If you are planning to write the Box Truck business plan on your own, then this sample Box Truck business plan can be great for guidance. However, if you are looking for a professional business plan writer for a business loan, SBA loan or to find out the possibility of success for your new business then let’s talk!
Executive Summary
Overview: Jim Ryder began transporting concrete in 1933 with little more than a concept and a $35 down payment on a Model A Ford truck. Ryder’s full-service leasing company took off when a beverage distributor in Miami leased five trucks from him five years later. Since then, we’ve evolved into a Fortune 500 industry leader with annual sales of more than $8.4 billion, something we’re pretty proud of. It’s been a long road, and we’re looking forward to the future, but we’ll never forget our modest, entrepreneurial beginnings
Mission: Our mission at Ryder is to offer dependable, safe, and efficient supply chain and fleet solutions that enable our clients to keep their commitments.
Vision: Our vision at Ryder is to provide compelling value via outsourcing. Our vision is to operate and own the world’s most excellent network of trucks and vans for the last-mile delivery of big-box products.
Industry Overview: The use of road vehicles, such as semi-trailers and light trucks, to carry products over overland routes is referred to as the trucking business. The most typical purpose is to move items from manufacturing facilities to retail distribution centers. However, there are other popular uses in the construction sector, including building materials and garbage transfer. Trucking accounts for most overland freight transit in the United States, with a market value of 732.3 billion dollars expected in 2020. There were over 902,000 truck drivers working in the United States at the time, which was fewer than the industry required. Driver expenses are the industry’s main concern due to driver scarcity. In general, the trucking business in the United States may be classified into three categories: full truckload (FTL), less-than-truckload (LTL), and couriers.
Financial Overview:
Financials is one of the most important sections of a Box Truck business plan. You can get an idea of your projected revenue, required investment amount, is the business sustainable without additional funding, etc.
Financial Highlights:
| Liquidity | 2020A | 2021A | 2022F | 2023F | 2024F |
| Current ratio | 6 | 12 | 23 | 32 | 42 |
| Quick ratio | 6 | 11 | 22 | 31 | 40 |
| DSO | 8 | 8 | 8 | 8 | 8 |
| Solvency | |||||
| Interest coverage ratio | 8.2 | 11.1 | 14.2 | ||
| Debt to asset ratio | 0.01 | 0.01 | 0.2 | 0.18 | 0.16 |
| Profitability | |||||
| Gross profit margin | 51% | 51% | 53% | 53% | 53% |
| EBITDA margin | 12% | 14% | 21% | 22% | 22% |
| Return on asset | 5% | 6% | 13% | 14% | 14% |
| Return on equity | 5% | 6% | 16% | 17% | 17% |
FUND USAGE
Industry Analysis
The industry analysis section of the Box Truck business plan will help you get better insights into competitors, market growth, and overall industry prospects. You can order a custom market research report for your Box Truck business.
The volume of local and regional trucking freight moved in the United States is constantly fluctuating in the trucking sector. The growth of the e-commerce business and online purchasing, which includes package shipping and delivery, is a crucial cause for this. Also, same-day delivery of everything from groceries to beds has expanded due to the e-commerce culture. Consider adding box trucks to your firm to meet the expanding freight demand in the less-than-truckload (LTL) sector.
A straight truck, box van, or cube van is another name for a box truck. Consider the following: A straight truck does not have a separate trailer connected by an axle. These trucks vary in size from Class 3 to Class 7 and have a gross vehicle weight of 33,000 pounds. When moving LTL freight, you must choose a vehicle capable of doing so.
The work requires a Class 8 big rig, which is too big for the job. On the other hand, a box truck is intended to easily handle urban areas, making it the best choice for local freight transporting duties. You may save costs and increase revenues by picking the correct size vehicle for your hauling business.
While market statistics estimates for 2022 are prone to alter owing to market volatility, the statistical data utilized to support these assertions stays the same. When it comes to GDP generated by the transportation business, the United States now ranks first. This industry’s GDP is more than the combined GDP of 150 countries across the globe. With more than 5.8% of employment in the nation tied to the trucking sector, the trucking business employs a significant portion of the workforce in the United States. Trucks transported roughly 10.8 billion tons of cargo throughout the United States. Trucks transport about 70 percent of the country’s commodities from one state to the next. More than 40% of positions in the trucking business are held by persons of color, indicating that the industry is very diverse. Grocery businesses rely heavily on truck drivers to transport their supplies, and most would run out of food within three days if truck drivers stopped delivering.
While working on the industry analysis section of the Box Truck business plan make sure that you add significant number of stats to support your claims and use proper referencing so that your lender can validate the data.
Ramps and hydraulic lifts are among the loading options available on box trucks. Consider the following: Look at the various box truck designs if you’re worried about being able to load your truck. Box trucks with a pull-out ramp are available, however, they need you to physically raise and position a metal loading ramp every time you load your truck. A hydraulic lift is a more expensive purchase. However, the speed and reliability of a hydraulic lift make it worthwhile for busy freight carriers and professional organizations investing in their fleet.
Class B truck drivers are required to operate a box truck. Consider the following: Class B truck drivers must be at least 18 years old, whereas Class A truck drivers must be at least 21 years old. As a result, you have a broader driver pool from which to pick when employing truck drivers for box truck jobs.
Bathrooms are not available in box trucks. Consider the following: While truck drivers may enjoy having access to restrooms while on the road, no vehicle, even box trucks and Class 8 large rigs, comes equipped with one.
A sleeper may be seen on certain straight trucks known as hotshot trucks or expeditor trucks. Consider the following: If you’re buying or leasing a box truck for your company, you’ll most likely use it for local or regional transportation. Even these sorts of employment may require drivers to spend the night away from home. You may provide your drivers a secure area to relax by picking a straight truck with a raised roof sleeper or compartment.
The trucking business has changed dramatically in the last year, both in terms of how it operates and the types of vehicles that are entering the marketplace. The industry has seen its ups and downs in the United States alone this year, all of which have had an influence on total output and development in this field. A number of factors have influenced how the sector has operated, and several factors have affected how work is accepted in this business. With the year 2022 rapidly approaching, it’s time to examine some of the trends that are anticipated to emerge in the future year to see how they will affect the sector.
Marketing Plan
A key part of the marketing plan in a Box Truck business plan is the marketing budget. The growth in the number of customers is proportional to the budget and dependent on the CAC.
Website: Ryder System, Inc. offers a website with excellent looks and valuable material that can help us stand out from the competition.
Social Media: Actively responding to inquiries builds trust between Ryder and a potential client.
Brochures: Distributing information about Ryder System, Inc. in the form of pamphlets is another technique to communicate with clients.
Signage: Clear signage attracts attention and is the most effective approach to promoting Ryder.
Leverage Broadcasting: Advertise on radio and television for non-social media users.
Discounts: A member referral scheme for Ryder’s frequent customers where members get a coupon if they successfully recommend someone to avail of our services.
Organogram:
Financial Plan
This section of the Box Truck business plan helps your lender figure out whether you will be able to pay off the loan, whether the business is sustainable, what are the growth prospects, etc.
Earnings:
Break-Even Analysis:
Income Statement:
| 2020A | 2021A | 2022F | 2023F | 2024F | |
| ANNUAL REVENUE | |||||
| Item 1 | 9,217 | 59,117 | 175,410 | 415,277 | 781,357 |
| Item 2 | 34,701 | 222,558 | 660,368 | 1,563,394 | 2,941,580 |
| Item 3 | 4,067 | 19,561 | 46,432 | 78,519 | 114,905 |
| Total annual revenue | 47,985 | 301,236 | 882,211 | 2,057,189 | 3,837,842 |
| % increase | 528% | 193% | 133% | 87% | |
| COST of REVENUE | |||||
| Item 1 | 360 | 2,259 | 6,617 | 15,429 | 28,784 |
| Item 2 | 480 | 3,012 | 8,822 | 20,572 | 38,378 |
| Item 3 | 52,000 | 65,000 | 78,000 | 91,000 | 104,000 |
| Item 4 | 720 | 3,615 | 8,822 | 16,458 | 23,027 |
| Item 5 | 140,000 | 336,000 | 560,000 | 840,000 | 1,120,000 |
| Item 6 | 60,000 | 144,000 | 240,000 | 360,000 | 480,000 |
| Item 7 | 32,000 | 61,333 | 85,533 | 112,153 | 141,435 |
| Total Cost of Revenue | 285,560 | 615,220 | 987,794 | 1,455,612 | 1,935,625 |
| as % of revenue | 595% | 204% | 112% | 71% | 50% |
| Gross Profit | -237,575 | -313,984 | -105,583 | 601,578 | 1,902,218 |
| SELLING & ADMIN EXPENSES | |||||
| Item 1 | 28,000 | 96,800 | 154,880 | 175,692 | 193,261 |
| Item 2 | 75,000 | 105,000 | 120,000 | 120,000 | 120,000 |
| Item 3 | 36,000 | 96,000 | 108,000 | 120,000 | 120,000 |
| Item 4 | 8,000 | 12,000 | 12,000 | 12,000 | 12,000 |
| Item 5 | 3,839 | 18,074 | 44,111 | 61,716 | 115,135 |
| Item 6 | 3,359 | 12,049 | 26,466 | 41,144 | 76,757 |
| Item 7 | 5,600 | 10,000 | 12,904 | 15,034 | 17,376 |
| Item 8 | 6,667 | 14,000 | 22,067 | 30,940 | 40,701 |
| Total selling & admin expenses | 166,464 | 363,924 | 500,428 | 576,525 | 695,230 |
| as % of revenue | 347% | 121% | 57% | 28% | 18% |
| Net profit | -404,039 | -677,907 | -606,011 | 25,052 | 1,206,987 |
| Accumulated net profit | -404,039 | -1,081,947 | -1,687,957 | -1,662,905 | -455,918 |
Cash Flow Statement:
| 2020A | 2021A | 2022F | 2023F | 2024F | |
| CASH FLOW from OPERATING ACTIVITIES | |||||
| Net profit before tax | -$404,039 | -$677,907 | -$606,011 | $25,052 | $1,206,987 |
| Depreciation | $44,267 | $85,333 | $120,504 | $158,127 | $199,512 |
| Payables | |||||
| Item 1 | $4,333 | $5,417 | $6,500 | $7,583 | $8,667 |
| Item 2 | $11,667 | $28,000 | $46,667 | $70,000 | $93,333 |
| Item 3 | $6,250 | $8,750 | $10,000 | $10,000 | $10,000 |
| Item 4 | $3,000 | $8,000 | $9,000 | $10,000 | $10,000 |
| Item 5 | $667 | $1,000 | $1,000 | $1,000 | $1,000 |
| Total payables | $25,917 | $51,167 | $73,167 | $98,583 | $123,000 |
| change in payables | $25,917 | $25,250 | $22,000 | $25,417 | $24,417 |
| Receivables | |||||
| Item 1 | $320 | $1,506 | $3,676 | $5,143 | $9,595 |
| Item 2 | $360 | $1,807 | $4,411 | $8,229 | $11,514 |
| Total receivables | $680 | $3,314 | $8,087 | $13,372 | $21,108 |
| change in receivables | -$680 | -$2,634 | -$4,773 | -$5,285 | -$7,736 |
| Net cash flow from operating activities | -$334,536 | -$569,958 | -$468,280 | $203,311 | $1,423,180 |
| CASH FLOW from INVESTING ACTIVITIES | |||||
| Item 1 | $16,000 | $13,200 | $14,520 | $15,972 | $17,569 |
| Item 2 | $20,000 | $22,000 | $24,200 | $26,620 | $29,282 |
| Item 3 | $28,000 | $22,000 | $14,520 | $10,648 | $11,713 |
| Item 4 | $96,000 | $88,000 | $72,600 | $79,860 | $87,846 |
| Item 5 | $20,000 | $22,000 | $24,200 | $26,620 | $29,282 |
| Net cash flow/ (outflow) from investing activities | -$180,000 | -$167,200 | -$150,040 | -$159,720 | -$175,692 |
| CASH FLOW from FINANCING ACTIVITIES | |||||
| Equity | $400,000 | $440,000 | $484,000 | $532,400 | $585,640 |
| Net cash flow from financing activities | $400,000 | $440,000 | $484,000 | $532,400 | $585,640 |
| Net (decrease)/ increase in cash/ cash equivalents | -$114,536 | -$297,158 | -$134,320 | $575,991 | $1,833,128 |
| Cash and cash equivalents at the beginning of the year | – | -$114,536 | -$411,693 | -$546,014 | $29,978 |
| Cash & cash equivalents at the end of the year | -$114,536 | -$411,693 | -$546,014 | $29,978 | $1,863,105 |
Balance Sheet:
| 2020A | 2021A | 2022F | 2023F | 2024F | |
| NON-CURRENT ASSETS | |||||
| Item 1 | $16,000 | $29,200 | $43,720 | $59,692 | $77,261 |
| Item 2 | $20,000 | $42,000 | $66,200 | $92,820 | $122,102 |
| Item 3 | $28,000 | $50,000 | $64,520 | $75,168 | $86,881 |
| Item 4 | $96,000 | $184,000 | $256,600 | $336,460 | $424,306 |
| Item 5 | $20,000 | $42,000 | $66,200 | $92,820 | $122,102 |
| Total | $180,000 | $347,200 | $497,240 | $656,960 | $832,652 |
| Accumulated depreciation | $44,267 | $129,600 | $250,104 | $408,231 | $607,743 |
| Net non-current assets | $135,733 | $217,600 | $247,136 | $248,729 | $224,909 |
| CURRENT ASSETS | |||||
| Cash | -$114,536 | -$411,693 | -$546,014 | $29,978 | $1,863,105 |
| Accounts receivables | $680 | $3,314 | $8,087 | $13,372 | $21,108 |
| Total current assets | -$113,856 | -$408,380 | -$537,927 | $43,349 | $1,884,214 |
| Total Assets | $21,878 | -$190,780 | -$290,791 | $292,078 | $2,109,122 |
| LIABILITIES | |||||
| Account payables | $25,917 | $51,167 | $73,167 | $98,583 | $123,000 |
| Total liabilities | $25,917 | $51,167 | $73,167 | $98,583 | $123,000 |
| EQUITIES | |||||
| Owner’s equity | $400,000 | $840,000 | $1,324,000 | $1,856,400 | $2,442,040 |
| Accumulated net profit | -$404,039 | -$1,081,947 | -$1,687,957 | -$1,662,905 | -$455,918 |
| Total equities | -$4,039 | -$241,947 | -$363,957 | $193,495 | $1,986,122 |
| Total liabilities & equities | $21,878 | -$190,780 | -$290,791 | $292,078 | $2,109,122 |
