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How To Start A Local Tow Company In Florida
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Written by Robin Khan   

If you’re thinking of starting a business that offers steady income and interesting work, a local tow company might be perfect. Owning and operating a tow company can be lucrative, but the barrier to entry is higher than some other businesses. You will have to make a substantial investment in equipment and infrastructure before you get started. The good news is that once you’re in business, there is never a shortage of people using their smartphones to look for a “local tow company near me.” You’ll have to offer great service, and be on call constantly, but the work will always be there.


There are many details to consider when you’re thinking of starting a local tow company. Here is a list of a few of the most important things to decide before you begin:


What Kind of Local Tow Company Do You Want


A company that tries to be all things at the same time is bound to run into difficulties. Today’s economy requires a certain amount of specialization in order to thrive. Even if you decide to offer many different kinds of sideline services, a local tow company should have one thing they concentrate on. Salesmen call this a unique selling proposition.


A great example is a company like Allways Towing in Clearwater, Florida. Their website at http://allwaystowing247.com/ contains the numbers 24/7 right in their web address. Along with their name, this tells a prospective customer everything they need to know about the company. The customer easily understands their unique selling proposition: Always towing, 24/7. You need to choose a similar selling proposition and stress it to your customers.




Your new local tow company will start out on day one with overhead that must be paid for. That means that you need to determine how much you need to make a living, and then add the overhead into your pricing to make sure the business doesn’t run out of cash before you’re well-established. It’s useful to investigate what other local tow companies charge for their service, but you must take into account that your overhead might be higher or lower than a competitor’s.


Think Profitability, Not Total Dollars


By concentrating on one segment of the market, you might be able to make more money per call than if you handle every type of job a local tow company can get. For instance, you might specialize in police calls. Police departments and municipal agencies often need to have a local tow company on call at all times, ready to take care of a car wreck or a car parked in a tow zone. While these calls might not pay as much as other calls, they’re very steady and they require less clerical work than fielding calls from dozens of stranded motorists. You’re essentially only dealing with one or two customers.


Know the Difference Between Advertising and Marketing


A local tow company needs to have both advertising and marketing working for them. These two parts of a business plan are related, but not identical. Marketing is getting your name recognized in the local economy. Putting your name on the door of your tow truck is a form of marketing. As you drive around, you’re displaying your name to people who do not yet require a tow. Later, when they Google “local tow company near me” when they need a towing service, they’ll recognize your name. They’ll be more likely to choose your company from the list because it’s more familiar. Advertising is just part of a total marketing strategy. Things like advertising, public relations, social media, and customer support all add up to a complete marketing strategy that will make your local tow company a success!