How to start a moving company?



Relocation business is one of the remunerative businesses in our country which requires more research, financial planning, legal requirements, customer and client acquisition, and hard work. The industrialization and urbanization are the important reasons for rapid development of moving industry. People mostly prefer professional shifting companies for common services like home moving, office relocation and vehicle shifting for local, domestic and international needs.

Usually, thousands of people move to different cities or states every day for various reasons creating a huge demand in the industry. There are very few barriers for entering in this industry and the investments are normally less with minimum number of employees and lower maintenance charges. This would be a never-ending business with lucrative profit margins and if moving companies find their right customer at the right time, they can do a successful business with better profits.

If you have an idea of starting your new moving company, you should have some knowledge on logistics, packing, moving, transportation and marketing. It would be brilliant to work in a relocation company to learn things like surveying and interacting with customers, preparing estimates, knowing the process, tricks and tips, etc. When you have gained some good experience, it is your move to start up a moving company.

I have worked with many Relocation service providers and Packers and movers Reference Portal, AssureShift is one of those mediums which provides verified Packers and Movers in top metro cities of India. As an experienced person in this industry, I have created this starting a moving company guide, which will help you to build your business model or the business plan for starting a relocation company.

Prepare a business model

How to start a moving company

Investment Plan

Investment or financial planning is the most significant part of this business. It requires investment in moving vehicles, equipment and raw materials, as it is a service-based business. Also, you should calculate the charges for staffing, packing supplies, operational costs, marketing expenses, etc., based on the operating area and the size of your business.

Auto finance is available through many finance companies and banks for purchasing moving vehicles. If you know that your moving business is going to be successful in the future, you can get support from Angel Investors to develop your business. With their investment support, you can grow your business and for the initial beginning, you may invest your savings.

Staffing and Training

This is another crucial part of your business as you should have some energetic employees to start and run the company successfully. According to your requirements, hire skilled and experienced employees to provide professional training to execute their task efficiently and quickly. Your staff people should be aware while packing and shifting the products to avert any damage or loss as the moving products are involved with customer’s memories and emotions.


Before starting your services, calculate and fix the cost structure. The pricing depends on many aspects such as weight, distance, number of items and timings. When calculating the charges, include other expenses like vehicle maintenance, packing supplies, depreciation, staff wages, insurance and advertising costs, before you make a profit.

Moving operations

Before you begin to start any work, you should ensure that your business is ready for the operation. It is better to prepare a contract paper initially by consulting an experienced lawyer. You should keep your accounts ready during tax filing for every year and also have a proper software to store and maintain your customer information.

Vehicle purchase or hiring

Another essential thing in packer and mover business is about owning a moving vehicle or truck. Initially, you can hire a truck from any truck service company to shift your customers’ goods without any delay. With a part of your savings, you can purchase your own truck to eliminate your monthly expenses of hiring. After a better growth in the business, you can plan for buying some more trucks to offer timely services.

Insurance facilities

When you want to become a trusted and quality relocation partner for your customers, it is good to provide insurance for customers’ items. This makes your company appear genuine and you can assure your customers to claim for any damage or loss during any kind of accidents. This even helps you to make a claim with the insurance company to avoid any loss for your relocation company.

Profit margin

From this business, you can make a profit margin between 30% to 50% and this might increase because it is a remunerative business to start in India.

Customer acquisition and marketing

For finding new clients and customers, you should advertise and market your moving business. Your business can survive by acquiring the right customers and by retaining them properly.  Retaining your customers is based on the quality and nature of your services you deliver. Initially, you can spread your business to your family members and friends by asking them for referrals from their side.

Even you can market your business through websites and social media networks by following few internet marketing techniques to find out your new customers. There are many free platforms and online directories for advertising your business. You can also go for paid marketing and you should consider branding your company name by having a brand logo.

Choose a city, space and a name for your relocation company

Option 1: The city and place you select also determines the development and survival of your relocation company. Cosmopolitan and metropolitan cities in India are generally crowded with more amount of competition among moving companies. It would be more difficult to find new clients and customers. But, when you are committed to offer quality services with reasonable charges, you can slowly build your business.

Option 2: Another alternate option is to choose tier 2 cities in any state where there is minimum competition. It is quite difficult to find such locations, but still there are many relocation requirements for people. When selecting the right place for your company, verify its population, living cost, manpower, routes and the strength of covering many nearby areas. It is good to learn the local language of the city before starting your business and finally, select a suitable name for your business.

Register your moving company with trade license

Starting a relocation company needs permissions and licensing form many Government authorities. You should register your business as well and it is recommended to verify the state law where you are planning to start your business.

Basic guidelines for registration:

  • First, register your business
  • Start your business as a proprietorship, partnership or with formation of the company.
  • Then you should get a PAN card in the name of your company
  • Open a current account at your nearest bank.
  • After registration, choose a name for your business and it is advisable to secure the name with a trademark or a logo.
  • When choosing a business name, it is better to verify the domain name availability as well, for creating a new moving business website.
  • Apply for MSME registration “Udyog Aadhaar” and multiple location registration is also available.
  • This business takes service tax, as this is service based, and you should file tax under GST norms.

Book your domain

The next essential thing is to begin a website for your new relocation company, and you have to book a domain name. If you have knowledge in developing a website, you can create your own for your business. If not, you can approach outside professionals to get the job done for you. These days, people use online for everything and most of your customers will be coming through internet searching for your services.

When you want to make this business through all digital platforms, only nominal technical skills would be required. Technological and logistic updates can be done after you make some profits from this business.

Common problems in running a moving company

Every business has its own drawbacks. Likewise, relocation business also has some difficulties such as:

  • Survival of the fittest: This is a very competitive industry and you have to put more effort and time to survive the competition. You have to really take smart decisions during tough situations to stay successful in the industry.
  • Offering special services: Already there are many popular moving company brands doing well in the market for a long time period. If you want to stand out among those companies, you should provide some special or additional services for your customers.

Therefore, serving you customers and helping them utilize your quality services will earn you a lot in your business. When you offer genuine services for your customers, in return they will spread your brand name and they will also refer more customers for your relocation company.