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Starting a Tow Truck Franchise: Everything You Need To Know


If you’re thinking of starting a tow truck franchise, then you’ll need to know about the many costs and expenses involved. This article will help you understand what to expect and provide some tips on how to keep your expenses as low as possible.


Startup Costs And Expenses

Before starting a tow truck business, you need to know what startup costs to expect. These can range from the cost of the tow truck itself to marketing and advertising expenses.

Truck Costs

One of the biggest expenses you’ll incur is the cost of the tow truck itself. New tow trucks can range in price from $58,000 to over $250,000. If you’re looking to save some money, you may be able to find a used tow truck for around $10,000.

Fuel And Maintenance

Another big expense is fuel and maintenance for the tow truck. You’ll need to factor in the cost of gas, oil changes, and other routine maintenance. Over time, you may also need to replace parts on the tow truck, which can be expensive.

Overhead Costs

In addition to the costs of the tow truck and fuel, you’ll also need to factor in overhead costs. These can include things like insurance, business licenses, and other permits. You will also need to pay for rent and utilities to run your shop.


If you’re hiring employees to help with the tow truck business, you’ll need to factor in labor costs. This can include wages, as well as the cost of training and uniforms.

Marketing And Advertising

To get customers, you’ll need to market and advertise your tow truck business. This can be expensive, especially if you’re running ads in the local newspaper or on TV. You may be able to save money by doing some online marketing, such as creating a website or blog.


Typical Fees To Charge Your Customers

To cover your costs,  you’ll need to charge customers a fee for your services. There are multiple services that tow truck drives offer and they vary in price. Below are the average prices for each service, but make sure to charge what’s appropriate for your market.

Towing Fee: The typical tow truck fee is $75-$125. This includes the cost of the tow and is typically calculated per mile.

Battery Services: If you offer battery services, such as jump starting a dead battery, you can charge $50-$100.

Flat Tire Services: If you offer flat tire services, you can charge $50-$100.

Lockouts: If you offer lockouts services, you can charge $50-$100.


Average Salary And Profits

The average tow truck franchise owner makes a salary of $40,000-$50,000 per year. However, the actual amount you make will depend on factors such as the size of your tow truck business and how many customers you have.

As a tow truck business owner, your profits will also be determined by your expenses. To maximize profits, it’s important to keep your costs as low as possible. This includes things like fuel, maintenance, and labor costs. By keeping your costs down, you’ll be able to tow truck business a more profitable business.

Furthermore, if you run your business on your own, you will likely make less than if you have employees. The profits of a tow truck business can range from $19,000 to over $100,000 per year.


How To Get More Business

If you just started your tow truck business and are looking for ways to get more customers, there are a few things you can do.

One way to get more business is to offer discounts. You can offer a discount for customers who use your service more than once or for referrals. Another way to get more business is to offer 24-hour service. This will allow you to tow trucks for customers who have an emergency and need a tow truck right away.

You can also market your tow truck business by creating a website or blog. You can use these platforms to write articles about the tow truck industry, as well as tips for drivers. You can also use social media to market your tow truck business. By creating a tow truck business page on Facebook or Twitter, you can reach a larger audience and get more customers.

You should also consider partnering with an insurance company and offering additional roadside services.  This can include things like flat tire services or battery services. By partnering with an insurance company, you can get tow truck business from customers who need to use your services.

Finally, you can join a tow truck association. This will allow you to network with other tow truck business owners and learn about the latest industry news. You can also get more business by attending trade shows and conventions.



Starting a tow truck business can be a great way to make a good income. However, there are several things you need to consider before starting your own tow truck business. Hopefully, this article has given you a better understanding of what it takes to start a tow truck business.