2022 Study: The Best Side Hustle Nobody’s Talking About Is Starting a Local Moving Labor Company

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Key Findings:

  • Moving companies tend to earn between $75-128/hr. or between $206-352 per move
  • Based on HireAHelper data from 2022 so far, average mover earnings are $110/hr.
  • Seattle is potentially the most lucrative place to become a mover, with hourly earnings as high as $137/hr.
  • Movers in Maine and Iowa make an estimated $132/hr. — the highest rate in the country
  • Sherman-Dennison, TX has the biggest gap in the moving services market, with 608 moves per moving company registered in the metro area

As inflation continues to rise, many Americans are beginning to notice the prices of consumer goods are drifting out of reach. This is likely why, according to a recent study, nearly half (44%) of Americans are turning to side hustles to make ends meet.

moversAnd while the internet is awash with articles listing all kinds of side hustles to consider, there is one lucrative side gig few are talking about: starting a local moving company (or joining one).

Despite some real estate markets cooling off, the demand for moving services is high. Homes are still selling fast, and as rents climb higher, many are moving out of their homes to find cheaper accommodations or to live with family.

While starting a full-scale moving company with a fleet of trucks, drivers, and movers is an undertaking too big for a side hustle, starting a moving labor company is actually relatively simple.

All you need is a business license and some start-up costs. Ultimately, if you are comfortable with lifting heavy items and have time to spare, you could realistically start a moving labor business and earn upwards of $100/hr. by helping people move.

And the data shows that people who are currently doing it are doing quite well.


Moving Labor Companies: How Are They Defined and How Do They Work?

We often think of movers as folks that drive up in a truck, load up all your earthly belongings and deliver them to your new home. In the “biz”, these are known as “full-service movers”. And they tend to be more expensive.

This is why in reality, the overwhelming majority of moving companies that exist are what we call “labor-only” movers.

 

“…even if you charged at the lower end…at $250 per move, or roughly $90-100 per hour, you only need to pick up four moves to make $1,000. Not bad for a weekend, huh?”

 

Labor-only

The difference is that a moving labor company is a company that helps people with loading, unloading, and, sometimes, packing up people’s possessions — no driving. The average person often books their truck or container separately, as this is far cheaper.

Here are a few reasons local moving labor works as a side hustle:

  • In most states, you don’t need a special mover’s license
  • There are minimal start-up costs, as you don’t need to purchase a moving truck
  • Demand for moving services is highest on a weekend, meaning you can do it alongside your work or studies
  • Moving costs (read: mover earnings) in 2022 are the highest they’ve ever been in U.S. history

Where Do Local Movers Find Customers?

Of course, it’s not quite as simple as registering as a moving labor company and watching business come flying through the door.

Here are the typical places movers tend to use to attract customers.

craigslist movers
Craigslist

Craigslist

+ The most famous classified ads website, this is a typical starting point for moving labor hopefuls, with millions of people checking the website every day.

Costs money to post ads in the moving section as a provider.

Customers can also be flakey, often looking for bargain-basement pricing, and often end up being very hard to service.

yelp movers
Yelp

Yelp

+ Popular with people looking for local businesses, it’s a free place to get attention/find customers. Business owner tools allow you to upload logo/team photos of you and your crew to boost credibility.

No actual online booking, you just accrue lots of “leads”. You’ll have to field lots and lots of messages, emails and phone calls from people looking for a price.

Low rates of converting mean most of this work will not turn into orders.

HireAHelper

hireahelper sign up
HireAHelper sign-up page

+ Completely free to list, no membership fees or cancellation fees.
+ Your very own landing page you can show to potential customers where you can easily display and edit your own rates/availability so people won’t call you to ask.
+ Insurance and 7-day-a-week customer service for both you and your customers.

Insurance and customer service operate on a fee that is charged per order booked through the platform, which is how they pay for all of the above.

Your own website

+ Full control over how you present your new brand and services.
+ Direct booking puts every dollar right in your pocket.

You need to create, design, and maintain the website.
You’re responsible for all the customer service, marketing, and insurance.
Cost of purchasing a domain, fees for website hosting.

Needless to say, you can also create a page for your moving labor company on Facebook and Instagram, or even list it on your local Yellow/White Pages. Oftentimes, a mixture of approaches is useful at the start, before you figure out which one works best for your moving side hustle.

How Much Can You Earn as a Mover?

movers

Let’s face it, if you already have a job or other commitments, you’re probably not going to launch into moving as a full-time pursuit.

The good thing about moving as a side job is that nearly one in three (30%) moves takes place either on Saturday or Sunday. In other words, if you’re looking to casually work as a mover over the weekend, you’re in luck, because that’s when the demand is highest.

To calculate a ballpark number of how much local movers earn, we’re going to make the following assumptions:

  • You only work on weekends
  • You don’t work more than eight hours a day
  • You have a partner with whom you work as a two-person team and split earnings 50-50

With that said, the average take-home an individual moving job earned on HireAHelper in 2022 was $110 per hour (after fees).

That rate is based on the service of two movers loading and unloading a customer’s belongings (meaning, not counting potential tips, one mover will typically get about half of that, or $55 per hour.)

“The data show that 6 of the 20 metros where the demand for moving services most outmatches the current supply exists in Texas, especially in Sherman-Dennison, TX, where the ratio of moves to moving companies is roughly 600 to 1!”

 

Similarly, Yelp reported a local move quote average of $128. Forbes suggests local movers charge between $25 to $50 per mover, per hour, while ConsumerAffairs estimates the average cost for a local move is $80 to $100 per hour for a team of two movers.

The following graph shows how much you could be earning as a two-person team, using the reported average duration of a move of two hours and 45 minutes.

Please note that the above figures are indicative only. As a newly registered moving company, you probably won’t be able to charge high rates straight away. Moves also come in all shapes and sizes, affecting how much you could charge for them. This is just an average.

That said, even if you charged at the lower end of that scale at $250 per move, or roughly $90-100 per hour, you only need to pick up four moves to make $1,000. Not bad for a weekend, huh?

Cities & States Where Movers Earn the Most Money

moving company city

Your earning potential, among other things, will depend on where you are in the country.

According to a recent estimate of moving costs, people pay the most for their moves in San Jose ($520) and Seattle ($495). But that’s just a broad snapshot. Let’s break it down more to see how services translate into mover earnings, and where it may actually be most lucrative to start a moving labor company.

Cities

Using data on moves booked through HireAHelper.com, taking into account commission rates and the typical duration of a move throughout different cities, here are the top 10 cities where movers make the most money per hour.

Looking at the data through this lens, Seattle grabs the top spot with an estimated $136/hr. net earnings. In cities like Columbus, OH ($126/hr.), San Francisco ($125/hr.), and Oakland, CA ($125/hr.) the earnings are all around the $125/hr. Mark.

States

Moving on to states’ potential mover earnings, we find Maine ($132/hr.) and Iowa ($132/hr.) with the joint highest earnings, with Utah and Washington closely behind ($129/hr.).

Going down the list, Arkansas is next with $128/hr. in potential net earnings. This highlights that moving is a universal need, and that small states can compete against states with big cities like San Jose or San Francisco, where the cost of living is highly expensive (and therefore potentially more lucrative). The average earnings for movers in California are comparatively middling in the take-home department, averaging around $110/hr. per move.

Check out the chart below to see what mover earnings are like in your state.

This section is based on data from moves booked through HireAHelper and their partner sites. Earning figures represent average estimates; actual earnings may vary.

 

Supply and Demand: Cities and States With the Greatest Need for New Moving Companies

movers

High earnings are great to aim for, but it’s worth bearing in mind that crowded markets where earnings are high are often hard to compete in — especially for a brand new company.

Like with any kind of business, the supply and demand (and thus the price people are willing to pay for moving services) vary by location. If you’re just starting out as a moving company, ideally you’d like to start where there’s a gap in the market.

Cities

Based on our analysis of moving company data and the number of moves in America’s biggest metropolitan areas, here are 20 metros where the gap between potential demand for moving services and their supply is the biggest.

The data show that 6 of the 20 metros where the demand for moving services most outmatches the current supply exists in Texas, especially in Sherman-Dennison, TX, where the ratio of moves to moving companies is roughly 600 to 1!

Among larger metros with favorable demand-to-supply ratios are the Phoenix-Mesa-Scottsdale, AZ area (393 moves per moving company), the Houston-Baytown-Sugar Land, TX area (276), and the Dallas-Fort Worth-Arlington, TX area (255).

States

At the state level, the opportunity is greatest in Arizona and Missouri, where there are more than 200 moves per moving company. Kansas (188), Washington (187) and Texas (186) round off the top five.

To see what the supply and demand for moving services look like in your state, check the graph below:

Convinced? Here’s How You Can Get Started

If you think you have what it takes to safely move some couches, luckily, you don’t have to go in blind.

If you really wanna get the ball moving, here’s a moving business guide for starting and running your own local moving company. It has information on how to register a business, set prices for your services, where to find customers, which tools you need to buy for the job, and way more.

Want a license to drive on the job too? Here’s a guide for starting a fully-fledged moving company, detailing the necessary steps for starting a moving business with links to the proper business licensing authorities in each state.


Sources and Methodology

General mover earnings were estimates were compiled using indicative rates from HireAHelper, Yelp, Forbes, and Consumer Affairs.
Mover earnings by state and city were calculated based solely on data from moves booked and completed through the HireAHelper platform and their partner sites. Earnings figures are indicative of the amount earned minus fees.
The number of moving companies was calculated using the U.S. Census Bureau’s American Business Survey (count of companies listed under “Transportation”) and Yelp (number of companies listed as “movers”).
The number of moves was taken from U.S. Census Bureau’s Current Population Survey, as available through the Integrated Public Use Microdata Series.

The Rise of Plastic Storage Companies, and What It Means for Movers

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You don’t have to be an industry insider to know that the self-storage industry is booming. Drive around Anytown, USA and it’s almost impossible not to notice those orange-and-gray, or orange-and-purple, or green-and-white facilities popping up all over the place. Even if you round down SpareFoot’s numbers from 2016, the country is currently at over 50,000 self-storage facilities generating over $30 billion in annual revenue.

Crazy numbers, for sure. And guess what? Things are only just beginning to get interesting. We’re seeing the emergence of a lot of small (for now) companies offering services beyond typical self-storage – services that were virtually unheard just a few years ago.

MakeSpace and Clutter Surge

MakeSpace.com

Consider MakeSpace, a New York City outfit that has raised $47.5 million in venture capital in just the last two years. Not your average self-storage provider, MakeSpace packs, picks up their customers’ excess belongings and brings it all to their storage facility. Customers don’t need to think about how much storage space they need because they don’t actually have to rent storage units. They don’t have to worry about getting their stuff moved to a certain place and time because MakeSpace does all the back-and-forth for you. And since their storage facilities are located in what TechCrunch describes as “less desirable areas” outside prime real estate locations that are fairly removed from the residential areas they serve, MakeSpace can rent space at a lower cost, thereby reducing operating expenses.

Besides New York, MakeSpace operates in Los Angeles, Chicago and Washington, D.C., serving tens of thousands of customers, that according to CEO Sam Rosen.

Meanwhile, Clutter of Culver City, CA, operating on a similar business model, has expanded beyond Los Angeles to serve San Francisco, San Diego, Seattle, Chicago, and states New York and New Jersey. As of June 2017, they have raised $96.5 million in venture capital – double that of MakeSpace. According to Forbes, they plan to infiltrate every major city in America and several more abroad.

Millions in capital, global plans … there must be a lot more people out there with a lot of stuff willing to pay extra for this ultra-convenient, self-storage service.

The Rise of Plastic Bins

Of course, not everyone is looking for self-storage. Some people just need to get their stuff from Point A to Point B. Unsurprisingly, the range of services for these people has exploded too, starting with the U-Haul revolution and the rise of ABF Freight, followed by the portable storage container craze and – ahem – the wild growth of the moving labor sector.

It turns out this is the one place eco-conscious people choose plastic over paper.

Yes, we’re seeing now that people want to be green as much as they want to save green – and we see that customers are looking for even more alternatives when they move. And one of those alternatives involves cutting back on all that cardboard and tape.

Enter the gorillas and the kangaroos.

Redi-Box.com

Since 2011, Gorilla Bins of New York City has been renting out black plastic bins two weeks at a time. (They know it takes a lot more than a day to pack and unpack!) And they aren’t the only ones touting the three-point “We drop them off – You use them – We pick them up” service line, inspiring plenty of imitators. Redi-Box is ready with their red bins in Chicago and Portland. Rent a Green Box covers Los Angeles and Orange Counties with their (of course) green plastic bins. Hopping around the Springfield, MO area we have Roo Rent a Box and their stacks of gray bins.

There are many players in this plastic bin rental game. Their prices and policies may vary, but they all operate on the same fundamental idea. (Really, the biggest question right now might be who will end up buying out who down the road.)

Also of note, a company named Bin-It is running a similar operation out of their northern New Jersey headquarters, serving not only the New York area but Philadelphia, Indianapolis and Nashville. Yet unlike the gorillas and kangaroos, Bin-It also offers storage, bridging the service gap between valet storage and simple moving bin rental.

It probably goes without saying (but we’ll say it anyway) that this plastic bin rental business is a local thing. It’s conceivable that in the future we’ll see this change as some of these bin-renters extend their reach further across the country and can handle the logistics of tracking and managing their bins in the same way U-Haul manages their trucks.

For now, despite the impressive growth of this eco-friendly niche, it looks like the trend of renting plastic bins instead of using cardboard boxes will remain an aspect of the local move market.

How Does This Impact Movers?

So what does this have to do with all of us in the moving labor industry?  

It surprisingly doesn’t, directly. But say someone calls you up asking if you offer storage services. “No,” you say. But your conversation shouldn’t end there. This person needs a service and seems not sure where to turn. By pointing them in the right direction, you are not only helping them, you’re also tossing a biscuit of friendship to the people you are referring them to. “Tell them Kevin at HireAHelper sent you,” you might say. Or Mark at Mark’s Movers, or whatever the case may be.

You recommend them, they recommend you, and everybody gets a business boost. This dynamic works especially as long as storage bin companies exist as a local enterprise.

The same dynamic can work with the valet storage niche, as well as the emerging plastic moving bin rental market. These companies are directly tied to the storage and moving industry, just like us. Yet they occupy a different niche. So rather than competing, our services are almost always perfectly complementary.

Likewise, those customers looking for that environmentally-friendly alternative to cardboard boxes are potential customers too. The bin-renters generally don’t offer actual moving services, so the door is wide open.

At the same time, be aware that a few other valet storage providers and bin renters have had the same brilliant idea, and have begun creating those collaborative partnerships with a few local movers. So don’t wait! Get online, get on the horn, pick up the phone and get out there! Meet these new players in the storage and moving industry. There may never be a better ally, or imposing competition, depending who gets there first.


Header image by MakeSpace.com

How-To Guide for Getting the Best Rental Truck For You

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You’ve spent weeks packing up. You’ve spent days cleaning your bathroom and your floors. You’ve spent hours tying up loose ends and your last few spare minutes posting about how crazy your move is making you. Now all you have to do is rent a truck.

A truck! Crap, I forgot!

If you planned well ahead and reserved your truck, you’re part of an admirable, enviable minority. If you’re moving tomorrow and haven’t started comparing rental trucks for moving? May the gods of the move be with you. (But seriously, we”re here to help.) Deciding what size truck to get to searching for a decent deal, renting a truck blindly can be as bumpy as driving one, so here are some key areas to focus on for smoothing things out.

Properly Measure How Much You Need to Move by Trying This

For most people, it’s hard to believe how much stuff they really have. It’s even harder trying to figure out how big a truck they’ll need. If you’ve rented a truck before, your experience will be invaluable, but if this is your first time, don’t underestimate how bulky your world has become!

Not a blind endorsement for Penske, but it’s a valuable tool
General packing guidelines, based off a typical move

Penske’s online “Truck Wizard can help determine what size truck you’ll need. Inputting items like furniture and appliances is easy. But estimating how many boxes of varying sizes you’ll have is tough if you haven’t already packed up. As an experiment, I tried it out using my own place. At first, I couldn’t believe I’d need that big a truck. But the next size down ended up being too small. 

Finding out halfway through your move that your stuff won’t fit in your truck is a nightmare you don’t want to live through. So when estimating how much stuff you have, be over the top thorough. And don’t forget all that stuff in the closets and the garage!

Pick Your Move Day Wisely to Get a Good Deal

Do you have any flexibility at all in scheduling your move day? If so, take advantage. When trying to rent a truck, moving on a weekday in the middle of the month versus moving on the last or first day of the month is the difference between heaven or hell.

If your flexibility is limited and you find yourself running into roadblocks trying to nail down that rental, try a few of these tricks:

  • Rent round trip if possible. Dealers need to keep their inventory of trucks in places that are busiest. Otherwise, they have to move the trucks around themselves. Got a car? Leave it behind, make your move, then return your rental and drive your car to your new home. (Or have a friend follow you in your car.) They can help you unload and drive the rental back. (Check with your rental company’s policy on this.)
  • Try a dealer somewhere out of town. The smaller dealers out in the boonies might have trucks hanging around while their colleagues in the city are scrambling.
  • If your move is local, consider making two trips in a smaller truck.
  • If you’re moving long distance, try drop-off points that may not be in your new town. For example, if you’re moving to Eugene, OR, look for a deal that involves dropping your truck off in Portland. Again, inventory logistics can drive a rental company’s truck availability, not to mention the price. You might even ask where they need trucks and try to figure out a deal. Even with the extra day or the cost of getting back to Eugene, you may still come out ahead.
  • As implied in that previous point, it pays off to physically call all the rental companies. Speak to people. Ask about possibilities that don’t show up online. Be friendly. Be inquisitive. Be persistent.

Dealing with Price Differences

The quotes you get from the various truck rental companies out there can vary significantly. Put as simply as possible, there are three main reasons for this:

  • The quality of trucks available that day
  • The quality of customer service
  • Hidden charges

Ultimately, because prices depend so much on where you personally live and who else is moving that specific day, it’s impossible to flat-out say which company has the best deal every single time. However, you can find all sorts of information on truck rental companies online. 

Moving101 is an exhaustive resource with as much information about every moving truck company under the sun, including dimensions, tons of real, up-to-the-day reviews, and a ton more.

moving101.hireahelper.com/

In addition, here’s one fairly comprehensive forum thread that may be of interest that discusses a few tips and warnings that may also be useful. Keep all of these resources in mind, as your personal (and figurative) mileage is subject to local quirks.

Some (Not So Obvious) Protips

  • If you’re worried about insurance on your rental truck… good! It’s not likely that your credit card or your personal car insurance will cover you in the case of an accident. Thus, you’ll want to know exactly what you’d be facing in case of a mishap and what kind of insurance is available to avoid a financial disaster. Rental companies will offer various types of insurance, and sometimes at different levels. Here’s a good rundown by ValuePenguin on the wonderful world of rental truck insurance terms.
  • If you’re worried that the truck you reserved won’t be there waiting for you, you’re not crazy. It happens (maybe with some companies more than others). Trucks break down, people return them late and some trucks just seem to vanish. To increase your chances of getting the truck you reserved, one idea is to get to the rental place early. Another idea: if for whatever reason you are super-concerned you won’t get the best one, arrange to pick up your truck in the evening after people have already (presumably) begun dropping them all off.
  • If you are booking your rental online, HireAHelper does offer discounts on Penske and Budget
  • If you are in a real pinch and you don’t have all that much stuff, think about renting a trailer from Uhaul instead of a truck (from anyone). Even if you have to pay to have a trailer hitch installed on your vehicle, the money you save renting a trailer instead of a truck will in all likelihood more than cover the cost. Plus trailers don’t break down nearly as often as trucks. Just make sure there’s a spare tire!

Price, quality and customer service. Insurance, truck size and availability. It’s a difficult road to navigate – we know – but with knowledge, persistence and a few tricks up your sleeve, you’ll be well-equipped to handle this last, important piece of your moving puzzle.

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