The idea of starting a trucking company may seem rosy and exciting at the beginning. While there are lots of potentials, getting the contracts may seem quite challenging if you’re not doing things right.
This article seeks to show you what you need to do right to get steady patronage. We trust you’d read through and implement every one of them.
Who Needs a Truck Contract?
Although we are more about the entrepreneurial side of things, trucking contracts aren’t restricted to entrepreneurs.
There needs to be a demand for trucking services as well as a supply. On the one hand are individuals, companies, and even governments needing logistic support or transport services. Truckers, on the other hand, can meet such demands.
The agreement entered into by the client(s) and the trucking service(s) translates to or reflects the contract.
Define Your Ideal Client
Not every client category will fit a trucking company. Certain clients are best suited for small trucking contracts. On the other hand are large clients such as major companies or governments. These usually outsource their logistics needs to independent trucking services.
In defining your ideal client, you want to look at important aspects of the job. Such may include finding out if such a client will need your services regularly.
Other things you’ll need want to know is if the pay is good, having a client who’s not so fixated on getting the cheapest rate and also clients who value service.
Understand the Type of Contracts
This is vital because it helps you avoid getting into complex and difficult contracts. There are three main types of trucking contracts. They include verbal agreement, paper or digital contracts as well as non-solicitation contracts.
It is quite weird to enter into a contract without signing papers don’t you think? Well, that is how this is. This type of trucking contract relies on a strong mutual understanding and respect. This way, agreements are entered into informally by the parties involved. Each is expected to honor their end of the deal.
Paper or Digital Contracts
This is a more elaborate type of trucking contract. Before the contract is sealed, parties involved must come to a mutual agreement. This is then signed which signifies the symbol of agreement. The specifics of such trucking contracts could be elaborate or maybe plain simple. In any case, it will still boil down to all parties honoring the terms of the agreement.
This type of trucking contract mostly involves a third party. Everyone involved is expected to stick to or focus on fulfilling their part of the deal. This could be anything from verbal to signed agreements. As a trucker, you are required by the agreement not to go around or access the shipper directly.
The Government is a Great Place to Source Trucking Contracts
Government departments and agencies use trucking services a lot. These contracts are lucrative too and will help small trucking businesses immensely.
One of the ways to get these contracts is by applying to these government services. The US Postal Service offers huge opportunities to companies like yours. However, you’ll need to find out if you qualify.
All you need to know can be found on its website. A detailed process on the steps to take as well as who to contact when applying for a trucking contract is all included.
Keep Existing Clients
Clients should never be taken for granted. A serious trucking company in search of contracts will seek to maintain its existing clients by making them happy. This is done while actively searching for new contracts.
The easiest way to keep existing clients satisfied is by making sure they are pleased with your services. This way, they retain your business by sustaining the trucking contract supply.
You should also know that satisfied clients are likely to recommend your trucking business to others. This is the bigger picture you should be looking at when doing business with existing clients.
Building your reputation as a reliable truck owner brand will increase your contracts significantly.
Sell Your Business To Shippers Directly
Shipping and trucking services always work together. While this is true, shippers may already have contracts with other trucking companies. However, this does not preclude the opportunity to do business with them. There is always the problem of services not being satisfactory.
As such, you’ll need to contact them directly and prove why entering into a contract with you is worth the stress.
Try to find out what incentives if any other trucking services offer. This way, you can improve and innovate on your services too. Having an edge over your competitors is likely to land you a steady supply of contracts.
Get Into Their Circle
One of the easiest ways to get trucking contracts is by immersing yourself into the activities of shippers. Industry groups provide an exciting avenue to interface with potential clients. This isn’t restricted to shippers alone but also other likely clients.
By so doing, you’re making the most of every opportunity to promote your trucking business.
Trying Becoming and Staying Friends With Everyone Within Your Circle
First, you need to network with people within the trucking community. This includes your potential clients. Building and keeping friendships is an effective way trucking contracts can be obtained.
At every opportunity, you get, try to advertise your business. This helps greatly in getting contracts even from people you don’t know who got to know about you from recommendations.
You’ve seen that getting trucking contracts isn’t an easy process at all. It requires all the work and dedication you can muster. One of these contracts begin to come in at a steady rate, you will be glad you put in the needed work.