Start a bus company

Start your bus company.Get your authority and insurance.

Our office forms your company in any state, files your USDOT number, passenger carrier authority, BOC-3 and UCR, and our agency quotes the high-limit coverage that charter and motorcoach work requires.

Reviewed by Orkun Ozkaymak, CPA, MBAClients in all 50 states and abroad

$500company setup, EIN included
50 + DCstates we form companies in
1 officeformation, taxes and insurance
2011preparing taxes since
Step by step

How to start a bus company

  1. 1

    Form your company and get an EIN

    Our office forms your LLC or corporation in the state where you form and gets your EIN, so buses, authority and insurance are in the company name.

  2. 2

    Apply for USDOT and passenger authority

    Our office prepares your FMCSA passenger carrier application. You complete the identity check in Motus yourself. The FMCSA fee is $300 per authority.

  3. 3

    Bind insurance and file the BOC-3

    Buses seating 16 or more passengers need at least $5,000,000 in liability. Our agency quotes it and files proof with FMCSA, and our office files your BOC-3.

  4. 4

    Register for UCR and set up safety

    Our office files your UCR. Your drivers need a CDL with a passenger endorsement, and you must join a drug and alcohol testing program before the new entrant safety audit.

  5. 5

    Register buses and keep books

    Register each bus in your base state, with IRP plates for qualifying interstate coaches. Our office keeps your books in QuickBooks Online, runs payroll and files your income tax returns.

Filings and prices

What our office files for you.Prices shown before you send.

Pick what you need on the request form. Ozfield's fees are shown here; government fees are passed through at cost.

  • Passenger carrier authority (MC) with USDOT numberFor trips that cross state lines. Includes your USDOT number.
    $270plus the $300 FMCSA fee
  • USDOT numberFor carriers that stay in their home state or haul only their own goods.
    $135
  • BOC-3 process agent filingOne time. Names a process agent in every state, which FMCSA requires before your authority goes active.
    $59
  • UCR registrationYearly. The government fee depends on how many vehicles you run.
    $83 per yearplus the UCR fee, from $55 by fleet size
  • City of Chicago business license IllinoisThe city fee is $500 or $1,000 for 2 years depending on the license type, paid to the city.
    $179
  • Payroll and state unemployment setupPayroll accounts, state unemployment registration and your first payroll.
    Quoted by our office
Company setup is $500 plus the state fee, EIN included.
The request form adds your filings and shows the full estimate as you go.
Build my estimate
After you open

The filings that come every year.

Our office keeps these on your calendar so nothing is missed. How we work with bus and motorcoach operators →

IFTA returns

Jan 31 · Apr 30 · Jul 31 · Oct 31. Fuel tax by jurisdiction for the prior quarter.

Form 4136

With your return. Federal fuel tax credit for qualifying bus use.

UCR registration

Before January 1. Annual registration for interstate passenger carriers.

Form 941 and state payroll

Quarterly. Withholding and unemployment for drivers.

Questions

What new owners ask us.

Something else on your mind? Call 773-536-9272 and our office will help, in English or Turkish.

How much insurance does a charter bus company need?
Federal rules require at least $5,000,000 in liability for vehicles designed to seat 16 or more passengers, and $1,500,000 for 15 or fewer. Many charter customers ask for proof before booking. Our agency quotes auto liability, physical damage and workers compensation and sends the filing to FMCSA.
What is the new entrant safety audit?
New passenger carriers are in an 18-month new entrant program. FMCSA reviews driver files, hours of service, drug and alcohol testing and vehicle maintenance records. Passenger carriers get priority for this review. Keeping records organized from day one is the best way to pass.
Do my drivers need a CDL?
Yes, drivers of vehicles designed to carry 16 or more passengers, including the driver, need a commercial driver license with a passenger endorsement. They also need a DOT medical card and must be in a drug and alcohol testing program. Our office runs their payroll once they are hired.
Do I need state or city licenses for a bus company?
Usually yes. Most states register buses through their motor vehicle agency, some require intrastate passenger authority for trips inside the state, and many cities require a business license for your office or garage. Check each agency where you are based. Our office handles your federal filings, books, payroll and tax returns.

Ready to start your bus company?

Answer a few questions, see your estimate and send it to our office.