Evaluating the pros and cons of getting your trucking authority – Stay informed


Are you someone who is into the profession of being leased into a company for quite some time? Or are you someone who is a company driver in a company? If answered yes, you must be eager to step out of that company and start something of your own where there would be none to supervise over you. 

When you have your own trucking authority, you are always at an advantage as you get several opportunities to expand your trucking business. However, at the same time, you also have to remember that getting operating authority isn’t for everyone. 

If you think you could suffice as a driver, you’re wrong as operating your own motor vehicle company requires several other skills apart from driving. There are numerous drivers who lack commercial skills that are required for running a company. 

So, how are you supposed to know whether or not it is appropriate for you to set up your own trucking authority? Is this the right move for you? Here are some potential pros and cons you can take into account. 

Advantages of establishing your trucking authority

  • You’ll be your boss: When you own a trucking authority, all decision-making powers belong to you. You have all the freedom, time, equipment and money to yourself. Once you’re independent, you are no longer answerable to anyone apart from yourself. 
  • You decide your runs and loads: When you are your own authority, choosing loads is entirely on your discretion. Great loads don’t come in easily as soon as you get your MC number. You have to build your network and good relationships with brokers and shippers so that you can fill in the gaps with loads. 
  • Control what you earn: In case you’re not satiated with the rates you earn per load, you are allowed to search for better loads and decide on better rates. Your load taking might go slow initially but once you’re established as a vehicle carrier, you’ll easily grab better loads at the most competitive rates.
  • You keep all your profits: When you have your own authority, you can keep all the money that you make as profits. You also have to focus on enhancing your top-end revenue while curbing your expenses to enhance profits. 

Disadvantages of establishing your trucking authority

  • Handling the commercial side is tough: Being an independent owner-operator requires skills of a CEO, maintenance manager, dispatcher, sales and billing supervisor, compliance and safety officer, and also a huma resource director. This can sometimes get tough.
  • Being liable for all your expenditure: When you have your own authority, you also have to pay for all your expenditures like safety investigations, licensing, fees and taxes, insurance and fuel. All such expenses can at times add up to a huge amount that may seem like an added burden at the beginning.
  • Tackling all the paperwork: When you are the owner of the authority, you have to handle the receipts, bills, compliance documents, invoices, and several other paperwork. You may soon get buried under all these duties.

If you wish to release some burden off your shoulders and go easy, you may start using a trucking management software to eliminate all paperwork issues. Automation is the key to a smooth business life these days.