To succeed in Vietnam’s competitive trucking industry, developing a detailed and effective trucking business plan template is crucial. This article, prepared by experts at Xe Tải Mỹ Đình (My Dinh Truck), provides a comprehensive guide to creating an optimized, legally compliant, and highly effective trucking business plan. We’ll base our approach on current legal regulations, especially Decree 10/2020/ND-CP, to help you build a solid business roadmap.
Popular Types of Trucking Businesses
Before diving into the trucking business plan template, identifying the right type of business is the first and most important step. Decree 10/2020/ND-CP clearly defines the types of trucking businesses, each with its own characteristics and requirements:
1. Fixed-Route Passenger Transportation
This is a familiar form of passenger transport using buses that run long-distance routes with fixed departure and arrival stations.
- Features: Operates according to routes, schedules, and stations announced by competent authorities.
- Requirements: Vehicles must have a “FIXED ROUTE BUS” badge, priority seating for people with disabilities, the elderly, and pregnant women. Businesses and cooperatives need a license to operate fixed-route passenger transportation.
2. Fixed-Route Bus Transportation
A common form of public transport in urban and inter-provincial areas.
- Features: Buses operate according to a schedule, with fixed pick-up and drop-off points.
- Requirements: Vehicles must have a “BUS” badge, seating capacity of 17 or more (or from 12 to under 17 depending on road conditions), priority seating, and fully displayed information. Businesses and cooperatives must participate in bidding or ordering for route operation.
3. Taxi Transportation
A flexible form of transportation serving individual travel needs within urban areas.
- Features: Taxis transport passengers on demand, charging by meter or software.
- Requirements: Vehicles must have a “TAXI” badge, reflective “TAXI” lettering, and may have a “TAXI” light box on the roof. Use inspected meters or software that meets regulations.
4. Contract-Based Passenger Transportation
A form of transportation serving groups of passengers under a full-trip rental contract.
- Features: Transports passengers under a written or electronic contract, without selling individual tickets.
- Requirements: Vehicles must have a “CONTRACT BUS” badge, sign a transportation contract before execution, and only pick up and drop off passengers at the locations specified in the contract.
5. Tourist Transportation
Similar to contract transportation but specifically serving tourists according to tour programs.
- Features: Transports tourists under a transportation contract or travel contract.
- Requirements: Vehicles must have a “TOURIST TRANSPORTATION VEHICLE” sign, reflective “TOURIST BUS” lettering, and sign a contract before transportation.
6. Freight Transportation
Includes many different forms of freight transport:
- Taxi Truck: Trucks with a payload of less than 1.5 tons, charging by meter or software.
- Oversized/Overweight: Transporting oversized or overweight goods requires a permit.
- Dangerous Goods: Transporting hazardous goods requires a hazardous goods transport permit.
- Container: Using tractor-trailers to transport containers.
- General Cargo: Transporting other types of goods.
- Requirements: Trucks must have a badge corresponding to the type (TRUCK, TRACTOR, CONTAINER), display information, and have a waybill (transport document) when transporting goods.
Container truck transporting goods on the highway, illustrating freight transport.
Building a Trucking Business Plan Template
Now that we understand the types of trucking businesses, let’s build a trucking business plan template. A complete business plan should include the following elements:
1. Executive Summary
- Business Description: Introduce your trucking business, including name, address, contact information, and planned type of business.
- Business Objectives: Clearly define the business’s short-term and long-term goals (e.g., revenue growth, market expansion, service quality improvement).
- Differentiation: Highlight your competitive advantages over competitors (e.g., specialized services, competitive pricing, modern fleet).
- Financial Summary: Overview of capital needs, projected revenue, expenses, and profits.
2. Company Description
- Legal Structure: Identify the type of business (sole proprietorship, LLC, cooperative, etc.).
- History and Development (if applicable): Introduce the business’s formation and milestones.
- Mission and Vision: Clearly state the business’s mission to serve customers and its vision for development.
- Management Team: Introduce key management personnel and their experience.
3. Market Analysis
- Target Market: Identify the main target customer (e.g., individual customers, businesses, tourists, geographic area, etc.).
- Market Size and Potential: Assess the size of the target transportation market and its future growth potential.
- Competitive Analysis: Research key competitors, their strengths, weaknesses, and competitive strategies.
- SWOT Analysis: Evaluate the business’s Strengths, Weaknesses, Opportunities, and Threats.
4. Transportation Services
- Types of Services Offered: Describe in detail the transportation services you will provide (e.g., fixed-route passenger transport, taxi, truck rental, etc.).
- Service Process: Define the service delivery process, from receiving requests, dispatching vehicles, transporting, to payment and customer care.
- Service Quality: Commit to service quality, standards to ensure customer satisfaction.
- Service Pricing: Develop a competitive and market-appropriate service price list.
5. Marketing and Sales Plan
- Marketing Strategy: Identify effective marketing channels to reach customers (e.g., online marketing, traditional advertising, public relations, etc.).
- Sales Plan: Develop a detailed sales plan, including sales targets, sales activities, and promotional policies.
- Brand Building: Invest in building a reputable and professional brand.
- Customer Care: Build a thoughtful customer care system to maintain long-term relationships.
6. Operational Plan
- Fleet and Vehicles: Describe the existing fleet or plans to invest in a fleet, ensuring it meets the requirements for quantity, quality, and type of service.
- Recruitment and Training: Plan to recruit and train professional drivers, dispatchers, and support staff.
- Vehicle Management and Maintenance: Develop a process for managing and maintaining vehicles regularly to ensure safety and operational efficiency.
- Route Operation and Management (if applicable): Plan route operation, schedules, and station management (for fixed-route transport).
- Technology Application: Plan to apply technology to management, operation, and service delivery (e.g., transportation management software, ride-hailing app, etc.).
7. Financial Plan
- Capital Needs: Determine the total initial investment and necessary working capital.
- Funding Sources: Identify sources of funding (owner’s equity, bank loans, investment capital, etc.).
- Projected Revenue: Forecast revenue based on the target market, service pricing, and sales plan.
- Projected Expenses: List and estimate operating expenses (fuel costs, employee salaries, vehicle maintenance, marketing, management, etc.).
- Projected Financial Statements: Prepare projected income statements (profit/loss), cash flow statements, and balance sheets for the first 3-5 years.
- Break-Even Analysis: Determine when the business will start making a profit.
8. Risk Management and Contingency Planning
- Risk Identification: List potential risks that could affect business operations (e.g., fuel price fluctuations, fierce competition, traffic accidents, changes in laws and regulations, etc.).
- Risk Assessment and Analysis: Assess the severity and likelihood of each risk.
- Risk Response Plan: Develop preventive measures and responses to each type of risk.
- Contingency Plan: Prepare contingency plans to ensure business continuity in the event of an incident.
Xe Tải Mỹ Đình's fleet of closed-body trucks ready to serve freight transport.
Important Notes When Creating a Trucking Business Plan
- Legality: The business plan must fully comply with current laws and regulations on trucking, especially Decree 10/2020/ND-CP.
- Realism: Forecasts and plans should be based on realistic data and market analysis, avoiding wishful thinking.
- Flexibility: The business plan should be flexible enough to adapt to changes in the market and business environment.
- Feasibility: Ensure that financial, human, and physical resources are sufficient to implement the business plan.
- Professionalism: Present the business plan in a professional, clear, and easy-to-understand manner.
Conclusion
Having a well-structured trucking business plan template is a solid stepping stone to your success in the trucking industry. This article has provided detailed instructions so you can build an effective business plan yourself. However, to ensure your business plan is optimized and best suited to the real situation, contact Xe Tải Mỹ Đình for in-depth advice and comprehensive support. We are always ready to accompany you on the road to building and developing a strong trucking business.
