Be Your Own Boss
Get Your Own Carrier Authority
- What Is Required?
All new entrant Motor Carriers must submit an application package to obtain both a DOT Number and an MC Number.
After the initial application has been submitted, before the authority will be granted:
- A BOC-3 Blanket Agent listing must be filed. (We handle this for you.) This is a simply a representative agent in each state upon whom court papers may be served in any proceeding brought against a motor carrier, broker, or freight forwarder.
- Your insurance company must file proof of just the liability insurance with the FMCSA.. You should get a $1,000,000 liability policy and $100,000 of cargo insurance. This is more than is required but it is what brokers and shippers expect you to have.
- How Much Insurance Is Required?
- The FMCSA minimum requirement for insurance is for $750,000 of liability insurance. The requirement for cargo insurance was eliminated in the spring of 2012. However, from a practical standpoint, most shippers and brokers will require that you have $1,000,000 of liability insurance. In addition they usually want to see $100,000 of cargo insurance before they will even consider using your services. We can usually recommend an insurance carrier for you if you don't know who to call.
- How Fast Can I Get My Own Authority?
- As long as you get your insurance recorded no later than 10 business days from when your motor carrier application is submitted, your authority will be issued on the 15th business day.
- How We Can Help.
We will file the application package for you electronically and obtain both your DOT Number and MC Number the same day we file and we will handle the Process Agent Filing. We will be available to help you in any way we can and answer any questions you might have before, during and after the application process. We are available for you 7 days per week so getting an application started or questions answered on a weekend is not a problem.
- How Much Will It Cost?
- We will file the necessary application forms for you electronically for only $515.00. This includes the filing fee, the necessary BOC-3 Process Agent filing and access to the following 4 loadboards for one year FREE: loadsolutions.com,
freight-terminal.com, hotshotcarrier.com & stepdeckcarriers.com.
Hopefully these loadboards will help you to get started. Our Load Solutions site will be of special interest to you as it has a huge database of shippers throughout the country. This can be extremely helpful in your home area because you are a local carrier. You can also use the database to find shippers in areas where you need backhauls on a regular basis.
- Should I setup an LLC (Limited Liability Company)?
Setting up a corporation or an LLC is in an option you should seriously consider because it can protect you from personal liability if something bad happens. If you are planning on setting up an LLC for your business you can file for your authority at the same time the LLC is being formed.
If you decide to form an LLC company, we can help you determine if the name you want to use is available before you file for your authority. We can also answer questions you may have and we can also help you get your company formed and coordinate that with the filing for your authority. You are welcome to call us 7 days a week and we will be happy to answer your questions.
- What else do I need?
- You need to pay the UCR (Universal Carrier Registration) tax for the current year. This is a step many new carriers miss because it is not required to get their authority and they simply don't know about it. They usually find out the hard way by getting a $300 fine the first time they are stopped and checked.
We can typically handle this for you a day or two after we file for your motor carrier authority and your company is in the computer system. The cost is $120 for 1 or 2 trucks. The cost increases in steps as your fleet size increases. This registration must also be done at the end of each year for the following year.
- Additional information.
- If your combined GVWR is over 26,000 pounds you must also obtain an IFTA license for payment of your fuel taxes unless you register the vehicle at 26,000 pounds or less. HOWEVER, if you cross a scale and you weigh over 26,000 pounds you can be in serious trouble. The thing you have to keep in mind is that the shippers declared weight is not the correct weight so you always want a cushion. If you think you are even close to this limit, be sure to get checked at a public scale. Better to be safe than sorry.
Please check the "VITAL INFORMATION" tab on our navigation bar above for information on important subjects you need to be knowledgeable about if you are planning to get your own authority.
- Ready To Get Started?
- Please take a few minutes and fill out the application form below. It gives us the basic information that is needed and eliminates the chance of spelling errors that can develop if we take the information over the phone.