How Much Does It Cost to Start a Trucking Business?
- Nate Jones, CPCU, ARM, CLCS, AU
- Sep 12
- 2 min read
Starting a trucking business can be a lucrative venture, but it requires careful planning and a solid understanding of the costs involved. Whether you're launching a fleet or becoming an owner-operator, knowing your startup expenses is key to long-term success.
Understanding the Key Startup Costs for a Trucking Business
1. Truck Purchase or Lease
The most significant upfront cost is your truck. Depending on the type of trucking business—whether it's general freight, hot shot trucking, or box trucking—you’ll need a vehicle that suits your operations.
New trucks can cost anywhere from $100,000 to $150,000.
Used trucks typically range from $40,000 to $80,000.
Leasing options may reduce upfront costs but come with monthly payments and mileage restrictions.
2. Trucking Insurance
Insurance is not just a legal requirement—it’s essential for protecting your business. Wexford Insurance specializes in business insurance for trucking companies nationwide, offering coverage for:
Physical Damage Coverage
Trailer Interchange Insurance
Costs vary based on your location, driving history, and type of cargo, but new venture trucking insurance can range from $8,000 to $15,000 annually. Wexford Insurance helps new and experienced trucking businesses find affordable, comprehensive coverage tailored to their needs.
3. Permits and Licensing
To operate legally, you’ll need:
USDOT Number
Motor Carrier (MC) Number
Unified Carrier Registration (UCR)
International Registration Plan (IRP)
International Fuel Tax Agreement (IFTA)
These permits can cost between $500 and $3,000, depending on your state and the scope of your operations.
4. Maintenance and Repairs
Routine maintenance is crucial for keeping your truck on the road. Budget at least $15,000 annually for oil changes, tire replacements, brake inspections, and unexpected repairs.
5. Fuel Costs
Fuel is a recurring expense that fluctuates with market prices. On average, truckers spend $50,000 to $70,000 per year on fuel. Fuel cards and route optimization can help reduce costs.
6. Technology and Compliance
Investing in an Electronic Logging Device (ELD) is mandatory for most carriers. ELDs cost around $150–$500 upfront, with monthly service fees of $20–$30. You may also need dispatch software, GPS tracking, and accounting tools.
7. Marketing and Branding
To attract clients, consider branding your truck, building a website, and investing in digital marketing. These costs can range from $1,000 to $5,000, depending on your strategy.
Final Thoughts
Starting a trucking business typically requires an investment of $30,000 to $100,000 or more, depending on your business model. Insurance is one of the most critical components of your startup costs. Wexford Insurance is a trusted truck insurance agency that helps trucking companies—whether fleets or owner-operators—secure the right coverage to protect their investment and stay compliant.
If you're ready to launch your trucking business, contact Wexford Insurance today to get a quote and expert guidance tailored to your needs.
