How Much Can You Sell Your MC Number For?

The decision to sell a Motor Carrier (MC) number can be prompted by a variety of reasons, from transitioning out of the experienced in transportation law industry to rearranging the structure of your business. Regardless of your motivation, it’s important to understand the value of your MC number and how the selling process works. This will ensure a smooth, efficient transaction free of surprises. Here, we demystify the process, helping you gauge an approximate value for your MC number.

1. How old is the DOT
2. Is it in good standing.
3. Is the corporation in good standing
4. What is your number… what would help you let it go?
5. How would we help you sell the company
6. Do any liabilities go with the sale?
7. Understanding the Value of MC Numbers

Understanding the Value of MC Numbers

MC numbers are not purely numerical identifiers; they represent something much larger — your authority to operate as a motor carrier. They include your compliance with Federal Motor Carrier Safety Administration (FMCSA) regulations, your overall safety records, and the reputation your business has managed to build over the years.

The value of MC numbers can range significantly, based on a variety of factors, such as based on the age of the MC number, any associated safety scores, the type of authority (property, passenger, household goods, etc.), and the operational history of your business.

In certain cases, an MC number with excellent safety scores and a long history within the transportation industry could command a premium, as a buyer might feel that the transition will be smooth and that the associated risk would be minimized.

Nonetheless, carving out a precise “market value” for MC number is exceptionally challenging, as most transactions are private and most valuation scenarios are extremely fact-specific.

At times, MC numbers with a clean safety record and a longstanding history in the transportation industry might fetch a premium due to the perceived ease of transition and lower risk for the buyer. However, determining a precise “market value” for MC numbers is challenging, as transactions are often private, and valuations are highly individualized.

The Selling Process

While selling an MC number isn’t the same as offloading a physical asset, the process is relatively straightforward – the sale is not officially recognized by the FMCSA, but what is actually transferred is the authority that comes with that number. That being said, understanding the legal and regulatory implications of the process is crucial — the services of FMCSA Registration can be invaluable for ensuring that your transfer of MC number is in compliance with all FMCSA regulations and navigates seamlessly through the process, allowing for a truly successful sale.

Key Considerations

Before selling your MC number, here are a few key considerations:

• Compliance and Transfers — Make sure your business is fully compliant with all FMCSA regulations and your authority becomes properly transferred.
• Valuation — Accurately valuing your MC number requires a strong understanding of the market and what attributes of your MC number make it valuable in the eyes of a buyer.
• Legal Advice — Transportation attorneys to help guide through the process and make sure the you and the buyer are protected and that the MC you’re selling is transferred compliantly and responsibly.

In Conclusion

Selling an MC number is a delicate dance between understanding its value within the transportation industry itself, and meeting requirements of legally and effectively transferring authority. However, the process doesn’t have to be overwhelming; the experts at FMCSA Registration can make it smooth and easy so you can focus on the future TO HELP MAKE THE SELL. Each MC number is unique; therefore, strategic planning and professional guidance are critical to revealing its true value.