How to Start a Moving Company

A residential or commercial moving business could be a great way for you to start a successful company.

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Starting a Moving Company

Moving Business Formation Guide

Starting a Moving Company

We’ve never had more choices of where to live or work — that need for relocation means there’s plenty of opportunities for starting a reliable and trustworthy moving venture.

You’ll need to balance demand for moving services in your local area against the costs of buying the equipment and hiring employees to help people relocate. You may also want to buy into a moving franchise, or strike out on your own and build a company from scratch. Perhaps you became interested after helping people move through a contract service like U-Haul.

We want to help you get your business off the ground.
There are lots of questions involved in starting a moving business, and we’re here to help. We’ve supported over 1,000,000 people to form their business and provided answers to transform them into entrepreneurs. We’ll guide you through what you need to know to start your relocation company and get it off the ground.

Moving Business Formation Guide

From validating your business and doing the research to filing your paperwork and running your venture, this guide will help you out. We’ll talk you through the main things you need to do to get your moving company off of the ground. Read on for some insight into creating your own moving business and becoming an entrepreneur. In this guide we will cover:

Statistics on why you should start a moving company

Choosing the right business structure for your moving venture

How to find out if a moving business is right for you

How to start your moving business with information on equipment, employees, location, permits, finances, taxes and more

Different types of relocation businesses

Groups, forums and support for moving business owners

How to validate your moving business idea

Useful online tools for moving business owners

Business plans for moving companies

What Type of Moving Business Should You Start?

There are several different types of moving business that you can start. Here are some of the more popular options:

Start a Franchise Moving Business

Franchises can have several advantages for moving business owners. You’ll get help with branding, promotions and marketing, together with support and guidance on setting up your relocation company. You will need to pay a franchise fee, possibly on both a one-time and ongoing basis. You’ll also need to meet the licensing requirements of the franchisor.

Start a Local Moving Business

To begin with, you might want to just do small, local moves within your city and the surrounding area. This will help you resolve issues early on and will reduce the costs of buying equipment and hiring employees. You can build a name for yourself in the local market.

Start a Regional or Interstate Moving Busines

If you’ve got plenty of ambition and capital, then it might be worth starting up a slightly bigger moving business that does interstate and long distance relocation. You will probably need to buy more vehicles and hire more employees, but you can also charge higher fees.

Start a Commercial Moving Business

It’s not just individuals that want to relocate — commercial businesses need to move too. You could start a specialized office moving company that helps move office furniture, equipment and other items. This may be a less crowded niche in your local area, but there’s also a smaller customer base, so it’s important to do your research.

Validating Your Moving Business Idea

These are all great starting points, but you will need to build on them to make your relocation business your own. You have unique skills and insight that you can use to create a moving business that will really stand out.

Identify Your Moving Business’ Unique Selling Points (Usps)

You will want to sell the benefits of your relocation services to your customers. It’s important to identify what you do well and use this as the basis for your offerings. Consider the range of moving services you offer, your track record, the skills of your employees or anything else that sets you apart.

Look At Who Your Competitors Are In The Space

Having competitors is a good thing as it shows there’s a market — but if there are too many, you’re likely to struggle without a really good unique selling point. Bear in mind how likely people are to move to or from your local area and compare this to the number of existing moving businesses to start understanding the potential market size.

Understand Your Market

Clearly identify exactly who your relocation customers are likely to be, where they hang out and how you’re going to reach them. This will be essential to your marketing, communications, sales and customer support.

Talk To Clients

Speak with potential customers to understand what they want from your relocation services, and validate this by asking if they would commit to spending real money on them. Ask them to get into the details, so you can tailor your moving offerings.

Get Involved With Food Truck Communities And Discussion Groups

One of the great things about a moving business is that there are some good discussion groups. Get involved in them and learn the ins and outs of your chosen market before committing.

Not every idea you have will make it through to becoming a moving business. There are all sorts of reasons to say "yes" or "no" to specific businesses, so think about what your strengths and weaknesses are so you can choose a type of relocation business you’d be great at.

Your Moving Business Needs a Plan

You need to define how you’re going to run your moving business, market yourself, get sales, make a profit and grow. This can only come about by creating a watertight business plan. It will help you get your thinking in order and show your commitment to your moving business. Your relocation company needs a business model, which is how you will generate sales, provide services and make money. Think about your business model now, because it’s better to have that in place so you can start acquiring customers and generating revenue from day one. Business plans do vary slightly, but they should all cover the following areas:

An executive summary with the most important points from your business plan

Your goals and what you hope to achieve with your moving business

A description of your moving business, background information and context

A market analysis and likely demand based on the relocation niche that you’re serving

An overview of how your moving business is structured

Your business model and how you’ll operate

How you will market and sell your offerings

Financial projections, revenue, and profitability

Appendices

We’ve got the perfect guide to writing your business plan.

Right Business Structure

Choose the Right Business Structure and Register Your Moving Business

There are five main business structures you can have in the U.S., and it’s important to choose the right one. We’ve shared your options below. They are:

Sole Proprietorship
If you don't choose to form a legal business entity for your moving business, you will be a sole proprietor by default. This won't give you the legal protections you need, so we do not recommend this.

Partnership
Similar to a sole proprietorship, if you go into business with someone else without forming a legal business entity, you will be treated as a partnership. This doesn't give you limited liability protections, so we don't recommend it for your moving business.

Limited Liability Company or LLC
The most common type of business entity. An LLC is fast, simple and inexpensive to set up and maintain. It protects your personal finances and assets and is a great way to start your moving business.

S Corporation
This is a more complex type of business and isn't generally recommended for smaller organizations.

C Corporation
These are the largest and most complex types of businesses, and they are typically far more than the average entrepreneur or moving business owner will need.

For more information on the advantages and disadvantages of different types of businesses, please see our in-depth guide. If you’ve still got questions, we’ve answered them to help you choose the right business structure for your moving company business. In most cases, our recommendation for your moving business is to create an LLC. We’ve got a complete guide to everything you need to do. LLC formation does vary from state to state, but we’ve got you covered, wherever you are.

Setting up Your Moving Business and Business Operations

Once you’ve legally created your moving business, you’ll need to get some other things in place.

Marketing Your Moving Business

Marketing will be a huge part of your moving business. Word-of-mouth and referrals will be necessary for attracting customers, and you’ll also want a really good website. Focus on delivering excellent customer service to get good reviews, which will help to drive customer acquisition.

Marketing

If you’re in an online marketplace, you probably won’t need to do much marketing. It’s important to represent yourself in the best possible way and gather good reviews. For people with another type of side business, your marketing needs will vary depending on the specifics of what you’re selling.

Equipment

Just like the location of your business, the equipment you need will depend on the type of side business you’re running. In most cases a laptop and smartphone will be sufficient, although other types of side businesses may need more specialized equipment.

Location Of Your Business

The location of your side business will depend on the type of business you run. In almost all cases, you’ll run your side business mainly from home, even if your main place of work is your car or property that you’re renting out. Remember that if you’re selling products, you will need space to store your stock.

Finances And Taxes

You will need a separate business bank account for your online business. You might also want to consider a business credit card. Additionally, you will also need to keep careful bookkeeping records and file business and personal taxes. Here at Bizee we can even help you file your taxes.

The Complete ‘‘Start Your Business‘‘ Checklist

A Clear and Comprehensive Guide to Starting Your Business the Right Way

Rules, Regulations and Taxes for Your Moving Business

You can’t escape real-world licenses, permits and regulations. You will need to explore local, state and federal licenses and permits, and we can also help out with researching your business licensing needs.

Taxes

Taxes are a fact of life if you’re in business, and there are various ways you will need to file and pay them. This can include self-employment tax, state income tax and federal income tax. Depending on where and how you’re selling products and services, you may also be liable for sales and use tax. As a rule of thumb, we recommend holding back around a third of your earnings to pay your taxes. We can also prepare and file your tax returns for you.

Insurance for Your Moving Business

All moving businesses should have comprehensive business insurance. There are various types.

Workers Compensation Insurance

Workers’ compensation insurance provides coverage for job-related illnesses, disabilities or injuries that affect employees. Regulations for this insurance vary from state to state. It typically covers areas like medical costs, loss of earnings, compensation and retraining. This is essential for a moving business as handling large, heavy and awkward items could expose your employees to risk of injury.

General Liability Insurance

This insurance protects your moving business from claims due to being sued. This may include injury to members of the public, property damage, personal liabilities, legal defense and more. It can help protect your business from financial penalties and bankruptcy. This type of insurance is essential to your moving business as you will be going into and out of homes, and moving large items invites risks. You will also need to arrange to have your clients’ property insured while you’re holding or transporting it.

Specialized Office And Auto Insurance For Your Moving Business

You will want commercial office and vehicle insurance to cover your assets.

Maintaining Your Moving Business

There are certain forms and legalities you need to follow to keep your moving business in good standing.

File an Annual Report

Most states require all businesses to file a report once a year. This report has details of any major changes to who owns a business and other major impacts on a business’ legal status. We can file your annual report on your behalf.

Pay estimated taxes

You will be expected to pay estimated taxes on what you plan to earn in the current business year. Typically, you will need to pay estimated taxes in April, June, September and January (of the following year).

Renew Business Permits and Licenses

Your business will probably have several licenses, permits and other regulations. These typically need to be renewed every year.

Pay Payroll and Sales Taxes

If applicable, you will need to make payroll and sales tax payments on a regular basis.

File Your Taxes

You will need to work with your accountant to prepare and file all the taxes you need to pay.

Groups and Forums for Moving Business Owners

Here are some useful places where you can connect with other moving entrepreneurs.

Junk Removal, Moving and Dumpster Rental business owners discussion group (Facebook)

MovingScam.com forum to protect

Review a Mover Forum

Hustle Helpers Useful Tools to Get You Started

There is a vast amount of tech tools, apps and services available to business owners to help them market and manage their business. But for side hustlers, you’re looking for something that’s quick to adopt, without a steep learning curve.

Project Management

Asana

Basecamp

Trello

Productivity

Todoist

Evernote

Collaboration

Google Docs

Dropbox

Box

Social Media Management

Hootsuite

Buffer

Sprout Social

BuzzSumo

Communication

Skype

Grasshopper

Slack

Yammer

Email Marketing

MailChimp

CampaignMonitor

Advertising

Google AdWords

Bing Ads

Marketing Automation

Hubspot

Hatchbuck

Customer Relationship Management (CRM)

SalesForce

Insightly

Zoho CRM

Customer Support

ZenDesk

SurveyMonkey

Human Resources

Gusto

Hire Athena

Legal

DocuSign

RightSignature

Ecommerce

Wix

Recurly

Vendio

Square

Website Development

Wix

Squarespace

WordPress

Analytics

Google Analytics

SEO

SemRush

KWFinder

Ahrefs

Moz

Hiring

ZipRecruiter

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Conclusion

As you can see, there are some great opportunities to start a successful relocation and moving business. If you can find a great niche, understand your competitors and put together a solid business plan, you will have every chance for success.