Running a trucking business is a tough job. You’re always on the road, working hard to get your deliveries done. Yet there are so many other things you have to worry about in order to keep your business running smoothly and economically. There’s fuel, insurance, and other costs of doing business that can eat up your profits if you’re not careful. That’s why it pays to be smart about how you run your trucking business—and there are lots of ways that can save money while still providing an excellent service for customers.
Know Your Fleet
Knowing your fleet is a crucial step in reducing costs. You should know how many trucks you have, how many miles they drive, which trucks are out of service and which drivers are on duty or off duty. This information will help you determine if there are any savings opportunities that can be realized by adjusting driver rotations or purchasing new equipment.
Get The Right Insurance
Insurance is a big cost for trucking companies, and it’s important to get the right coverage for your business, says Dayne Yeager . Liability insurance is mandatory in most states, but cargo insurance is optional and can be beneficial if you have valuable cargo or high-risk drivers (such as those with criminal records).
If you’re not sure how much coverage to buy, consider these factors:
• The value of your fleet and cargo
• The number of miles driven by each truck annually (this determines how much money an accident could cost)
• Whether or not you have any employees on board who are not related to driving
Drive Efficiently
Saving money on fuel is one of the best ways to cut costs for your trucking company. There are several ways to do this, but one of the most effective is by driving efficiently. You can save money by avoiding idling, excessive speed, hard braking and acceleration and properly maintaining your vehicle.
To help you drive more efficiently while saving on fuel costs:
• Avoid idling when possible. Idling wastes gas because it uses more fuel than running at a steady speed (about 15 percent more). If there’s a long line at the gas station or traffic jam ahead of you that won’t move anytime soon, turn off the engine instead of keeping it idling all day long Click here Dayne Yeager!
