Starting a 3.5t Vehicles transport company

Hi,

I would like to start transporting vehicles with a VW Touareg and a 3.5t trailer, for reward.
Can someone advise me regarding the legal requirements?
I’m very confused about what type of insurance to choose.
Also, do I need operator licence?
I know I need tachograph.
What you advise me, LTD or Sole Trader?

Thank you in advance!

Does your Tourag qualify as a dual-purpose vehicle and does it weigh less than 2040kg unladen? If so you’re exempt from O-licencing (see link). If your vehicle weighed less than 2040kg I can’t see you’d be able to pull anything of a substantial enough weight for commercial viability, but that’s a side consideration for now.

If it’s not classified as a dual-purpose vehicle (and that could be something as simple as it having a sun roof) and/or it weighs more than 2040kg, then yes, you’d need an O-licence.

So in the latter case you’d need a qualified Transport Manager to get your O-licence in the first place. When you find one, any decent qualified TM will not be cheaper just because you’re not running a proper HGV - It’s all to do with the 4:50 rule.

Truthfully, the only way to make this financially viable is to be your own TM, in which case you’ll need to hit the books and study, as well as passing two exams - and these are not both MCQ exams.

Or find some inexperienced newbie TM who doesn’t know any better than to sell their self short, in which case they’re probably about as much use to you as a chocolate teapot as they won’t have a scooby how to do your licence application. However, you can pay for a well qualified person or company to handle that part of the process (highly recommended).

Personally, as an experienced External Transport Manager, I wouldn’t touch this kind of operation, it’s too hard to get the operator to be legally compliant, they never take it seriously enough because the profit margins are too low, hence you’re better off getting yourself qualified, that way you can decide how much risk to take.

As for company type, that’s up to you, but I’d suggest you stick with the notion of sole trader for now.

I wouldnt argue with any of that Zac. Legal operators in this sector are in competition with, putting it politely, "chancers" who are either ignorant of the rules or dont care about them. They`ll cut corners and have lower costs than those who are correct, so driving rates down.

Touareg weights vary according to model and year but most are over 2040kg. Volkswagen Touareg Curb weight

As an aside…
On the link you posted their is an exemption for foreign vehicles doing cabotage between certain dates
“a vehicle which is being used in Great Britain to carry out a cabotage operation-
(a) which consists of national carriage for hire or reward by a haulier who is a holder of a Community licence and whose driver, if a national of a country which is not a member State, holds a EU driver attestation;
(b) where the vehicle is being used only for the carriage of vehicles in categories M1 and N1, as defined in Article 4 of Regulation (EU) 2018/858 of the European Parliament and of the Council of 30 May 2018 on the approval and market surveillance of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles; and
(c) the vehicle is being used at any time during a period beginning with
(i) 22nd February and ending with 31st March; or
(ii) 25th August and ending with 30th September”
Any idea what that is about? Guessing Fairground vehicles here at Easter and Whitsun?

Hmmm… In all honesty, I don’t know about those dated periods. Instinctively I’d be inclined to say this relates to farmers - Feb to March perhaps lambing season, August to Sept perhaps harvest time. I’m just guessing really. Fairground rides/vehicles have their own “Showmans” exemption

Ah! Aug / Sept moving combined harvesters around? Sounds quite possible.
Feb / March? I can`t see need to move many lambs, but following from your autumn harvest idea, mechanical spud diggers?

I did notice in the Northern European early summer that Dutch and other transporters carrying the big combines down to the south of Spain, they over the weeks they would work their way North again.
As I understand it, it`s pointless having machines working only one week a year, contractors get bigger machines and move them around with the weather/season of course.