Own and Operate a Dump truck: How to Start a Garbage Pick-Up Truck Business

A True Story

Some friends a few years after university found themselves jobless. However they had middle class parents who were supportive and learned.

On an outing one of the friends suggested a partnership business arrangement between the seven friends. They deliberated on the type of business they could invest into and funding.

An agreement was reached for each person to contribute a particular sum. After careful deliberation they discovered a niche in the waste disposal business.

They went to a government agency to secure a dump site, then registered a business name and leased their first truck. The business venture they choose was garbage pick up truck business.

Garbage pickup truck business although labor and capital intensive is possible small or large scale. On the onset instead of buying the trucks you can perfect a lease agreement.

Other investment is in marketing, customer base and labor costs. The business format is simple and easy to execute once the operational structures are in place.

Waste disposal business is highly regulated through permits and licensing. There are also environmental protection laws binding the enterprise.

Getting an operational license is the first step and securing a customer base. The waste disposal business is a huge employer of labor and effectively contributes its quota to any country’s development.

The industry is vast and there are many niche areas for smart entrepreneurs. There is the hazardous waste, household waste, chemical waste, and hospital waste sectors.

There is also the different treatment plants and recycling units doing good business. Like most sectors garbage collecting attract huge earnings for the operators.

 Before you launch the garbage pick up business there are a few things to consider.

Write a Detailed Business Plan

You need to write a business plan to guide the formation and operation of your enterprise. Study your competitors and find out ways to improve on their services.

The plan should factor management structure, company profile, goals, future plans and expansion. Other things to include in your plan are funding sources, labor costs and marketing. You need expert advice in acquiring licensing and permits.

Funding the Garbage Truck Business

You need to incorporate your company and register a business name. Make your business limited in liability, get insurance and tax identification number.

Apply for loans from banking institutions in your locality and provide tax clearance certificate, company incorporation, business plan and collateral. Open a checking account with the bank for the business.

Other ways to secure funds are through core investors in your business. You can sell startup equity in your business to prospective investors.

Register the Garbage Truck Business

Make it a limited liability company or sole proprietorship. Find out the state, local government permits and licenses you need to start the business.

Carefully follow the rules and guidelines binding the practice. Your company needs to apply for a dump site or land fill sites.

Although you can dump your refuse and pay per each load at designated sites it is better to own your own site. The local government in your locality will enforce environmental protection guidelines and code of conduct.

Make sure you establish the kind of trash acceptable for collection and dumping. Hazardous non biodegradable material should be restricted in the inventory of trash your company collects.

Equipment for the Garbage Truck Business

The major equipment you need is the garbage truck. Others are spades, safety gear such as face-masks, hand gloves, safety boots and hard hats. Once you have secured your dump site distribute garbage bags to all your customers.

Accounting

To succeed you need an efficient monitoring and accounting system. The accounts will organize payment received and defaulters. Offer competitive prices, quality and efficient service and the business will grow.

Marketing the Garbage Truck Business

Usually garbage trucks work in a designated area provided by the municipal authorities. The business runs as a semi-monopoly and is location based.

The entire metropolis is usually divided by local government areas, counties or regions. The Garbage disposal truck can only work within designated area under strict local government regulations.

Therefore marketing is strictly restricted and based on the region or locality designated to the company.

Conclusion

To start your enterprise write a business plan and carry our feasibility study. Register your business as a limited liability company.

Secure funds through bank loans and apply for a dump site from local authorities. Then buy or lease a garbage truck and distribute trash nylons to customers.

Hire casual labor and offer your customer quick and effective service.
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