Is DRAYAGE The BEST Niche In TRUCKING??

Summary

The speaker discusses their business journey, starting with 75-100 loads before the COVID-19 pandemic. They pivoted to container storage and warehousing during the pandemic, leveraging relationships formed at the Georgia Logistics Summit. They acquired 10.65 acres through the Candler County Industrial Authority, which supports growth by providing resources in exchange for job creation. The speaker emphasizes attending local meetings for opportunities and developing a serious business plan. They transitioned from a freight brokerage to motor carrier authority for profitability, learning quickly from their drivers, and expanding their trucking operations despite initial setbacks.

Takeaways

• 🚀 Pivoting during COVID: The speaker was operating at a moderate capacity (75-100 loads) before COVID and decided to pivot to container storage/warehousing during the pandemic.
• 📅 Georgia Logistics Summit: Attending the Georgia Logistics Summit was crucial in forming relationships with port representatives and the Candler County Industrial Authority.
• 📈 New Opportunities: The pivot to container storage was driven by networking and leveraging relationships built at conferences.
• 🏢 Securing Land: Acquired 10.65 acres of land through a partnership with the Candler County Industrial Authority, which supports small and large businesses bringing jobs and growth to the county.
• 📄 Financing Agreement: The land acquisition was facilitated through an agreement with the county, emphasizing mutual benefits rather than a traditional loan.
• 💡 Resourcefulness: Emphasized the importance of attending city and county meetings to learn about development opportunities that are often overlooked by small businesses.
• 🏢 Business Plan: Creating a robust business plan, understanding funding sources, and having solid references are crucial for securing county support.
• 🌱 Supporting Small Counties: Small counties in Georgia, Alabama, South Carolina, and Northern Florida offer significant opportunities for business growth due to their need for economic development.
• 🔄 Transition to Container Storage: Shifted focus from freight brokerage to container storage, recognizing the higher profitability and demand in dredge services.
• 🚚 Building Trucking Capacity: Expanded the business by adding more trucks and learning the intricacies of the trucking industry from experienced drivers.

Q & A

What was the state of the business when COVID-19 hit?

The business was handling about 75 to 100 loads, which was enough to cover the bills but not operating at a heavy capacity.

How did attending a conference in Charlotte influence the business direction?

At the Charlotte conference, the realization hit that containers were where the money was. This spurred the idea to pivot towards container storage and warehousing.

What steps did the speaker take after deciding to focus on container storage during COVID-19?

The speaker attended the Georgia Logistics Summit, formed relationships with representatives from the port and the Candler County Industrial Authority, and explored opportunities in container storage and warehousing.

How was the 10.65 acres of storage space financed?

The financing came through the Candler County Industrial Authority, which supports businesses bringing jobs and growth to the county. This agreement facilitated the acquisition without direct financial burden on the speaker.

What is the importance of attending local government and business meetings according to the speaker?

Attending meetings like city council or zoning meetings allows small business owners to learn about upcoming developments and opportunities, such as new businesses entering the area, which are critical for strategic planning and growth.

What is the significance of having a serious business model and references in securing opportunities from local authorities?

A serious business model and credible references demonstrate stability and commitment, which are essential for gaining support from local authorities who offer resources and opportunities for business development.

Why did the speaker shift focus from being a freight brokerage to operating a motor carrier authority?

The shift was driven by the need for profitability and marketability. As a brokerage, they were making minimal profits due to the high costs charged by carriers. Operating as a motor carrier allowed them to retain more control and profits.

How did the speaker build the trucking aspect of their business?

The speaker expanded the trucking operations by gradually adding trucks and learning the business through the support and guidance of their drivers, who provided valuable knowledge and assistance.

What challenges did the business face after expanding the trucking operations?

Despite the initial expansion and success, the business faced significant challenges when they were suddenly shut down, indicating operational or regulatory hurdles that needed addressing.

What advice does the speaker offer for finding business opportunities in less developed areas?

The speaker advises looking beyond well-developed cities and focusing on poorer, underdeveloped counties that are eager for growth and willing to support new businesses. These areas often have untapped potential and resources for businesses willing to invest and help stimulate their economies.