Ready to Start your own Trucking Company?
So, you have finally made up your mind that now is the time to start your own trucking company? There are many reasons that could have led you to this point. It could be something as simple as you want to have more control over the freight that you transport, or it could be that you want to own a fleet of trucks and want to hire your own drivers.
Whatever the reason, here are some important things to consider.
Company Name
You may have always dreamed of having your own trucking company and naming it a certain name. Unfortunately, that name may already be associated with a registered business. Even though you may think your name is unique, you may be in for a surprise when you go to register the name of your business and find that it is already in use.
It is best to come up with at least 3 possible names when brainstorming for a name. You may want to consider alternative words that have a similar meaning. Also, you may want to consider using initials instead of full words.
For instance, you may have decided that you want to name your company "Orange Express Logistics". As a possible alternative, you may consider Orange Express Freight or Orange Express Transport. Lastly, you may have to consider using the initials OEL as the name of your company.
Company Structure
Although the name of your company is important, the structure of the company is equally important. In fact, the company structure may be even more significant. The company structure may be a determining factor as to how much of your personal assets are at risk if your company is sued.
There are many company structures in existence. However, possible structures for a trucking company may include: sole proprietorship, partnership, LLC, S-Corp and C-Corp. Each structure has advantages and disadvantages.
Sole Proprietorship is the simplest and least expensive way to structure a company. However, your personal assets are not protected.
S-Corps and C-Corps may be the most complex ways to structure your business but there are certain tax benefits to these types of company structures. You can also structure your company as a Limited Liability Company (LLC) whether the company has one owner or more owners. One great advantage of LLC formation is that it protects your personal assets.
In closing, there are several things to consider before you start your trucking company. Two important areas of consideration are the name of your company and the company structure.
How we can Help
USI Logistics Solutions can help. We can perform a name search to see if your potential company name is available. Not only can we help you decide which business structure is best for you, we can also file the business registration documents or articles of formation/incorporation in any state on your behalf.
Visit our website at www.usilogisticsgroup.com to see a list of services that we provide.
USI Logistics Solutions is a freight and factoring brokerage company based in Dallas, TX. We also offer business services and insurance products.