Starting own Authority-Need help

This is how my buddies who have been doing it a long time described it, but they're only-online now. If it'd work in one day I'd drive to Pierre but I asked both government and some local companies that help people start authority/handle plates/IFTA and they all said you can't do the paperwork in person anymore.

They have all my documents now so when it comes time to renew plates it'll be fast but still, stupid process

 

Idk. Everyone has different ideas on this. I started out with very little money in the bank and it worked for years. I was running local tho, and had a lot of friends that helped me out when I was down and I in turn tried to help them when I could. I did all my own maintenance myself. Had a friend who let me use his shop. It just all depends what you have access too. Probably most important how good of a truck you get.

 

Sounds great go for it

 

I'd say North of $130k minimum is needed and in these times who knows. If I entered the industry now with a new Authority i would make be sure I had a couple good contracts on both ends including the reload. A New Authority has to wait for the 1st 6 months because at lot decent brokers (if operating the spot market) wants to work with newbies especially during the current chaos in the business now. The challenges are there especially with tarrifs. A few monthly breakdowns, or losses on reloads or even taking a chance on a broker asking you to stick it out for another day but the shipper cancels on the load and it falls through after a few times will eat up your capital (cash flow) of $125k faster then the cookie monster. Now factor in those carriers who can absorb the lost on the reloads just to get home running for a $1 cpm while your operating cost limits you to $1.78 cpm. It will eat away once the pattern starts forming and your faith that things will change for the better keeps you going. A good credit score is suggested because its a a good temporary cushion until the payment interest kicks in after you fall through on a few payments. I personally think, its still a bad time to enter the industry and hopes of it returning to stable numbers month over month still doesn't present it self until after mid 2026. Inflation still is here so 2026 will show us when's the best time to Operator. I know many with paid off trucks sitting because for them its cheaper than operating right now. For us who can't afford that just keep eating away at it daily.

 

This is exactly how I started as an O/O back in 1984, I had been driving for an O/O before then for around 4 years. I was in his shop every weekend learning the maintenance part and learned a lot. I started with very little money which I actually borrowed and had to keep 5k in the bank account(borrowed also)to show/prove to the P.U.C. that I had sufficient funds to stay afloat. TODAY, it’s not doable.

 

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We went through this not too long ago, so I get where you’re coming from. The hardest part isn’t filing the authority itself — it’s cash flow, insurance surprises, and understanding how brokers really treat new MCs the first 90–180 days.

A couple things that helped us early on:
• Overestimating startup cash (insurance + plates + random compliance stuff adds up fast)
• Having a plan for the “new authority penalty” on rates
• Knowing which loads/brokers to avoid early so you don’t get burned

If you’re still in research mode, I bookmarked a solid owner-operator guide that lays all of this out pretty clearly (numbers, timelines, mistakes to avoid). It helped us sanity-check our plan before pulling the trigger: Owner Operator Success Guide 2026 – Trucking Playbook

Happy to answer specific questions too if you’ve got them — starting authority is doable, just way easier when you know where the traps are.

 

I was/am considering obtaining my own authority as well, and I have found this youtube channel to be INCREDIBLY helpful and knowledgeable in pursuit of that goal. Her name is Miranda and the channel is "Trucking Made Successful". She has dozens of videos that break down every step of the process, the pros and cons, things to consider etc. She has a video about how to 'cook' your new authority for way less in insurance costs by using a pickup truck as the insured vehicle while you get all the IFTA/IRP/etc set up and this gives your DOT/MC some time to age which will help with brokers. Take a look, spend a few hours watching and see if it helps you. Here is a great video that got me started. Good luck!

 

The 1st thing I would ask, is do you have steady work lined up?