How I Started a Box Truck Business Under $3500 Renting a Truck

hey youtube i'm gonna show y'all how to start up a box truck business for under 3 500 or less let's get into the video i've wanted a lot of things that i couldn't have couldn't have done a lot of things that i shouldn't have yeah yeah but i live with no regrets because i wouldn't be here so if you didn't know by now i started my box truck business renting a box truck i didn't purchase one i didn't finance i'm not leasing i'm actually renting and i'm renting with ryder um if you haven't seen uh my actually my first video i posted on youtube it was uh showing the me actually picking up the vehicle i kind of went over the numbers we'll go over numbers again today actually we're gonna deep dive into the numbers and actually show y'all the exact itemized breakdown of what it's going to cost for you to start your box truck business but i mean if you if you're buying a box truck you know you you know you might buy box truck for fifteen thousand 000 or even more i've heard of more if you're leasing you might be paying you know a certain price per month which may be a little less than renting but i mean you know you're still on the hook for maybe maintenance but in my business i don't have to worry about maintenance i pay a a a 10 cent per mile maintenance fee so that's just peace of mind for me but um but really guys let's jump into the numbers first thing you're going to see at the top here mentorship mentorship is very very important very very important to find the right mentor so i pay 250 dollars you know for a mentor or at least information so um mentorship is so important i mean um paying for knowledge and information is very important i've paid in other businesses thousand dollars for a webinar seminars you know how-to videos you know any information that you can get i mean because when you start from scratch you're gonna you know bump around try to figure it out i mean there's plenty of free information on youtube i mean you know the information i'm putting out hopefully you know can help some of y'all out there but i mean do not hesitate to pay for information you know i'm spending a little bit of money and to me 250 dollars was very very cheap for some very valuable information that helped me get a head start in this um box truck business or trucking business so um right off the rip guys i paid 250 for mentorship and it just pretty much was actually the amazon course um there was some how-to videos on how to get started and whatnot but um which i kind of already kind of figured that part out but very valuable information to me was the amazon information just how about how to hack around amazon and you know um do different things so the next thing the first thing i paid for was my fmcsa application fee right off the rip that's three hundred so um if you didn't know by now there's a 21 day vetting process when it comes to getting your fmca your motor carry authority there's no way around it give you 21 days to do everything that i'm gonna gonna go over which was next the blc3 so pretty much blc3 is just a you know it's a 25 fee to have uh agent process you know information about your motor carry authority or your pending motor carry authority so you know um i believe that's a one-time fee next thing was a ucr so ucr is pretty much letting the fmcsa know how many trucks that you're going to be operating or how many trucks you operated the previous year so i mean um it's pretty simple i mean the more trucks you got the the higher the you know ucr fee is going to be i think you know over a certain amount it actually goes up but if you're starting out with one truck like i did then it's going to be 60 so the next thing i paid for was insurance so i shopped around for insurance um and what i was trying to do in renting a box truck a lot of insurance companies told me it couldn't be done or the policy is really hard to do and a lot of them didn't want to do the policy progressive actually had a policy so when you're renting a boxer you're going to need any auto policy or a hired policy that pretty much allows you to for your insurance to cover anything that happens to any vehicle that you rent and most rental companies rider enterprise pinsky they're going to want you to have those policies i know at least with rider if you don't have um any auto policy then they actually have liability policy for themselves um that you can use you can use their policy but um i think it was like for me that you know every quote is going to be different but for me i think they was charging 25 a day for that to be quite honest i don't know if there are too many more better insurance companies out there than progressive i mean if if you was former military usaa is really great i've heard of um three by berkshire hathaway is another good one if you live in particular states i don't know the states definitely give them a call and find out if you're looking for insurance but definitely shop around i shopped around i probably called like 10 different insurance companies and you know um progressive just seemed like you know they was giving me the best rate and everybody else was telling me they couldn't do one thing or couldn't do that but uh so progressives who i went with as you notice my down payment is very cheap this is actually my this is my down payment right here one thousand twenty dollars and fifty four cents that was my down payment now what i'm actually going to be paying a month is actually around about 15 to 16 000 somewhere in that range so um there's a little hack that uh you know uh when you're getting insurance how to have a cheaper down payment and um pretty much you know um i'm gonna go ahead and let y'all know you know i don't have i'm not the primary on my insurance my dad is because he's older because they want to charge me a whole lot more i think they was charging me like you know in between three and five thousand down instead of only a thousand down so i put my dad as the primary because he has a good driving work i have a good driving record as well but he's older which makes a big difference so i mean it is what it is i'm only 32 so um you know i'm still young in the eyes of the insurance realm so they was trying to charge your boy a lot but um but yeah i put my dad on also um i didn't initially is that here's a big tip for you i didn't initially put the highest insurance appearance requirements that amazon needed or any other carrier brokers are going to need i put the minimum starting out then i went back and upped it so that's a good little tip for y'all nice little gym next thing i'm on the list is dlt medical cards so the reason i charge twice if y'all can see dlt medical card for myself and d.o.t medical card for my partner when i was doing my you know um starting this business i planned especially renting i wanted to make as much money as possible so i brought one of my good friends one of my best friends to do this business with me um and the goal was to be driving amazon at night and then doing some local runs during the day finding some dedicated routes or working out the load board so that way we're making double the money the truck is never stopping you know i'm running amazon usually from midnight to five or four or six o'clock in the morning whatever you know however long it takes to complete your load and then you know right around 8 9 10 you know in the morning or you know we find a load off the lower board and we're going to run that so you know that that is the plan or that was the plan starting out um just to double up on the money so that was the business expense was the dlt physical i mean was 80 for both of us now that price can go up i've seen that was the cheapest place i found here in atlanta you might find a cheaper place or maybe your area is more expensive um but that place uh you can do an appointment i was able to do a walk-in or you could do did a walk-in we actually did appointment but it was real smooth simple um probably took about an hour um and that was it so next thing was our llc annual registration so i've been i've had a couple llcs for over four years now which is also another um discount on my insurance so i have a llc from another business that i no longer am doing which was airbnb so i actually decided to use that business for my trucking business since it's already established and as i found out is has helped out a lot um but i just went ahead and found annual registration for it since it is the beginning of the year we're currently in february and annual registration actually due by march the 15th but um i definitely didn't want um the fmcsa looking at my business as it not even being up to date so i just went ahead and did my annual registration early just in case i didn't know next thing was the lower board so i mean amazon lowboy you don't pay a monthly fee for but i mean there's other great low boards out there truck stop was what we initially went with and dat dat gave us a free month though the next thing we bought was straps we got two straps um from amazon i got two low bars from amazon so the straps was 26 13. the low bars and was 76.20 so um though you definitely definitely going to need those um because i mean you got to secure the load if you know if you don't secure the load one you can be you know d.o.t can you know give you a hard time about that maybe even give you a citation for not securing your load and then i mean trust me i've had pallets fall over me multiple times and i'm learning how to get better at securing loads just because they stack side by side or you have a pallet stack you know next to a smaller pallet it might fall over on top of it if you don't secure that load so um you want to use your straps and use your low bars um definitely so you don't have any issues getting to your drop and having to restack your pellets as you have seen in previous videos or a previous video of mine um i actually bought some recording equipment i put that as a business expense you know bought some equipment to do some youtube videos you know and share my journey with y'all so you know that's definitely a business expense you know 7.99 and then 25 was two things but a phone holder car phone holder you know definitely want to be safe out there you know hands-free i guess across the nation now you know don't get a ticket having your phone in your hand so i bought one of those i bought a dash cam um i bought a dash cam just so you protect myself because i've been on the road for two weeks now and wow have i seen crazy people i seen crazy truckers riding around um i've seen people cut me off so if i get an accident it's my reverse their word you know and i want to be protected so i got a dash cam um it's a real cheap dash cam you know there's more expensive ones out there but i think this one will work for me if it doesn't work i'll let y'all know how it goes but i got a dash cam it's real cheap as y'all see it was just like 35 dollars all right next thing i bought was a pallet jack pallet jack 332 dollars and 61 cents so i'm at the end of this video i'm gonna show y'all the the numbers that i projected my projected expenses before i actually started the business it was it was just i put it like this i thought i was gonna get a pad jack for a lot cheaper than what i did 332 i was planning on going to use one for 150 but apparently they didn't have any used ones anymore and then even the used one had went up to 200 anyway so my pal jack ended up being three hundred dollars then there's tax 32 dollars you know uh that's like a 10 tax boy taxing you the next thing was rider truck rental so one thousand dollars and one thousand and seventy seven dollars so that was a deposit i had to put down for the rider truck rental so um the way it works with ryder i'm paying 4.25 a week 12 a day for physical damage because rider doesn't accept um progressive physical damage i actually don't think progressive even does a physical damage um i hired auto physical damage unfortunately that's one of the downsides of progressive so i'll so my total comes out to be 509 a week with the 12 a day for physical damage and then um i paid 10 cent a mile for maintenance so you know um peace of mind for me not having to worry about truck breaking down or or putting money to the side because you know there's gonna be issues with the truck i think i have a 1500 deductible so i probably still need to put some money inside just in case because um you know something can happen that's less than fifteen hundred dollars but uh anyway so um the way what like i was saying the way with ryder it works is that 1077 deposit they're going to keep that on file but each week they're going to charge me the 509 and then they're going to deduct the mileage that i use so if i only rent the truck for one week they're gonna deduct you know 509 plus the mileage that i used from that deposit and then give you back the rest so that's how it works with rider and each week you know you just keep paying and paying and paying all right so next i bought some gloves um i bought a vest because with amazon you need a reflective vest when you're in your yard that's a requirement you got to have it on at all times probably at some other brokers and shippers yards you're going to need a vest and i bought some um locks because you know just to lock my lock my box truck up because you know i keep my pedal jack in there you know um if i got low a load in there and i'm home you know or trucks parked that you know wherever you're gonna park the truck at i mean you know better make sure nobody go in there and take what you got in there i mean hey so yeah i just bought some locks so bought all that stuff from home depot ended up being 22.79 and there was additional truck accessories that i bought which was 14.42 like tire gauge i bought a box cutter um you know just some other items needed for the truck so what did everything cost me all the way from the mentorship down to the truck accessories this is what it cost me for my bark truck business startup cost 3535. and which is a lot cheaper than a lot of people have paid to start this business i've been hearing fifteen thousand dollars twenty thousand dollars but um you can start a box truck business for thirty five hundred dollars thirty five hundred dollars and actually i mean for you your box business might be a lot cheaper because you might not have the mentorship or you might not you know by the dash cam or you know some other some other stuff you know you might not get a pallet jack maybe you're not doing amazon so you don't need a pellet jack you can work it off the lower board and do a no-touch freight so i mean essentially it can be closer to three thousand dollars to start a box truck business how long is going to take me to make my money back that 3 500 back i can make it back in a month i can tell you that much i can you know probably make it back in a week so um very easy to get into this business if you're renting if you're buying yeah it's you're gonna need a lot more capital to get started but there's pros and cons with everything i mean i'm not saying buying's a bad idea maybe down the road i might choose to buy this i mean i'm brand new at this um business um i definitely will go over my numbers as far as profit and gross as they come along so stay tuned for that but um but yeah well buying you're going to make more money you're going to keep my money in your pocket but you always got to remember to put money aside for maintenance and you know um you're going to need new tires you know there's going to be breakdowns on the road it ain't if you break down this is when you break down because it's going to happen i've seen box trucks stranded on the side of the road semi-miles on the side of road personal vehicles on the side of the road i mean is it it happens you know there's you know that's just part of life but uh if you made this final video do me a big favor go ahead and hit that like button you know go ahead and help me out and uh and subscribe i mean i'm gonna be doing a lot more great videos you know sharing vlogging showing y'all me picking up loads and whatnot so love to see y'all you know in the chat and leave a comment and um we'll definitely get back with y'all peace and love y'all

Channel: CEO Kaleb

Views: 369,621

Keywords: box truck, amazon, amazon relay, amazon loadboard, entrepreneurship, entrepreneur, transportation, trucker, trucking, straight truck, straight van, straight box, 26 ft box truck, owner operator, frieght, trucklife, truckerlife, mc, dot, fmcsa, authority, commercial insurance, renting, rental, Ryder, peneske, enterprise, budget, coop, lease a truck, otr, logistics, box truck business, box truck owner operator, truck, start up cost, how to, dat, truckstop

Id: YopHed6HggE

Length: 18min 49sec (1129 seconds)

Published: Sat Feb 27 2021