How to finance your trucking business
A lot of people don’t have the money to fund their startup trucking business, and as we all know, money doesn’t grow on trees. But you know for yourself that you really want to make it happen because almost every business depends on the trucking industry to move commodities across the country, so it’s to your advantage to cater to the steady flow demand for trucking services.
In order to position your business in the industry, you’ll need to have enough capital to carry on a fleet of trucks and drivers, and at the same time keep your logistics programs up to date. We know that this is not an easy task as there are a lot of things to consider for you to succeed in the commercial trucking business.
So we have compiled this list to give you an insight on how to acquire funds to finance your needs in starting your own trucking company.
1. Tap into your savings
Tapping into your savings account is the easiest way to gain access to funds without having to pay for interest. You may not agree with using your own savings but I want to point things out. First, to be a successful entrepreneur you need to learn the skills of saving money. If you don’t have any savings yet, you should at least wait a few months and make it a habit of saving as much money as you can, not only because of giving your new company a source of capital but it will help you practice some habits that will help you become successful. It’s really a good idea to have cash on hand because you never know you might have an unexpected expense that will come up. So always have money set aside in case of emergencies.
2. Sell Stuff
Sell something unwanted or the things that you don’t need anymore. We all have possessions that maybe we don’t really use or might not need anymore. It’s better to sell them rather than waiting for those things to get damaged and rotten. Use the money to fund your business that will eventually give you a better life. It could be your gaming console collections or a car you have or maybe you have a luxurious vehicle that you don’t really need. You may have a lot of possible money in stuff that is just sitting in the corner collecting dust. They could be of use for a greater cause. Have a garage sale.
3. Get a Partner
If you do this, you are giving up the status of ownership. If your partner is only giving out a one-time loan and they don’t contribute after that, this should be your last option. Try to get funding from somewhere else because you will lose a lot just for a loan. If you decide to go in this direction under these circumstances, you should at least limit the amount of ownership your partner gets.
4. Ask your friends and family for Loans
This is an awkward choice to finance your business. It may sound so simple but this is a common reason for breaking relationships. When asking for friends or family be very careful, be upfront with what you will use the money for. Document everything, put the terms and agreement of the loan in writing so you will not be questioned in the future.
5. Explore Financing Solution
Choosing a commercial trucking business loan instead of a traditional loan will give you a variety of financing options and flexibility with your payment terms and agreements to cater to your business needs. Working with SALS CAPITAL, a financing firm that helps you get funded and obtain the right loan will provide you a better deal with a 0% interest rate for lines of credit and rates as low as 5-6% for term loans up to around 500k.
If you’re interested to know how much you can qualify and get a more customized option to best help your business thrive. Visit their website and contact 332-334-1077 to get the fund you need today.