Form the business
Decide on a business structure and get an employer identification number from the IRS. Open a business bank account so freight payments, fuel and insurance stay separate from personal money. Insurers and brokers will ask for the legal business name exactly as registered, so keep it consistent everywhere.
Register with FMCSA
Apply for a USDOT number and, if you will haul regulated freight for hire across state lines, operating authority, which comes with an MC number. The application asks about the type of operation, the cargo you will carry and the vehicles you will use. Answer carefully, because those answers drive what insurance filing is needed.
Process agent and insurance
Designate process agents in each state with a BOC-3 filing, usually done by a process agent company. Then have your insurer file proof of liability coverage. The authority activates only after both are on file and any waiting period has passed.
State and tax accounts
- Unified Carrier Registration for interstate carriers
- Apportioned plates under IRP for qualified vehicles
- An IFTA fuel tax license
- Heavy vehicle use tax with IRS Form 2290 for heavy trucks
- Any state permits such as weight-distance or intrastate authority
Drivers and safety
Set up driver qualification files, a drug and alcohol testing program for CDL drivers, Clearinghouse queries and hours-of-service records before dispatching your first load. These files are exactly what the new entrant safety audit reviews.
Key setup steps
USDOT number and MC authority
Registration, operating authority and what triggers them.
Learn moreInsurance before authority
Binding coverage and getting the filing made.
Learn moreNew entrant safety audit
What the first-year audit looks at.
Learn moreFrequently asked questions
How long does setup take?
It varies with how quickly you complete each step and how long filings take to process. Insurance is often the step that stalls new carriers.
Do intrastate-only carriers need all of this?
Not all of it. Many states require a USDOT number for intrastate carriers, but federal operating authority applies to interstate for-hire carriage. Check with your state.