Business

The Housing Boom Means Big Business for Moving Companies 

The impact brought about by the COVID-19 pandemic has led to the possibility of earning big for moving companies.

The sales of previously owned U.S. homes have skyrocketed to its highest level in 14 years last year which means that it is a great time to invest in the moving business. Furthermore, many economists made a forecast that sales are going to rise again in 2021.

Good news for moving business

The said housing boom is creating a ripple effect on the moving business because of the increasing demand. As opposed to the previous crisis for the moving business, companies are all tyring to keep up with the demand.

According to Top Notch Movers owner DeAndrew Foy, the moving business went to a screeching halt when hit by the pandemic. That was because many moving companies felt the pinch with lots of people losing jobs getting less customers planning to move.

Today, Foy said that their phone lines stay busy while the trucks remain loaded. It should be a peak time for people to pack and move. Thus, the housing market boom is causing the demand to skyrocket as well.

Why it is not a smart move

Starting a moving company might not be a smart move right now which is due to the following reasons.

  • You are going to face lots of competitors that are already established in this field
  • You are going to use your own equipment and fleet, which can take up a fair share of your budget and a high-risk merchant account
  • You can become a moving broker to make money on the moving industry and avoid all the stress

How to become a moving broker

Instead of a moving company, you can settle as a moving broker which acts as a middleman between the client and the moving company. Thus, you don’t have to buy trucks, have a full-time moving staff, or invest in moving equipment.

  • Legal requirements

You have to be registered with the U.S. Federal Motor Carrier Safety Administration (FMCSA) even if you are not moving the goods yourself. This will be the governing body that educates and regulates brokers, carriers, and other professionals particularly on various laws and safety protocols within the moving industry.

The application might depend on the state which takes about 6 weeks to process and get a registration number for a fee of $300. Part of the requirements is insurance of at least $75,000 in the form of a surety bond or trust fund agreement.More info Click here 7starhd

  • Additional requirements

As part of the requirements, you also have to provide your clients additional proof of your credibility. Moreover, you have to get familiar with a list of moving companies you will be working with from the ‘FMCSA Your Rights and Responsibilities When You Move’ booklet and a written agreement with such movers.

In addition, there is a requirement to have a high-risk merchant account for moving brokers so that you will be able to collect payment without account freezing. More info for click here comments On Instagram

Just like running any type of sales or customer service-oriented business, becoming a broker requires you to maintain a good relationship with at least 10 companies for your clients to have enough options and ensure them you have a company that is ready to help them with their needs. For more info Visit the site tamilmv

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