Requirements To Start A Transport Business In Ghana

Transport Business In Ghana

The transportation business is one of the most lucrative businesses anyone can start in a country like Ghana today.

In a time when people do not want to depend on their regular 9 to 5 jobs or when they need an extra income to survive, running a business that requires them to move people or goods from one place to another might just be the best answer.

There are different types of transport businesses that people operate in Ghana. From the taxi business to the tricycle (pragya) business, motorcycle business, truck business, and ride-hailing (Uber) business, to mention a few.

Although the transportation business in Ghana is profitable, still, the method you use in running the business determines how successful you will be in your endeavors.

This is why we’ve provided in this article, a step-by-step guide on how you can start a transport business in Ghana and run it successfully.

What Are The Types Of Transport Business In Ghana?

There are various known types of transport businesses in Ghana. They include:

1. Motorcycle Transport Business: A motorcycle transport business involves the use of motorcycles to carry people from one place to another.

2. Tricycle Business: Tricycle business is also a type of transport business that deals with transporting people and goods.

3. Commercial Bus Transportation Business: This is one of the popular types of transportation business in Ghana that conveys passengers and goods from one location to another.

4. Taxi Services: Taxi services are just like the commercial bus transportation business. It is the use of taxis to convey passengers from one location to another.

5. Haulage Transport Business: A haulage transport business is a type of transportation business in Ghana that mainly conveys goods from one location to another. This type of transportation makes use of tankers, trailers, trucks, and tippers.

What Is The Most Popular Transportation In Ghana?

The most used and popular transportation in Ghana is road transportation. The highways and roads in Ghana have formed the backbone of Ghana’s transport network.

Over 80% of transport activities that happen daily are done through the road. So this has made road transportation a popular one in Ghana.

How Lucrative Is Transport Business In Ghana?

The transport business is one of the most lucrative businesses in Ghana. Meanwhile, how lucrative a transport business is, comes with the fact that almost all the day-to-day activities include the use of transport.

Take a look at the daily use of public transport both for traveling and going to work.

What about the goods being conveyed to the marketplaces or parks?

All these instances show how lucrative a transport business is.

Most importantly, if you understand the rules of this business and the mode of operation depending on the area you are in, then you will make a lot of money. This means that your location and the commercial activities that happen within your location will determine the type of transport that will thrive there and how much profit you will make.

What Are The Problems Of Transportation In Ghana?

Below are problems of transportation in Ghana mainly for road transporters:

1. Poor Road Maintenance: Most major roads for transportation are now old and worn out, and the maintenance done on the roads is of low quality which in turn affects transportation in Ghana.

2. The poor state of roads is also another major problem that contributes to poor road transport infrastructure in Ghana.

3. High Rate Of Road Accident: This is another problem of transportation in Ghana. It is mainly caused by bad roads, complex terrains, bad weather, and reckless driving.

4. High Cost Of Fuels (Petroleum): The high cost of fuel is also a problem affecting the transport business in Ghana. It often leads to an increase in transport costs.

5. Heavy traffic due to overpopulation and few road networks.

Why Should You Start A Transport Business In Ghana?

There are several reasons why you should start a transport business in Ghana. And here are two solid reasons:

1. The Transport Business Is A Lucrative Venture: The Ghanaian transportation sector is one of the most lucrative sectors in the economy. And this is because of the commercial activities that happen daily.

So if you tap into this sector you are sure of making money daily.

2. The Growing Population: As the Ghanaian population is growing the demand for public transportation is also increasing as well. And as the case may be, many people depend on public transportation for their day-to-day activities.

So you can take advantage of the growing population and make a lot of profit.

How Can I Succeed In The Transportation Business In Ghana?

To succeed in the transportation business and make a profit you have to follow these four steps:

1. Start small first.

2. Always prepare yourself for unexpected expenses like repairs, maintenance, tickets/road safety fees.

3. If you are hiring drivers you have to be careful. Meanwhile, ensure that they are experienced drivers and trustworthy at the same time.

Avoid reckless drivers. However, if you notice such, you have to replace them as quickly as possible.

4. Always be accountable on the daily business trip. This will help you to know your profit and loss and also know where and how to improve your transport services.

How Much Does It Cost To Start A Transportation Business In Ghana?

We mentioned the different types of transport business which ranges from motorcycle transport, tricycle transport, taxi services, commercial bus transportation, and haulage transport business.

Nevertheless, the cost of starting a transportation business in Ghana will depend on the type of transport business you want to start.

But on a rough estimate, 20,000 Ghana cedis and above can start the least transport business, while 1,000,000 Ghana cedis and above will start a transport business in Ghana on a medium scale.

How Can One Start A Transport Business In Ghana?

The following are step-by-step guides on how to start a transport business in Ghana:

1. Decide On The Type Of Transportation You Want To Start: Choosing the type of transportation business you want to venture into is the first thing to do.

As we have explained already the types of transportation businesses in Ghana, you have to choose one and take into consideration how profitable it is in your area, the risk involved, and the cost of starting it.

At this stage, you have to decide whether to hire a driver or not.

2. Develop A Business Plan: As you have chosen the type of transport business you want to operate in Ghana, the next thing to do is to develop a transportation business plan as well as a feasibility study on the transport you have chosen.

When you conduct a feasibility study, it helps you to understand how the transport business works and the areas you should invest in.

It is after the feasibility study that you then write your transport business plan. For you to write a business plan, you can use an online business plan template or you hire the service of a professional to do that for you.

3. Purchase Your Vehicles: According to the type of transport we have chosen, you now need to purchase the vehicles to start your operations.

Most importantly, when buying vehicles, endeavor to inspect them carefully. In fact, it is very essential to buy your vehicles from trusted dealers.

4. Register Your Vehicle And Get The Necessary Licenses: The next step involves registering your vehicle with the right authority and getting the needed license to start your transport business.

Also, ensure to comply with all the rules and regulations guiding transporters and abide by them.

5. Hire A Driver: Unless you are doing the driving by yourself but if not, you need to hire a driver.

However, when it comes to hiring drivers, you should avoid reckless drivers. You have to employ drivers that have driving experience and are very trustworthy.

Once you are done getting a trustworthy driver you are good to start operating.

Conclusion

The transport business is very profitable in Ghana and can be categorized among the daily income businesses.

Though it requires huge capital to get started and may come with a lot of risk, if done properly a lot of money can be made from it.

With this article on how to start a transport business in Ghana, we believe that you have gotten an idea of how to go about it.

Ambassador Victor Chidera
Ambassador Victor ChideraAmbassador Victor Chidera is a business consultant, writer and a blogger. He provides lots of professional and expert advice to small businesses, entrepreneurs and organizations. He has many years of experience in business, teaching field, and research work. And his aim is to provide business articles that matters to you both nationally and internationally.
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