorcycles, the pay was not a fee, it was a contribution.

Now i don't pull anything, i either follow or lead semi trucks that can't move without a Permit .
I pay $7,000 a year in commercial insurance & most weeks i have to turn down jobs, because i am too busy.

I would never hire a second driver, let them go into business for themselves
 

Docwagon1776

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By the way, i sold my trailer, i never took out a business license.
When i moved motorcycles, the pay was not a fee, it was a contribution.
Calling it a 'contribution' would not have helped you in the slightest had you been sued, courts aren't that stupid and liability would still attach when you accepted the shipment.

Assuming you have assets, meaning you aren't judgement proof because you don't have a pot to **** in, that's assuming a fairly substantial risk for likely minimal reward. Forming a company will also allow you greater protection under the Carmack amendment than an individual enjoys. So if you have things and like keeping your things, do it right vs relying on luck.
 

GTyankee

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The motorcycles were broke down on the highway or at someone home & needed to go to the shop.
8 out of 10 times, the owner rode with me in the truck.

All i owned was the truck & trailer, OHH & my trike
 

Docwagon1776

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The motorcycles were broke down on the highway or at someone home & needed to go to the shop.
8 out of 10 times, the owner rode with me in the truck.

All i owned was the truck & trailer, OHH & my trike

All irrelevant for assumption of liability, other than you are now also liable for the passenger.
 

Dean2

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Here in Alberta there is a LOT more money in being a Pilot Car than there is in delivering anything you can haul with a pickup. However, there are way more pickups here than most places so nearly everybody knows someone that has one.

The advice aobut incorporating, plus commercial insurance, workers compensation coverage etc is excellent advice.
 

williscreg

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Here are the steps i would make:
  1. Research your market
  2. Define your services
  3. Set competitive pricing
  4. Obtain necessary licenses and insurance
  5. Create a marketing plan
  6. Manage all customer complaints with the microsoft teams phone number
  7. Enjoy the results of your hard work
 
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68PowerWagon

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My guess is he got scared out of it. And for good reason! There is waaay more to it than most people realize. The only Hot Shot drivers that are doing well are either hooked up with a great broker or have a great customer base to start with.
 

2003F350

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Since he never replied I'd agree with the above, that he got scared out of it.

I looked into it years ago, potentially hauling other people's RVs after staying at several campgrounds and watching one truck pull in 2-5 different campers. He was a member of that family but I started to notice a LOT of people have an RV but no tow vehicle. So I started a mobile RV repair, bought a couple campers I could rent out, and looked at pulling others.

After talking to our local weigh master and reading through the laws, there's a LOT that most people don't know. By pulling someone else's RV, you need commercial insurance, DOT numbers, you now fall under ALL DOT regulations (meaning truck inspections, drivers need medical cards, EVERYTHING), and just...so much else. It ended up not being worth it for us so we dropped that part of the business. Hauling our own rental RVs for the business, however, since we weren't carrying a customer's property, meant we essentially were treated like a lawn care company - we didn't fall under DOT regs. Still needed the commercial insurance though. At least in my state.

It's a hard market to get into, hauling things for others, and there's a LOT of things to consider. Overall I'd say it isn't worth it for most people.
 

Dean2

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This forum seems to have an outsized number of these one post wonders. May have to put in a new rule, "You have to post 5 helpful posts BEFORE you can ask for help yourself". Just kidding!!!:biggun:, it would never work. However, I answer a lot less of these first posts asking for help, than I used to when I first joined a couple of years ago.
 

turkeybird56

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My guess is he got scared out of it. And for good reason! There is waaay more to it than most people realize. The only Hot Shot drivers that are doing well are either hooked up with a great broker or have a great customer base to start with.
If the one time poster is smart, be good. Just FYI: US Tax laws changing this year like Veemo, CashApp and others. I only just caught it, but something about payments for sold items/services there used to be a $20,000 IRS umbrella. That has now been reduced to $600, and that is the profit for the Year. Anything above that invokes a 1099K and all the heck goes with it. Just FYI. NE body doing on line Bizness ref sales of goods may wanna pay attention: Just couple snipets below:


 

RamDiver

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If the one time poster is smart, be good. Just FYI: US Tax laws changing this year like Veemo, CashApp and others. I only just caught it, but something about payments for sold items/services there used to be a $20,000 IRS umbrella. That has now been reduced to $600, and that is the profit for the Year. Anything above that invokes a 1099K and all the heck goes with it. Just FYI. NE body doing on line Bizness ref sales of goods may wanna pay attention: Just couple snipets below:



Maybe, Biden has been speaking with Trudy too often.

$20K to $600 is a ridiculous cash grab by the IRS.
More like what we expect from our CRA.

I believe Canadians are still allowed to conduct personal sales up to $10K without extorsion from the CRA.

.
 

turkeybird56

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Maybe, Biden has been speaking with Trudy too often.

$20K to $600 is a ridiculous cash grab by the IRS.
More like what we expect from our CRA.

I believe Canadians are still allowed to conduct personal sales up to $10K without extorsion from the CRA.

.
I just do not know. There were a couple of references to several Congress persons trying to get it back to 10K> But considering the US Govt Legislative Branch is in F-UBAR mode right now, who knows. Cannot get any more political, against Forum rules. Just wanted to put that info out there as there are a lot of folks that have biznesses and such and they may wanna check it out and do their due diligence, just a saying.
 
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