What Do I Need to Operate a Tow Truck in Texas? Tow Truck Business Licensing in Texas

Tow truck operators in Texas need a license based on the types of vehicles they expect to tow. There are three licenses: incident management, private property, and consent tow. Certification from the National Drivers Certification Program of the Towing and Recovery Association of America may also be required.

To obtain a Texas towing license, you must first choose one of three license levels. Level 1 is for light-duty towing of cars, while Level 2 and 3 are for medium and heavy-duty towing. Towing vehicles with hazardous chemicals requires a Level 3 license. Drivers must be at least 18 years old with a valid Texas driver’s license.

The consent tow license allows towing vehicles when authorized by the owner. The incident management license permits towing disabled vehicles from accidents. The private property license allows for removal of illegally parked vehicles from lots. Proof of insurance is required before applying for any of these licenses. The name and address on your insurance must match the application.

Operating a successful tow truck business requires investing in proper equipment, hiring qualified staff, and emphasizing safety protocols and customer service. Trucks must be well-maintained and meet standards.

To operate a tow truck business in Texas, you will need to obtain the proper licenses and permits. The types of licenses available are consent tow license, incident management license, and private property license. To keep start-up costs low, determine your monthly expenses, including licensing and insurance costs, and purchase reliable equipment. You can upgrade as you grow by hiring additional people or selling old equipment.

Before starting, conduct thorough research on the specific licenses and permits required by both the state and local authorities. Log on to the website for the Texas Department of Licensing and Regulation and find the section on towing. Choose a catchy name and slogan so potential customers remember the name when they need your services. Buying a tow truck may cost more than $200,000. Learn to drive the truck and operate it safely. Identify a location where you can store tow vehicles and establish a preventive maintenance program.

The Federal government requires drivers of all commercial motor vehicles (CMVs) to hold a CDL. Here’s what you need to know about requirements and training to get a CDL in Texas. A CDL permits the operation of 18-wheelers, buses, trucks that haul hazardous materials, and more.

If the GCWR* of the tow truck is 26,001 pounds or more and the towed vehicle alone exceeds 10,000 pounds GVWR**, then the driver needs a Class A CDL. This includes a towed vehicle heavier than 10,000 pounds.

In most cases, a tow truck operator will require a specialized driver’s license to drive a commercial vehicle. The Federal Motor Carrier Safety Administration (FMCSA) defines a commercial vehicle as a motor vehicle used for commercial transportation of passengers or property.

* Gross Combination Weight Rating
** Gross Vehicle Weight Rating

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