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Financing and insurance for moving and relocation companies

Household and office moves, crews and box trucks, and other people's belongings in your care.

Short answer

Three things usually come first for a moving company. One is paying for box trucks, tractors and moving vans, and the equipment crews use. Another is cash for payroll in a busy season and through a slow one. The third is coverage for customers' belongings, your crews, and work inside homes and offices. Interstate household goods movers have their own federal rules on estimates, liability, disclosures, and dispute resolution. Providers and insurers decide what they offer, not us.

Which financing products do moving companies usually look at?

Moving is seasonal and labor-heavy. Trucks sit through the slow months and run hard in the busy ones, and payroll is the biggest bill. That makes the cash timing question as important as the equipment one.

  • Equipment financing

    Box trucks, tractors and moving vans, and equipment such as dollies, pads, and lift gates.

  • Line of credit

    Payroll through the busy season and fixed costs through the slow one.

  • Working capital

    Getting ready for the busy season, or a major repair. Add up the total you would repay before you sign.

  • SBA loans

    7(a) loans for trucks and working capital, and 504 loans for a warehouse or storage building.

  • Fuel cards

    Purchase controls across crews and trucks. We do not currently route fuel card requests.

Factoring and accounts receivable financing only fit work billed to businesses on terms, such as corporate relocation or office moves. Household customers who pay at delivery don't create invoices a factor wants.

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Which insurance lines do moving companies usually ask about?

Movers carry belongings that customers care about, into and out of homes and offices, with crews doing heavy lifting. Federal rules set a mover's liability for household goods, and your coverage should line up with what you offer customers. Policies vary, so read the declarations, definitions, and exclusions.

  • Motor truck cargo

    Customers' belongings in your trucks. Line it up with the Full Value Protection or released value you offer.

  • Primary auto liability

    Box trucks and moving vans on residential streets and highways.

  • General liability

    Crews working inside homes and offices. Ask how damage to walls, floors, and doorways is treated.

  • Workers' compensation

    Heavy lifting is the job, and crews are often employees. Requirements depend on your state.

  • Physical damage

    Trucks that sit through the slow season and run hard in the busy one. Check valuation and deductibles.

  • Inland marine

    Customers' goods in storage, and equipment you own and carry. Ask which coverage applies to goods in your warehouse.

Also worth a look: commercial property for a warehouse or storage building, commercial umbrella if corporate or government contracts set higher total limits, and surety bonds if a state license or contract requires one.

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What makes moving different?

Your liability is set by federal rules. For interstate household goods moves, a mover's normal liability is Full Value Protection: the replacement value of lost or damaged goods, up to the declared value of the shipment. A customer can waive that in writing for a lower released value under the Surface Transportation Board's released rates order. Movers must disclose the limits of their liability clearly. Make sure your cargo coverage lines up with the protection you offer.

High-value items need written notice. If a customer doesn't tell you in writing about articles worth more than $100 per pound, your liability for those articles may be limited to $100 per pound per article. If they do tell you in writing, they can recover up to the declared value.

Estimates and disclosures come first. Interstate household goods movers must do a physical survey and give a written estimate, unless the customer waives the survey in writing before loading. With the estimate, movers must provide FMCSA's "Ready to Move?" and "Your Rights and Responsibilities When You Move," either as copies or through links on the mover's website.

Disputes go to arbitration on request. Movers must offer a neutral arbitration program for loss and damage disputes, binding on the mover for claims of $10,000 or less when the customer asks for it. The broader small fleets page covers adding trucks and crews.

Frequently asked questions

What is Full Value Protection?

The normal liability of an interstate household goods mover: the replacement value of goods that are lost or damaged, up to the declared value of the shipment. A customer can waive it in writing and choose a lower released value under the Surface Transportation Board's released rates order.

What happens if a customer ships something very valuable without telling us?

If the customer doesn't notify you in writing of articles valued at more than $100 per pound, your liability for those articles may be limited to $100 per pound per article. If they notify you in writing, they can recover up to the declared value of the article, not more than the declared value of the whole shipment.

Do I have to give customers a written estimate?

For interstate household goods moves, yes, based on a physical survey, unless the customer waives the survey in writing before loading. You must also provide FMCSA's "Ready to Move?" and "Your Rights and Responsibilities When You Move" with the estimate.

Do movers have to offer arbitration?

Yes. Interstate household goods movers must offer a neutral arbitration program for loss and damage disputes. It is binding for claims of $10,000 or less if the customer requests it, and for larger claims if both sides agree.

What financing fits a seasonal moving company?

A line of credit is built for a gap that comes back every year, and equipment financing covers trucks. Some providers ask about seasonality, so be ready to show a full year of revenue.

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