Towing Issues: towing business, state dmv, dot numbers


Question
QUESTION: Hey i live in wicomico county in maryland. I would like to start a legal towing business. buying a truck, equipment, lot and all isnt really the problem I am facing. I am trying to make this a legal towing business. what kind of legal documents and all do I need to have a legal business. I also want to have DOT numbers and auto transport tags. How do I acquire a business license if needed and all? I cant seem to find anyone on the internet who can give me a start as to where to start my research. I have the money. I have a piece of land commercially zoned. and I have two diesel trucks I will be equipping to do the job. just want to do the research on how to start up legally but dont know where to start.

also if you know how do you start a legal shop as when business grows customers needs also do.

ANSWER: Maryland has some restrictive rules about towing businesses and as such the best thing would be check with the State DMV for the tags and other requirements...

Business license well that is the City you are in... Insurance companies who write towing insurance are different than regular companies.

Trucks, or equipment well there are dozens of places to get the stuff needed...

If you want to do some research you can check out a few towing forums (listed below) and gain a bit more information about the business...  But be warned, it is a very expensive business to be in.

www.tow411.net

www.towtalk.net



---------- FOLLOW-UP ----------

QUESTION: do i need DOT numbers? how do i go about obtaining them. do i need to get a CDL. I would be using the same trucks i used while working for another towing company and we didn't have CDL's but had DOT numbers.

What other restrictive rules does Maryland have? my biggest thing is taking care of the legalities and right paperwork, such during the start up to make the business a real business not just someone with a truck.

trucks are a dime a dozen i planned on paying cash for f650 rollback. I own a piece of property zoned agricultural with my residence towards the back of the property, i was going to fence in a section and use that to store cars. as far as equipment goes i already own close to a third of the everyday stuff needed for a 1 truck operation. having hauled my own personal and buddies vehicles on trailers, off road recovery with my truck, and working on vehicles i have acquired quite a few things i used on a day to day basis when i worked for a tow company. I know i can seceed in this industry i have finances to get the ball rolling the start up know how is the only thing holding me back.

Answer
Yes you need US DOT numbers,  get ahold of the US Department of Transportation, online and you can get them...

CDL, well you might have different rules there, but generally if you drive commercially and the GVWR is over 26,001 pounds you need them, but best to have one anyway... Less chance of problems.

The state should be able to tell you what all is needed, that or any good commercial insurance agent...

Good luck and hope it works, but with the rising fuel prices, I know of many tow companies (some been in business 30 or more years) are going out of business...