“How to Start a Towing Business?”
Comment Page 2

OK most of ya have the same idea. Contact your states DOT, or City Courthouse, or County seats, with your questions. If you do basic tows, you'll be okay, start with cheap used truck, you don't need big payments from the start. Big shock, insurance is outrageous. Extreme, if you want a storage yard. Repo dreamers, you probably need special state permit, and secured lot. It's not cheap, the bigger you start, the more, you'll need, to start. Please make sure you know what your getting into. Not a part time job, by no means...lots of missed dinners, and family time. The more drivers you hire, the less for you. I live in a small town in Central Fl, there 6 companies here. seems everybody wants their own. Got 10K, I can do one here...LOL, gonna piss competition off, cutting rates, then gotta watch my back...see it's rough, from all angles. Trying to get you to see, Be serious and know what you are doing. Freedom don't come free

TO SCOTT M ABOUT STARTING A COMPANY IN PINELLAS COUNTY. I would not suggest you waste your time and money honestly. If you haven't done this before, you definitely do not want to compete against the couple of companies in the Tampa Bay area. Look into getting certifications and your license to operate trucks. Try to get on with Stepps, Clearwater Towing, 1st Response Towing or even All Points Towing. There is another one that runs around south end of Pinellas but I can't think of who they are right now.

I am trying to start a business near Pittsburgh, Pa. towing cars, scrapping cars, road service, etc.. I am trying to do this with an F250 HD, and a slide-in sling boom, or a tilt-deck car trailer. So far all I have been told is all the reasons this would be illegal, or impractical. Can anyone give advice on this? A partner in this area might make this easier. Thank You. Sorry, I just found this site, my Email is: miss06kitty@hotmail.com The idea here is to get into car-hauling with little money, and no credit.

Let me follow-up with this information. I see a lot of people on here get a truck without knowledge of the tow industry. I am the opposite, I am connected in with the biggest towing company in Pittsburgh, I have the jobs, work, and connections all lined up to start making a MINIMUM of $700 a week, IF I COULD GET MY HANDS ON A ROLL-BACK!! This is daytime only, 5 days a week. If anyone has a roll-back just sitting, maybe we can work something out. If someone has 2 roll-backs, I can offer them the same job and salary! Thanks.

Starting a towing company can be a challenging process. As excited as you may be to get the wheels rolling and the cash coming in, there are a few things you may want to consider before opening your doors.

1. What kind of company are you looking to build? Diversity in sources of business is important when running a towing company. The old adage “Don’t keep all of your eggs in one basket” holds true for the towing industry as well. Understanding the potential sources of business and how profitable they each are can be helpful in determining how successful you will be from the start. Police, motor club, auction, cash customers, account customers and private property accounts all have unique business demands and asset requirements. Be sure to consider just how each source will play a part in your business both now and in the future.

2. Buying trucks and paying for rent, employees and liability insurance will consume the lion’s share of your revenues. And it sure is expensive to be paying for these items when few calls are coming in. One great keystone of any towing company is providing service to the local police and fire departments. Check with their contacts to see how to get on the lists. If it isn’t possible to get onto the list for a few months it may make sense to wait. Municipal lists are a steady and profitable customer but don’t count on that revenue until you know you can get on the provider list. Every police department has a vehicle officer or contact in charge of the towing process. Get their name and make them your friend.

3. Build a brand, not just a company. With an overabundance of towing companies to choose from consumers often select companies at random to call for a quote. Make your business stand out by having a good name and strong marketing plan. Having these in place before you start spending on advertising will make that money work harder for you. And be careful when committing to long-term contracts like annual yellow page business directories and online advertising commitments. Ask what you can expect in return for your money and remember, much of this can be done yourself for little or no expense.

4. Start building your contacts now. Your company doesn’t have to be up and running to print business cards and go around introducing yourself to potential customers. Tell them you are launching in 3 months but wanted to understand what they look for in a good company. It will show your dedication to providing a good product as well as provide you with some insight on how to better compete with your future fellow industry professionals.

I ran a successful tow company for several years and know much of what you will need to do is not difficult work, it’s just hard work. Being committed to being the best and being professional will give you a huge boost over your competition. After selling my company I created TowProgram.com as a way to help new and existing towing companies become more profitable. The program is an educational tool that simply, easily and effectively tackles the biggest challenges tow companies face. It covers:
- Cost-effectively building a strong brand to make your company stand out
- Easily computing costs and revenue per call leading you to greater profits
- Adding automation methods to help your business run more efficiently
- Better managing employee relations
- Preparing your business for a profitable sale