The Moving Company – Behind The Scenes

How Moving Companies Operate

A moving company is believed to be a fairly simple business to start. With basic business skills and some industry knowledge, one should be able to start a moving company and become successful. This idea is becoming less true as time goes on. Such things as new state requirements, competition from unregulated companies, and the many unforeseen complications of moving are making it difficult for some businesses to stay in the game.

In comparison to many organizations, monthly operational expenses are quite minimal. The majority initially operate their businesses out of their homes, relocating to a warehouse when the company has experienced significant growth.

Payroll and payroll taxes will be your biggest expenses. Fuel prices, insurance, and upkeep of the vehicle come in second. All you need in addition to that is a phone line, website, and a consistent marketing plan.

In July 2012, The Utilities and Transportation Commission (UTC) in Washington established some new guidelines for applicants seeking to provide household goods and residential moving services. Some of the new requirements include: Mandatory criminal background checks, zero convictions for certain felony crimes, having a valid state driver’s license, providing evidence of enrollment in a drug and alcohol testing program, and owning or leasing proper moving equipment.

Please be aware that moving company requirements vary from state to state. In many jurisdictions, it is a legal requirement for moving businesses to be registered with the state’s transportation agency.  Additionally, moving businesses that cross state lines must register with the US Department of Transportation. Local governmental licensing or regulatory requirements might be necessary.

While this is great for the consumer, the movers will be very professional. However, at the same time, the more regulated the moving company, the more expensive they will be in order to cover these expenses. Usually, companies who offer very low prices are cutting corners in order to undercut their more professional competition.

It is very important for a consumer to hire a moving company that has all the correct requirements. Beware of companies who offer insanely low prices. As the saying goes, if it sounds too good to be true, then it probably is. Usually, these moving companies are not qualified to handle household goods. The basic scam for these companies is offering a lowball price then once the goods are on the truck, they hold them, hostage, until the higher price is met.

Moving seems easy, just be somewhat in shape and anyone can do it, right? Believe it or not, moving furniture takes much skill. Many movers take tremendous pride in the talent they have. Some may even go as far as calling it art. This is why many moving companies never make it. There are many unforeseen complications of moving that business owners do not take into consideration. Without proper equipment, training, and experience, damages would occur and all profit would go out the window.

What once was considered an accessible business to start, starting a moving company, is now more difficult than ever. Along with other types of businesses, many of these difficulties include new regulations, competition from unregulated companies, and unforeseen complications. Be sure when hiring a moving company to go with one that has a great reputation and follows all the rules.