The Iowa Small Business Development Center at Indian Hills Community College helped Josh Lopshire set up an accounting system, allocate costs, develop cash flow projections, and more to start his trucking business.
Josh Lopshire drives trucks for a living and until December 2012 he earned his living driving for others. In June 2012, Josh went to the Indian Hills Small Business Development Center (SBDC) and talked to SBDC Regional Director Bryan Ziegler about what it would take to start his own trucking business.
The trucking industry has several unique issues to deal with, including tight profit margins and regulation. Bryan provided advice on allocating costs correctly, so Josh would know how to bid jobs and which jobs to accept. Additional assistance was provided in setting up the company’s accounting system, using Microsoft Excel for the costing side and QuickBooks for the accounting side. Bryan also told Josh about all of the rules and regulations required by the Department of Transportation, so the company would be in compliance.
Two trucks and trailers are owned by Josh Lopshire Trucking; two are leased and two others are operated by owner-operators. This has resulted in income for a total of seven people. One of the drivers is Josh’s father, John. The company’s trucks are used for hauling dry bulk commodities such as grain, cement and specialty sands, which allows the drivers to stay near home and provide additional capacity to move local grain, mainly in the Midwest states. The revenue for 2013 was over $400,000 and the amount of revenue per month in 2014 will result in growth for 2014.
Josh says, “The director of the SBDC has always responded to our needs in a way that solves the problem but then improves our understanding so that we can work through the issues the next time.”
Josh’s goal is to gradually grow his company over time. This area of Iowa, which is essentially the center of the Midwest, has proven to be an excellent location for his business. Josh has also added a repair shop because controlling his company’s repair costs is a significant method in obtaining profitability.
It has become obvious that buying new equipment should be the company’s next goal as this will result in lower fuel cost and repair cost. The company’s current financing was obtained through equipment dealers, but Josh will come back to the SBDC when he’s ready to find financing to buy that new equipment.
For more information about Josh Lopshire Trucking, email Josh at firstname.lastname@example.org or call the company at 641-680-9434.