Getting Shippers when starting out

We hired a saleman to get us accounts.

Smartest thing we ever did.

Many new companies just go in and underbid.

That is half the problem with rates today.

A good saleman will pay his own way eventually..........

 

On the workmans comp,

it varies by state.

 

If it was that easy don't you think that ALL the carriers would do it? You pay them to drive, they are your employee. Quit trying to work the angles and be a businessman.

 

I don't need workmans comp either and my state doesn't require it to operate....however it is required per IRS auditor...i kept arguing with him for whole week in the end I ended up getting Workmans Comp.

 

I'm not trying to work angles. I just don't know which is why I ask. Wow!

 

I'm in California. Anyone knows what the requirement is off the top of their heads?

 

I don't see how the IRS could force ANY business to pay workers comp since that is a state issue, not a tax concern. It seems that the IRS wants to get into more and more of our business, whether it is related to taxes or not.

 

Google "Workers comp requirements for California." I tried to cut and paste the information, but it would not work.


According to what I read, if you have 1 employee you are required to have workers comp. If you are a proprietorship and are the only employee it is optional. I didn't take the time to check and see if an occupational accident could be used in lieu of workers comp.

 

Go do some market research first. Find out if there is a need for another owner operator in your target market. Figure out your target market first.

Figure out the legal requirements from the government agency that governs in your area. Asking at a virtual truck stop is not advisable as a definitive source.

Calculate your break even point. Calculate the total cost, and don't forget capital cost allowances which most small businesses and owner operators forget.

Determine what you can and can't do for the business yourself and then outsource the parts you are unable to, or unwilling to do. If you are good at sales, go do sales and hire a driver. If you are not comfortable in your sales skills hire somebody else. How are you going to invoice your customer on the road? What about making deposits into your bank and issuing payments to your vendors?

Bottom line is it sounds like you need to do a whole lot more research

 

A good broker can be a salesman for you too, and you only pay him if you take a load from him....but most brokers are keeping too much to themselves and the truck doesn't make enough money. I haven't thought about hiring a salesman. Seems like searching online for major shippers in specific markets would turn up some results. Then you could just call and get setup with them.