Getting To Know The Risk Of Transportation Business, From Infrastructure To Government Regulations
Illustration of the transportation business (Freepik/onlyyouqj)

The transportation service is one of the promising business opportunities. Moreover, now the public's need for transportation has increased after the COVID-19 pandemic. There are various businesses that have quite high market demand, such as company buses, cargo, and others. But behind its high profits, there is a risk of the transportation business.

Since mobility has returned to normal, people have started to travel a lot for work, business, and traveling purposes. Of course, this trend brings benefits to the transportation business. After having to stay silent for two years, now the transportation company can make a profit.

But running a transportation business is neither simple nor easy. In addition, the transportation business does not guarantee it will always run smoothly because there are many risks and challenges that must be faced.

The transportation business does provide high profits. But behind that, the risk of loss is also large. In stock terms, it is high risk, high return. Many transportation companies have lost and went bankrupt because they did not prepare the following risks.

Although it seems crowded or there is a lot of demand, the transportation business actually has a long circulation of money. Why did this happen? Because in the early stages of operating or participating in the event, it takes a lot of stages to take care of payments and repayments.

So if you only get a small event request, the profits you get are not much. You will only feel tired. It's different if there is a large-scale demand. Even though the demand comes for quite a long time, but once you get a lot of money.

Capital alone is not enough to make your business transportation run smoothly and develop. Your business needs to have a strong network or relationship. You must be able to attract cooperation with various agencies. So the term is you pick up the ball. If you just wait for someone to come and order, then your business will not move significantly.

For example, you accept offers for event cooperation with local governments for official travel, technical guidance, training, gathering, and others. From this collaboration, you can already make sure that the budget is clearly available. That's the profit you get if you cooperate with government agencies.

One of the conditions that must be met by the transportation business is business legality. Make sure you manage business legality, for example in the form of PT or CV. Business legality is also the capital to convince clients to cooperate.

Operating the transportation business must comply with government regulations and policies. The safety of transportation is regulated by various agencies, such as the Police and the Department of Transportation.

Usually regulations will vary according to the organization and location of transportation business operations. So make sure to always understand special requirements. One of the main focuses on compliance issues is driver fatigue. International standards prohibit driver driving trucks or buses for 11 hours within 14 hours.

The transportation business is closely related to infrastructure, such as roads, bridges, and others. The existence of road problems such as holes and cracks, can disrupt the flow of transportation. For example, at night, if a road does not have lighting, it will be difficult to drive.

Drivers are an important key in the transportation business. It can be said that it is quite difficult to find reliable or professional drivers. In addition, currently, not many young people want to be bus drivers. So bus companies must educate or train drivers first. To create reliable drivers, it takes a long time. In addition, drivers must also have a good attitude towards visitors and their management.

Another risk that the transportation business may face is bad weather. Weather conditions will affect the ability of vehicles to operate on time. Extreme weather such as storms, heavy rains, floods, and landslides can disrupt travel. Therefore, it is necessary to be prepared to deal with various weather conditions.

Accidents are the most worrying tragedy for every driver and passenger of the vehicle. Both private vehicles and public transportation. Bus accidents, for example, pose a much greater risk. Bus accidents can be a major disaster given the large and heavy volume of vehicles many times that of the car.

This is a review of the risks of the transportation business. In addition to the above risks, the occurrence of a pandemic is also a disaster for the transportation business. Especially considering the arrival of an unexpected pandemic, such as the COVID-19 virus. These various risks can be overcome as long as you choose a mature strategy.

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