1. How does the business work?
As an entrepreneur of your own moving company, you help the customer keep the cost of the move affordable by not owning your own moving truck. Customers consult with truck rental companies to determine the approximate size truck to rent. Your company provides the skilled and equipped contractors to perform moving services which may include some or all of the following: packing, loading, unloading, moving, furniture decorating/set-up, furniture assembly, organization and junk removal. You can also provide a driver for the customer’s rental truck at no additional charge. Moves will start when the truck is picked up and end when it is refueled and returned to the original dispatch location.
2. What do I need to get started?
You will need a phone, computer with internet service, printer/copier, and a minimal start up fund (it is helpful to have unlimited cell phone access or unlimited long distance landline service).
3. What will it cost to get started?
Because you won’t have the overhead of owning and maintaining a fleet of trucks, there is minimal startup cost. As an entrepreneur of your own company, you can select from the business outline the minimal amount of $500 – $1500 for a startup projection for your new company (the biggest startup expense will be commercial liability insurance and it is recommended that you shop rates in your area).
4. How much of a time commitment is required?
As an entrepreneur of your own company, you can grow your company as big or as small as you have the time. Depending on your location, seasonal bursts of business happen around the move-in and move-out schedules of college students. If you plan on being busy during certain seasons, you will need to be prepared with more contractors.
5. How much can I expect to make?
Again, this will vary depending on how many contractors you hire and how busy of an area in which you are conducting business.
Example: If you have two moving contractors on a job and you are billing the customer $70/hour and you pay the contractors $25/hour ($15/hour for the lead contractor and $10/hour for each sub-contractor), your profit would be $45/hour.
- Three movers at $100 per hour nets $65.00 per hour profit
- Four movers at $125 per hour nets $80.00 per hour profit
Now imagine that you have multiple jobs per day! Your earning potential is unlimited.
6. How much experience in the moving industry do I need to get started?
As a moving coordinator, it is important to hire experienced movers to act as lead contractors and train all moving help. This moving business guide will help you set up your coordinating skills for this profession. Additionally, it is helpful to be familiar with truck rental companies and supplies in your area, and be familiar with packing materials and selecting truck sizes. All of this information can be found online or picked up from the truck rental companies ex.) (www.uhaul.com) (www.penske.com) (www.budget.com), etc.
7. What are my responsibilities as a moving coordinator?
- Hiring experienced contractors (primarily a lead for each team that has previous moving company experience).
- Advertising your company’s service
- Answering customers’ questions and explaining your prices and services.
- Booking the move with customers and sending out email confirmation letters.
- Preparing the Customer Sales Folder that will be given to the contractor prior to the job.
- Receiving the paper work and paying contractors once the job is complete
- Keeping a log of contractor wages (you can use a ledger book or QuickBooks)
- Send out email thank you notes that request feedback from customers about their experience with the company
- Deposit all earnings into the company business checking account
- Promote your business through all advertising venues
8. Why is the moving help referred to as a contractor instead of an employee?
As an independent contractor, your moving help is responsible for their own tax obligations and they perform services for the benefit of your company that are not controlled by the employer. If an employer/employee relationship exists, earnings are generally subject to FICA (Social Security Tax and Medicare) and income tax withholding. The general rule is that an individual is an independent contractor if the payer has the right to control or direct only the result of the work and not what will be done and how it will be done (ex. As a moving coordinator you do not provide the tools or instructions as to how to carry out the moving job).
Note: All earnings over $600 during a calendar year will be reported to IRS on a 1099 Form.
9. What are the limitations and restrictions for using this business model?
- Your business may be started outside of a 100 mile radius of Athens, Georgia
- You must sign a Business License and Non-Compete Agreement with the owner of the primary company under which this model was created.
10. What is included in this business model?
- Hard copy of all forms, letters and templates used in all business transactions
- CD of editable forms, letters and templates (to personalize your business model)
- DVD of step-by-step video guide
11. What forms of advertising do I need to implement to attract customers?
The website, if kept high under “moving companies” and “moving help” search engine results will be a key benefit. Craigslist.org is free and has its own section under “Labor and Move” which helps attract a lot of customers. Flyers can be delivered to local apartments, multi-housing complexes, truck rental companies, storage facilities, realty offices, and welcome centers. Even some small fast food restaurants and bookstores allow you to leave your flyers near their door. (Note: I started with handing out candy and coffee gift cards with my flyers and business cards to my referral partners until they became familiar with my face and my new company.)
12. Who are the referral partners in this business?
Your referral partners are important to growing the business. Local truck rental companies, storage facilities, and apartments in your community can refer your new business to customers that need help with their move.
13. Do I have exclusive rights to this business model in my city and state?
Once you register your company name with Secretary of State and secure your Web site domain name no one will be able to use your business identity in your state and this will be legally enforceable. Even if someone has the same business model they will not have your name, reputation and the integrity that will be associated with the conduct of your business. What you put into your business and the type people you hire to represent you will determine your longevity and ultimate success.
14. What methods are accepted as payment for the business model?
You can pay with a certified bank check with immediate available funds or through PayPal with a PayPal Account, Visa, Master Card, Discover or American Express credit. All sales are final and no refunds on material will be allowed due to the confidential material being sold.
15. How will I receive this business model?
Once the application has been completed and the Business License / Non-Compete Agreement has been signed and notarized and returned to our office, we will contact you to arrange the delivery by insured, certified, U.S. mail.