If you have established your own moving company recently and are looking to get it registered, then you have stumbled on the right blog. The demand for moving companies has increased significantly in the past few years. Many people have jumped into this business in the recent past because of its high potential. However, running a movie company is not as simple as it may sound. First, you have to make sure that your company is registered and has a valid USDOT number, and then you will also have to meet FMCSA’s regulation. Once you have met the criteria set by your state, only then will you be awarded your license.
Why Get Licenses and Permits for A Moving Company?
As a moving company, you will be moving goods for your clients on big transportation trucks, and that is something that requires authorization. It doesn’t matter whether you are moving interstate or intrastate; depending on the state, you will have to acquire certain permits to meet the criteria.
If you are moving containers without a proper license, you can end up paying a hefty fine or worse. There are a few states where moving companies don’t need a license to transport trucks, but you will have to get a DOT number even for those.
By acquiring the mandatory permits decided by your state, you can make your moving company legit.
How to Obtain a Moving Company License?
To obtain a moving company license, you will have to go through a proper procedure. The steps you need to follow are:
Pre-License Requirements
Before you apply for any license, you will have to meet several general business requirements. You need to get your business registered with your state, and once that is done, you will also need to obtain your Federal tax number.
You will also have to get liability insurance for your business as it is mandatory for moving companies. The liability insurance must be worth around 800,000 for your cargos and transportation. Once you have all that sorted out, you can move on to the next step.
Apply for USDOT Number
Once you have set up your business, the next thing you need to do is apply for a USDOT number. This is something that is deemed mandatory by almost all states. If you have a moving truck that transports goods from one place to another, then chances are you already meet the criteria of getting a USDOT number.
You can apply for USDOT number on the official website of the United States Department of Transportation. Once everything is verified, you will be able to get your USDOT number. In some states, you can apply for it via FMCSA’s website.
Get Registered With FMCSA
After getting the USDOT number, you will need to apply for the FMCSA permit. The application process for this is quite simple, as you can submit your application directly online. You will need your USDOT number, insurance detail, and business registration to submit the application. Once you have acquired those, you can start your application on Federal Motor Carrier Safety Administration’s official website.
It is recommended that you check your state requirements thoroughly before pushing your application forward. Some states may require more documents than others.
Join New Entrant Safety Assurance Program
As you are a new moving company, you will need to join the new entrant safety assurance program for your business’s wellbeing. To enter this program, you will need an MCS-150 form, which you can get directly from FMCA’s website. Once you have joined this program, you will be on a one and half year probation period where you will have to show good transportation records and submit all the paperwork on time.
If your safety audits and transportation records are not up to the mark, you can end up losing your license pretty quickly.
Permanent License
Once you have finished all the above-mentioned processes, you will be able to get your permanent USDOT number. After acquiring that, you will be able to conduct your business freely and without any barriers. It will make your business a legit moving company that people can rely on.
It is advised that you update your USDOT details regularly when required. Also, you must keep up to date with the rules and regulations and follow them accordingly.
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