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How to Start a Box Truck Business

Written by:

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by:

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

How to Start a Box Truck Business

Fast Facts

Investment range

$6,550 - $14,100

Revenue potential

$100,000 - $500,000 p.a.

Time to build

1 – 3 Months

Profit potential

$70,000 - $100,000 p.a.

Industry trend




How to Start a Box Truck Business

Goods need to move from one place to another for all kinds of reasons, which means having the right truck could open a world of possibilities. With a box truck — a chassis cab with an enclosed box-shaped cargo space — you can courier large products and packages, help people move, haul away junk, or even make deliveries for Amazon.

Trucks deliver more than 70% of all US freight by weight, making the trucking industry worth nearly three-quarters of a trillion dollars. With a box truck, you can grab a piece of that massive market and make an excellent living.

Starting up a box truck business will be a challenge, however, and you’ll need the right knowledge to succeed. Fortunately, this step-by-step guide is loaded with insights and information to get you on your way to building a thriving box truck business.

Step 1: Decide if the Business Is Right for You

Pros and cons

Every business has pros and cons that you need to carefully consider before deciding if a box truck business is the right path for you.


  • Low Costs – Get started with a relatively small investment
  • Steady Demand – People are always in need of a truck
  • Good Money – Box truck services don’t come cheap!


  • Pricey Maintenance – Keeping your truck running well can be costly
  • Gas Guzzler – When gas prices rise, your profits will fall

Box truck industry trends

Over the past decade-plus, the industry has seen a steady increase in the use of medium-duty trucks like box trucks, as opposed to 18-wheelers, due to greater demand for shorter-distance deliveries. This presents a huge opportunity for the box truck entrepreneur.((https://www.truckpartsandservice.com/economic-trends/indicators/article/14991095/trucking-industry-sees-influx-of-mediumduty-vehicles))

The US trucking industry is greatly influenced by the e-commerce market, which is expected to grow from $430 billion in 2020 to over $560 billion by 2025, an increase of 30%, according to market research firm Statista. This means that trucks capable of making a lot of deliveries in a limited area in a certain timeframe will be in great demand.((https://www.statista.com/statistics/272391/us-retail-e-commerce-sales-forecast/))

Industry size and growth

box truck industry size and growth

Trends and challenges

Box truck trends include:

  • Strong ecommerce industry impacts positively on box truck market
  • Increasing use of technologies to track shipments, optimize routes
  • Declining length of haul and high demand for last-mile delivery services

Challenges in the box truck industry include:

  • Shortage of commercial truck drivers
  • Rising fuel prices
  • Extreme weather conditions
box truck industry Trends and Challenges

What kind of people work in trucking?

box truck industry demographics

How much does it cost to start a box truck business?

Startup costs for a box truck business range from about $6,500 to $14,000. These numbers include either buying a used truck for as little as $5,000, or putting a 5-10% down payment on a new truck, which could cost as much as $50,000.

You’ll need a handful of items to launch your box truck business successfully. Here’s a list to help you get started:

  • Box truck with shelving
  • Trailer and hitch
  • Furniture pads and dollies
Startup CostsBallpark RangeAverage
Setting up a business name and corporation$150 - $200$175
Licenses and permits$100 - $300$200
Insurance $100 - $300$200
Business cards and brochures$200 - $300$250
Website setup $1,000 - $3,000$2,000
Down payment on a truck or the purchase of a used truck$5,000 - $10,000$7,500
Total$6,550 - $14,100$10,325

How much can you earn from a box truck business?

Prices for box truck deliveries vary greatly depending on the size and value of the load. Working by yourself, you can expect a 70% profit margin and assume an average load price of $200.

In your first year or two, you could work from home and do 10 deliveries per week, bringing in about $100,000 in annual revenue and $70,000 in profit. As your brand gains recognition and you add trucks, hire drivers, and rent an office, you might do 50 loads per week, but your margin would fall to around 20%. Thus, your annual revenue would be over $500,000 and your pre-tax profit would be around $100,000.

These numbers are in line with Amazon’s delivery program Amazon Relay, which offers average salaries running from about $50,000 to $150,000. That’s another opportunity you might consider, though the hours can be long.

box truck business earnings forecast

What barriers to entry are there?

There are a few barriers to entry for a box truck business. Your biggest challenges will be:

  • Getting clients – You’ll need to stand out to attract work
  • Box Truck – You’ll need to find and finance a reliable vehicle

Related Business Ideas

If you’re still not sure whether this business idea is the right choice for you, here are some related business opportunities to help you on your path to entrepreneurial success.
How to Start a Box Truck Business

How to Start a Moving Company

How to Start a Box Truck Business

How to Start a Towing Business

How to Start a Box Truck Business

How to Start a Trucking Business

Step 2: Hone Your Idea

develop a business idea

Now that you know what’s involved in starting a box truck business, it’s a good idea to hone your concept in preparation to enter a competitive market.

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

Research box truck companies in your area to examine their services, price points, customer reviews, and what seems to be most in demand. You’re looking for a market gap to fill.

For instance, maybe the local market is missing an estate clean-out service in which you haul away items left in a home after the estate is settled.

This is targeting a niche market by specializing in a certain aspect of your industry. This could jumpstart your word-of-mouth marketing and attract clients right away.

What? Determine your products or services

Since a box truck has so many potential uses, you may want to choose which services you’ll offer. You could:

  • Deliver for local stores
  • Provide moving services
  • Haul junk from basement or garage cleanouts
  • Remove items from estates
  • Catered food delivery
  • Advertising, as a mobile billboard
  • Partner with a logistics company
  • Add a snowplow to boost work in winter

How much should you charge for box truck services?

Box truck delivery prices vary by weight and value of the load. Often, there is a minimum rate of $120 and the weight and value are used to calculate the final price. You should check the prices of box truck companies in your area to make sure yours are competitive. Before you hire staff, your main costs will be for the truck and gas. 

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market will depend on what types of services you want to offer. If you offer a delivery service for local stores, you can find business owners on sites like LinkedIn.

Where? Choose your business premises

In the early stages, you may want to run your business from home to keep costs low. But as your business grows, you’ll likely need to hire workers for various roles and may need to rent out an office. You can find commercial space to rent in your area on Craigslist, Crexi, and Commercial Cafe.

When choosing a commercial space, you may want to follow these rules of thumb:

  • Central location accessible via public transport
  • Ventilated and spacious, with good natural light
  • Flexible lease that can be extended as your business grows
  • Ready-to-use space with no major renovations or repairs needed
box truck business idea rating

Step 3: Brainstorm a Trucking Company Name

Your business name is your business identity, so choose one that encapsulates your objectives, services, and mission in just a few words. You probably want a name that’s short and easy to remember, since much of your business, and your initial business in particular, will come from word-of-mouth referrals.

Here are some ideas for brainstorming your business name:

  • Short, unique, and catchy names tend to stand out
  • Names that are easy to say and spell tend to do better
  • The name should be relevant to your product or service offerings
  • Ask around — family, friends, colleagues, social media — for suggestions
  • Including keywords, such as “logistics” or “trucking”, boosts SEO
  • Choose a name that allows for expansion: “Universal Logistics Solutions” over “Refrigerated Trucking Solutions”
  • Avoid location-based names that might hinder future expansion
  • Use online tools like the Step by Step business name generator. Just type in a few keywords and hit “generate” and you’ll have dozens of suggestions at your fingertips.

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that set your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Box Truck Business Plan

Every business needs a plan. This will function as a guidebook to take your startup through the launch process and maintain focus on your key goals. A business plan also enables potential partners and investors to better understand your company and its vision:

  • Executive Summary: Brief overview of the entire business plan; should be written after the plan is complete.
  • Business Overview: Overview of the company, vision, mission, ownership, and corporate goals.
  • Product and Services: Describe your offerings in detail.
  • Market Analysis: Assess market trends such as variations in demand and prospects for growth, and do a SWOT analysis.
  • Competitive Analysis: Analyze main competitors, assess their strengths and weaknesses, and create a list of the advantages of your services.
  • Sales and Marketing: Examine your companies’ unique selling propositions (USPs) and develop sales, marketing, and promotional strategies.
  • Management Team: Overview of management team, detailing their roles and professional background, along with a corporate hierarchy.
  • Operations Plan: Your company’s operational plan includes procurement, office location, key assets and equipment, and other logistical details.
  • Financial Plan: Three years of financial planning, including startup costs, break-even analysis, profit and loss estimates, cash flow, and balance sheet.
  • Appendix: Include any additional financial or business-related documents.
what to include in a business plan

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business!

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to a box truck business.

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state.

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your box truck business will shape your taxes, personal liability, and business registration requirements, so choose wisely.

Here are the main options:

  • Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
  • General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
  • Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.
  • C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.
  • S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC, which just needs to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.
types of business structures

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization, and answer any questions you might have.

Form Your LLC

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Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number, or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN.

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

The IRS website also offers a tax-payers checklist, and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

  • Bank loans: This is the most common method, but getting approved requires a rock-solid business plan and strong credit history.
  • SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan.
  • Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.govto learn which might work for you.
  • Venture capital: Offer potential investors an ownership stake in exchange for funds, keeping in mind that you would be sacrificing some control over your business. This is probably not an option when you’re just starting out, but when you’re ready to grow your business to a large scale it might be available.
  • Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
  • Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
  • Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a box truck business. You might also try crowdfunding if you have an innovative concept.

types of business funding

Step 8: Apply for a Box Truck Business Licenses and Permits

Business Licenses and Permits

Starting a box truck business comes with significant regulatory requirements.

First, you’ll need to obtain a commercial driver’s license from your state DMV. You’ll also need a Department of Transportation number and a Motor Carrier Authority number, both of which you can get by registering with the Federal Motor Carrier Safety Administration (FMCSA). Finally, you’ll need to complete a unified carrier’s registration, and if you plan to drive to other states or Canada, an International Registration Plan tag and an International Fuel Tax Agreement decal.

Federal regulations, licenses and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration (OSHA), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package. They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money you’ll need a place to keep it, and that requires opening a bank account.

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your box truck business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account.

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

  • General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
  • Business Property: Provides coverage for your equipment and supplies.
  • Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
  • Worker’s compensation: Provides compensation to employees injured on the job.
  • Property: Covers your physical space, whether it is a cart, storefront, or office.
  • Commercial auto: Protection for your company-owned vehicle.
  • Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
  • Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of any of the above insurance types.
types of business insurance

Step 11: Prepare to Launch

Launching a Business

As opening day nears, prepare for launch by reviewing and improving some key elements of your business.

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.

You can use industry-specific software, such as ShipWell, TruckingOffice, or dumptruck Dispatcher, to help you manage your scheduling, billing, bookkeeping, and more.


  • Popular web-based accounting programs for smaller businesses include Quickbooks, Freshbooks, and Xero.
  • If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.

You can create your own website using services like WordPress, Wix, or Squarespace. This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

They are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. These are steps that help pages rank higher in the results of top search engines like Google. 


Some of your business will come from online visitors, but still, you should invest in digital marketing! Getting the word out is especially important for new businesses, as it’ll boost customer and brand awareness.

Once your website is up and running, link it to your social media accounts and vice versa. Social media is a great tool for promoting your business because you can create engaging posts that advertise your products:

  • Facebook: Great platform for paid advertising, allows you to target specific demographics, like men under age 50 in the Cleveland area. 
  • Instagram: Same benefits as Facebook but with different target audiences.
  • Website: SEO will help your website appear closer to the top in relevant search results, a crucial element for increasing sales. Make sure that you optimize calls to action on your website. Experiment with text, color, size, and position of calls to action such as “Schedule Now.” This can sharply increase bookings.
  • Google and Yelp: For businesses that rely on local clientele, getting listed on Yelp and Google My Business can be crucial to generating awareness and customers.

Kickstart Marketing

Take advantage of your website, social media presence, and real-life activities to increase awareness of your offerings and build your brand. Some suggestions include:

  • Competitions and giveaways – Generate interest by offering prizes for customers who complete a certain action, such as 50% off your first delivery.
  • Signage – Put up eye-catching signage on your website.
  • Flyering – Distribute flyers in your neighborhood and at industry events.
  • In-Person Sales – Offer your products/services at local markets and trade shows.
  • Post a video – Post a video about your box truck services. Use humor and maybe it will go viral!
  • Start a blog – Start a blog and post regularly. Change up your content and share on multiple sites.
  • Seek out referrals – Offer incentives to generate customer referrals to new clients. 
  • Paid ads on social media – Choose sites that will reach your target market and do targeted ads.
  • Pay-per-click marketing – Use Google AdWords to perform better in searches. Research your keywords first.
  • Testimonials – Share customer testimonials about how your services helped them.
  • Create infographics – Post infographics and include them in your content.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that set it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your box truck business meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire.

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your box truck business could be:

  • A truckful of care for your deliveries
  • We haul anything, anytime
  • Need a quick move? Lightning-fast moving service
unique selling proposition


You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a box truck business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in the trucking industry for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in box trucks. You’ll probably generate new customers or find companies with which you could establish a partnership. Online businesses might also consider affiliate marketing as a way to build relationships with potential partners and boost business.

Step 12: Build Your Team

Building a Team for a New Business

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a box truck business would include:

  • Drivers – pack/unpack loads and deliver
  • Dispatcher – take calls, schedule services
  • General Manager – manage staff, accounting
  • Marketing Lead – SEO strategies, social media, other marketing

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need.

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed, Glassdoor, or ZipRecruiter. Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent.

Step 13: Run a Box Truck Business – Start Making Money!

Running a Business

With the sharp growth in online sales and the trend toward local distribution centers, it’s a great time to jump into the box truck business. It’s a relatively low-cost business to enter, yet with great profit potential. With the trucking industry worth more than $700 billion, there is plenty of money to be made. With just one truck, you can offer a multitude of services, or deliver for Amazon and make up to $200,000 a year.

Now that you’re armed with the necessary information, you’re ready to start your entrepreneurial journey and build a successful box truck business.

Box Truck Business FAQs

How much can you make owning a box truck?

If you work full-time, you can make a healthy profit with just one truck. As a solopreneur you could make $70,000 a year or more. A box truck offers a world of opportunities.

How can I start a box truck business with no money?

It would be difficult to do unless you already have a truck! You can get a used truck for about $5,000 – $10,000 or a new one for $40,000 – $50,000, but you can get financing. You still, however, would probably need a down payment of 5% to 10%.

How can I make money with a box truck?

There are many possibilities. You can make deliveries for local stores, provide moving services, deliver catered food, do junk hauling, or even work with the Amazon Relay program. You could do a combination of any of those to stay busy all the time!

How can I get steady work with my box truck?

You can work on a contract basis with a logistics company, which will provide you with orders for a percentage of the revenue. You could become a mover. You could work for Amazon, or add a snowplow and offer your services to local businesses and homeowners in winter. The possibilities are endless.

What are the sizes of box trucks?

Box trucks come in various sizes, but some common dimensions include:

  • Class 3: Typically around 12 to 16 feet in length.
  • Class 4: Ranging from 16 to 20 feet in length.
  • Class 5: Generally 20 to 26 feet in length.
  • Class 6: Often between 26 and 33 feet in length.
Can a driver sleep in a box truck?

Some box trucks are equipped with a sleeper compartment or can be modified to accommodate sleeping arrangements. However, drivers should adhere to applicable laws regarding rest and sleep periods to ensure safety and comply with transportation regulations.

What are the common uses for box trucks in various industries?

Box trucks are commonly used in various industries for different purposes, including:

  • Moving and logistics: Box trucks are frequently used for transporting cargo, furniture, and goods during relocations or deliveries.
  • Retail and e-commerce: Box trucks are utilized for last-mile deliveries to transport products from distribution centers to customers.
  • Food and catering: Box trucks are converted into mobile food trucks or catering vehicles, allowing businesses to offer meals or catering services at different locations.
  • Construction and contracting: Box trucks are used to transport tools, equipment, and supplies to job sites for construction or contracting purposes.
  • Event and marketing: Box trucks can be customized as mobile marketing or promotional vehicles, providing a portable advertising platform for businesses or event organizers.
How do I establish a reliable network of clients and customers for my box truck services?

Determine the industries that often require box truck services, such as logistics, retail, food, or construction. Research and identify potential clients within those industries who may benefit from your services. Attend industry events, join local business organizations, and build relationships with professionals in related fields such as logistics, warehousing, or construction. Collaborate with complementary businesses or establish partnerships to gain referrals and expand your network.


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