Make a switch and be your own boss – Know how to get your trucking authority

Are you looking for ways of starting off with your own trucking company? Are you simply tired of working under a nosey and ill-behaved boss? Do you like to make a small change and become your own boss? Would you like to participate in fostering interstate commerce? If the answer to all these questions is Yes, you need to own a trucking authority

Getting your personal authority is one of the biggest leaps you can take in your career and once you get it, you will be paid for conveying freight as an operator/owner. Nevertheless, it is believed that getting a trucking authority is downright daunting. Let’s take a look at the steps to take.

Step #1: Register the company in the state

Since you’ll be starting off with your own trucking company, the foremost step to take is to register the business within the state from where you want to conduct your business. If you still didn’t choose a business entity, you need to do that. The common types of entities are limited liability companies (LLC) and sole proprietorships. 

Step #2: Grab an EIN from the IRS

In case you choose to begin with an LLC, you’ll have to get an EIN that is issued by the Internal Revenue Service or the IRS. Without this, you won’t be able to operate the business. On the other hand, if you decide on a sole proprietorship, it isn’t a mandate to get an EIN. The reason why an EIN is important is that without it, you’ll have to run a business with your personal Social Security number. This increases the chances of personal and commercial fraud. 

Step #3: Pick a USDOT number

You must be aware of the fact that all the trucking companies need to register with the US Department of Transportation. This is the ID number of the company that offers all company details, including cargo, type of vehicle, compliance, and safety. These details are available for freight shippers and brokers to get access to when you’re conveying loads on behalf of them. Your USDOT number has to be refreshed either every 2 years or when the company details are changed or updated. 

Step #4: File a BOC-3 and grab your insurance coverage

The government gives you just 20 days for completing this step. As per the requirements of FMCSA, you need an appointed process agent in every state, that will carry the power of serving you with paperwork. Having a BOC-3 shows that you have the right. Not only that, but you also need active insurance coverage to drive your truck and keep operating your trucking authority to stay active. When you wish to bring about any alterations to your name, phone number, or address, you have to update your BOC-3 along with the insurance policy. This will ensure your trucking company doesn’t enter the inactive list. 

Before you start off with your own trucking company, you need to have every compliance in perfect order. Skipping even a single step will bar you from driving a truck and operating your company.