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How to Scale a Money-Making Dump Truck Business

If you love playing with big trucks and want to do so for a living, then starting a dump truck business may just be right for you. In this article, we give you a complete step-by-step guide to make it.

8 minutes readNovember 08, 2023

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What Do Dump Truck Drivers Do?

Dump truck drivers are like the big haulers of construction and mining jobs. They drive these huge trucks that can carry a bunch of stuff like dirt, rocks, and sand to and from different sites.

Their trucks have a special feature that lets them lift the back end to slide all the material out quickly and right where it's needed. So, if there's a big building or mining project, these drivers are super important because they move all the raw materials around, making sure everything's in the right place for the job to get done.

They've got to be good at driving over rough ground too, especially in mines where the roads can be pretty rough.

Infographic: Dump truck industry basics

How to Start a Dump Truck Business: 10 Steps

Follow these 10 steps to become an independent dump trucker.

1. Get the Right Dump Truck

There are different types of dump trucks, each is designed for specific tasks and load capacities. The table below set out the different types, their descriptions, and primary uses:


TypeOverviewKey DistinctionCommon Materials
Standard Dump TruckA chassis with a hydraulic ram at the front and hinged bed for dumping.Low wheelbase for maneuverability; additional axles for heavy loads.N/A
Transfer Dump TruckCombines a standard dump truck with a separate cargo container on a trailer.Enhanced capacity with maintained maneuverability; carries a range of construction materials.Gravel, sand, asphalt, snow, wood chips, construction aggregate, dirt
End Dump TruckA tractor-trailer with its own hydraulic system for the trailer.Can carry large payloads; may be unstable on uneven grounds.N/A
Side Dump TruckA semi-trailer that tilts to dump materials from the side.Rapid unloading; stable during dumping; high load capacity in the Western US.Boulders, sand, sludge
Tri-Axle Dump TruckUsed for smaller loads over short distances, ideal for urban areas.Lightweight and cost-effective but limited load capacity.Light aggregates
Superdump TruckLarger dump trucks with a trailing axle for heavier loads.High load capacity while complying with federal standards.Asphalt, concrete
Bottom Dump TruckTrailers with a gate that releases material from the bottom.Precision material laying with its clamshell gate design.For stockpiling, transport, paving
Double Bottom Dump TruckSimilar to Bottom Dump with an extra trailer for increased transport capacity.Increased hauling capacity per trip.N/A
Off-Highway Dump TruckHeavy-duty trucks for off-road jobs like mining and dirt hauling.Includes haul trucks and articulated haulers, not typically referred to as dump trucks.N/A

Source: TruxNow

Dump Trucks Related Content

Dump truck businesses are profitable when you know how to steer through waste-related risks. Here you'll find out how to avoid them and protect your dump truck business.

2. Know Your Target Market

The target market of a dump truck business typically includes: construction companies, mining companies, earthwork companies, maintenance authorities, merchants, and manufacturers:



Target MarketDescriptionExamplesAdvantages of Working With This Target Market
Chemical and Construction CompaniesNeed services for raw materials like iron, gravel, coal, silicon, metals.Dow, ExxonMobil, DuPont- Volume and consistency of work
- Diversification of revenue sources
- Long-term contracts
- Scale of projects
- Professional networking and reputation
- Higher standards leading to better practices
- Opportunities for specialization
- Advanced planning and scheduling
- Potential for ancillary services
Mining IndustriesNeed services for mining and quarrying operations. Heavy-duty trucks needed.Freeport-McMoRan, Alcoa, Newmont Mining- High demand for heavy-duty services
- Longevity of projects
- Premium rates
- Specialization and niche expertise
- Year-round work
- Potential for multi-faceted contracts
- Lower competition
- Predictable scheduling
- Bulk transportation
Earthwork CompaniesNeed to transport sand, gravel, soil, asphalt to construction sites.Keller North America, MasTec, Malcolm Drilling- Diverse projects
- Local work opportunities
- Volume of material transport
- Repeat business
- Potential for year-round work
- Less specialized equipment required
- Fast payment cycles
- Simplicity of operations
- Networking and relationships
- Regulatory ease

Pro Tip: For each target market, Google it followed by your state EG โ€œChemical and Construction Companies + Texasโ€ In a spreadsheet, note down the contact details for each one, and start contacting them via email, telephone or online form to get your foot in the door.

3. Register Your Dump Truck Business

STEP 1: Choose a business structure


In many places, itโ€™s NOT obligatory have to set up a formal company for your trucking business; if you don't, it's just called a sole-proprietorship. This means you and your business are the same thing legally.

This might be okay for some, but think about the pros and cons. Creating a company can cost time and money now, but it might save you from future problems.

People usually create a company and register their trucking business to:

  • Keep their personal stuff, like their house and car, safe if the business has issues.
  • Save on taxes.

If you don't register, everything you own could be at risk if your business gets into trouble. But if you do, your personal things are safe from your business debts.

It's even better if you have separate business and personal phone numbers, credit cards, etc. That way, if your business faces problems, your personal things are not on the line.

If youโ€™re confused by the differences between each business structure, here we break them down for you:


Business StructureLike Doing a ProjectRisks and Benefits
Sole ProprietorshipBy yourselfAll decisions and profits are yours, but so are all debts and legal issues.
PartnershipWith a friendShare work, decisions, profits, and risks.
Limited Liability Company (LLC)Mix of solo and group workControl like working solo but with protection for personal assets.
CorporationFull class team with oversightMost protection but complex and formal with more rules and costs.

PRO TIP: For an independent, self-employed, owner-operator starting their first dump truck business, an LLC is often the best choice. It's like having a safety net. It's not too hard to set up, it gives you the freedom to run the business on your own, and it helps protect your personal stuff if the business hits a bump in the road. Plus, it can make your business look more professional to clients, which can help you get more work.

dump truck on building zone

STEP 2: Pick a business name & check itโ€™s available


After you determine the type of business structure you want to establish (assuming you want to set up a company), you'll need to pick a business name. Next, head to your Secretary of State's website and search to ensure no other business has that name.

PRO TIP: Google the following:

  1. Secretary of state for [INSERT YOUR STATE]
  2. file business name site:[INSERT DOMAIN OF STATEโ€™S SOS WEBSITE]

If your business name is available to use, you can click to register your new dump truck business. You'll need to provide some basic information, like your name, address, and business phone number.


STEP 3: Get an EIN Number


If you choose to register as an LLC or corporation, you'll need to obtain an EIN (Employer Identification Number) from the IRS.gov website. This is essentially like a Social Security number for your business so that you can file your business's taxes each year.


IRS website for EIN

4. Set Your Income Expectations

Dump truck owners usually make more than $130,000 a year__text in bold__. They also get to make their own schedules, which means they can work when they want and pick the jobs they like.

They meet different people and do various kinds of work. Plus, they don't have to travel far, so they can stay close to home.

But, how much dump truck owners make can vary a lot. Some make as little as $47,500, while others make up to $194,000. Most earn more than the average American.

Infographic: Dump Truck Income

5. Get Your Dump Truck Driver's License

If you plan on being a dump truck owner-operator, then you're going to need the right CDL drivers license for the truck that you'll be running. The federal government sets different driving class requirements depending on the gross vehicle weight rating, commonly known as a dump truck's GVWR. Dump trucks that weigh 26,000 pounds or less can typically be driven with a regular driver's license.

Some states may allow you to also attach a trailer with a gross weight of 10,000 pounds or less. It's best to check with your local state DMV to determine the specific allotments in your state.

Most dump trucks fall into the over__ 26,000-pound GVWR category__. In these cases, you'll need to have a CDL license to drive. These heavier dump trucks are separated into classes A and B.

Class A dump trucks have a GVWR of 33,001 pounds or more. This class comprises tractor-trailer dump trucks that are much larger than straight dump trucks. If you plan on hauling very large loads or want maximum flexibility, then you'll want to invest in a Class A license. This gives you the authority to run any dump truck regardless of its size.

Class B dump trucks have a GVWR of between 26,001 and 33,000 pounds. These are commonly referred to as straight dump trucks.

6. Get Dump Truck Insurance

Commercial trucking insurance policies help trucking companies protect their businesses from financial losses that could cripple them. They do the same for owner-operators, who could lose their livelihood in the event of a truck accident.

These are some of the insurance packages sought out by dump truck drivers:


Type of InsuranceDescription
Commercial AutoCovers the dump truck and other vehicles used in the business for damages due to collisions, theft, vandalism, weather, etc., as well as medical expenses for injuries.
Bobtail InsuranceProvides coverage when operating the dump truck without a trailer, including costs from accidents causing property damage or bodily harm, legal fees, medical bills, and settlements.
Cargo InsuranceProtects for-hire drivers from loss or damage to the cargo they transport for others.

Pro Tip: Take dumo truck safety precautions


Here are actionable precautions you can take to protect yourself and your business:

  1. Conduct a Pre-Drive Safety Check: Perform a thorough visual inspection by walking around the dump truck. Ensure the tires, tarps, gates, and hydraulics are in good working order.

  1. Verify Operational Readiness: Confirm that all mechanical systems are functioning properly to maximize the day's productivity.

  1. Assess Weather Conditions: Review the weather forecast and consider how any changes could affect your driving and safety on the road.

  1. Check for Overhead Obstacles: Before raising the truck bed, scan for any potential hazards such as power lines, tree branches, or structures overhead.

  1. Prepare for Safe Loading: Make sure the tires are properly inflated, the load is balanced, and that you're positioned on level ground before lifting the bed.

  1. Secure the Truck Bed Post-Operation: After loading or unloading, carefully lower the bed and ensure it is fully secured before commencing driving.
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7. Get The Mandatory Licenses and Permits

To actually operate your dump truck business, you'll need to have various permits and licenses. The permits you need will vary depending on the state in which you operate. However, most have the same basic permitting and licensing requirements, which include:

  • Business license
  • DOT registration
  • Tax ID number
  • Vehicle registration
  • Heavy Vehicle Use Tax (HVUT)

Some states may require additional special taxes depending on your type of operation. These may include Sale and Use Tax and Motor Vehicle Fuel Tax.

8. Register on Load Boards

When you're starting your own business, it's hard to get customers right away without having a solid marketing plan. Your plan should include investing in memberships on to get connected with prospective jobs and start creating connections with companies.


Load BoardTypeFeesDescription
Hot Shot CarrierPaid$19.95 - $24.95/monthLoads are generally posted for 18 wheelers. As a visitor, you can see the loads for free, but you'll need to subscribe to access contact information.
123 Loadboard โ€“ Hot ShotPaid$35 - $55/monthA version of 123Loadboard that is specifically for hot shot truckers. Provides access to over 50,000 loads daily. Offers a mobile app for easy access on the go.
Expedite Load BoardPaid$50 - $100/monthThe Basic plan is for carriers that are strictly looking for cargo van loads. The Pro plan is for carriers looking for cargo van, box truck & semi-truck freight.

Get the full table here.

9. Be a Dump-Truck Marketing Guru

Google's popular service, Google My Business, lets you set up a free profile for your company. Here, you can showcase photos, operating hours, updates, and other key details.

Customers can leave reviews on your page, helping to build trust and draw in new patrons. It's a good idea to get your Google My Business profile up and running before launching your own website.

Setting up your profile is simple, and it can act like a mini-website until your actual site is ready.

Using Google My Business doesn't cost anything except some of your time to get it started and to keep it updated. Keeping your profile fresh with new content can help your business show up more in Google searches.

dump truck google my business

10. Get the Money Together to Cover Start Up Costs

The startup costs of a Dump truck business can be a bit expensive, but it can help later in yielding profits. Here is the in-detailed cost breakdown for starting a Dumptruck business:-


Cost CategoryDescriptionApproximate Costs
Vehicle AcquisitionPurchasing or Leasing Dump Trucks or Trailers$200,000 to $500,000 per vehicle
InsuranceLiability, Collision, and Comprehensive Coverage$5000 to $10,000 per vehicle annually
FuelDiesel or Gasoline Expenses for operating per vehicles$1000 to $3000 per month
MaintenanceRoutine servicing, Oil Changes, Tire replacements, etc.$3000 to $5000 per vehicle annually
Licensing & PermitsRegistration Fee Permits for Commercial Operation$1000 to $3000 per vehicle annually
Driver SalariesWages For Dump Truck Drivers$40,000 to $60,000 per driver annually
Insurance (For Workers)Coverage for work-related injuries and illness$2000 to $5000 per driver annually
Administrative CostsOffice Supplies, Accounting services, software, etc.$2000 to $5000 per month
Marketing & Advertising of BusinessPromoting The Dump Truck Business$2000 to $10,000 per year
DepreciationDecrease in Vehicle value over the timeVaries based on Vehicle & Usage
TaxesTaxes Incurred by the businessVaries based on Vehicle & Usage

Source: APurple

Takeaways

  1. Choose the Right Dump Truck: Research the types of dump trucksโ€”standard, transfer, end, side, tri-axle, superdump, bottom, double bottom, off-highwayโ€”and select one that suits your intended tasks and load capacity.

  2. Identify Your Target Market: Determine potential clients such as construction and mining companies, earthwork companies, and local authorities. Understand their needs and how your services can meet them.

  3. Register Your Business: Decide on a business structure (LLC is recommended for new owners) and register your business to protect personal assets and take advantage of tax benefits.

  4. Set Income Goals: Understand the earning potential, which varies from $47,500 to $194,000, and set realistic income expectations for your business.

  5. Acquire the Proper License: Depending on your truck's GVWR, obtain the appropriate driver's licenseโ€”regular, Class A CDL, or Class B CDL.

  6. Invest in Insurance: Get commercial trucking insurance to protect your business from financial losses due to accidents or other unforeseen events.

  7. Understand and Obtain Necessary Permits: Secure all required permits and licenses, such as a business license, DOT registration, tax ID, vehicle registration, and HVUT.

  8. Utilize Load Boards: Join load boards to find potential jobs and start building relationships with companies.

  9. Market Your Business: Create a marketing plan that includes reaching out to local businesses, establishing an online presence, and setting up a Google My Business profile.

  10. Plan Your Finances: Calculate startup costs, including vehicle acquisition, insurance, fuel, maintenance, licensing, driver salaries, administrative expenses, marketing, and taxes to ensure you have the necessary funds to launch your business.

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