How To Start a Trucking Business With No money – Financing options for Startups

Equipment financing:
Term Loan:
Line Of credit:
Credit Repair:

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In today’s video, we are going to talk about How to start a trucking Company with no money?
According to Indeed, an owner operator truck driver’s gross pay averages $290000 per year, but expenses can run over 50% percent. Thus the average owner operator pay drops to around $80,000 to $100,000 take-home. Many independent truck drivers sign with a carrier to get consistent work.
Trucking can be lucrative, no doubt. It’s also guaranteed to require a fair amount of capital to start a trucking company—a commercial truck costs around $80,000, after all. Then, of course, there’s the capital that goes into keeping your fleet operating at peak performance. Unless you’ve got deep pockets or private investors, odds are that you’ll need a bit of extra financing to start your trucking company, to grow your business, or to keep things running smoothly.
Today I am going to talk to you about 3 of the best programs for people looking to start a trucking company but do not have required capital.

First of all you need to have good credit score. The credit score is the main criteria for anyone looking to apply for any type of loans, especially as a startup. You need to have at least 680+ score.
If you do not have a good credit score you can either sign up for credit repair or get a co-signer. A co-signer is a friend or relative with 680+ score that is willing to co-sign your application.
If you have a good credit score, the first loan option you need to apply for is Equipment financing. Equipment financing loans are among the top loan program for Truck drivers. In fact, as they also come with borrower-friendly repayment terms in most situations. These loans are also a great option for borrowers who are looking to finance specific purchases, as they’re designed with this explicit purpose in mind.
Under the umbrella, there is also commercial truck financing, specifically to help trucking business owners buy or lease new or used trucks. These loans do not require external collateral, as the equipment itself serves this purpose. This means that the bank can repossess your truck if you stop making payments on the loan—because of this, though, these types of loans are typically easier to obtain because there’s a safety net of sorts for the lender. Most equipment financing loans require putting down 10%- 20 % of the equipment cost.
I place a link in the description below for people looking to apply for equipment financing.

The second loan option will be the Business Line of credit: This option is good for people that do not have the 10% to 20% down payment. The main requirement for this program is the credit score. You do not need to fill out any lengthy application. All you need is to submit your 3 bureau credit reports and the decision will be based on that. You can qualify for up to $150K line of credit as startup.
I place a link in the description below for people looking to apply for a business line of credit.
Another option is to apply for a Term Loan. This option is for people that prefer to get cash instead of credit. To apply for a term loan, you also need to have a 680+ credit score and you need to provide proof of income. You can use your W2s, tax returns or pay stubs as proof of income.
I place a link in the description below for people looking to apply for the Term Loan.
So guys this completes the list of 3 loan options you can use to finance a new trucking company. The good news is that you can apply for all these 3 options simultaneously and get the maximum loan amount possible. See you in the next video and until then keep smiling!

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