Starting a delivery business can be a great way to earn money while enjoying the benefits of being your own boss. You can start a small delivery business to earn extra money on the side or launch a full-time courier service. Another advantage of starting a delivery business is that there are low startup costs, particularly if you already own a vehicle.
If you’re considering starting a delivery service, then here are some suggestions to help you plan your business venture.
Find A Reliable Vehicle
You will need to have a reliable vehicle before you can start offering delivery services. You could start delivering small packages using a car, but you are likely to need a truck or van as your business grows.
A large vehicle is more efficient as it allows you to carry large cargo and deliver multiple packages in one go. Keep in mind that your delivery vehicle will rack up a lot of miles, so it’s always best to choose the most efficient model possible.
According to research by Momentumiot: “The most fuel-efficient delivery vehicles are the Ford Transit Connect, the Nissan NV200, and the RAM Promaster City.”
There is a good market for used vans and trucks, so you should be able to pick up a vehicle for a good price.
Make sure that you choose something low-maintenance and reliable. The last thing that you want is to break down halfway through a delivery!
Purchase Essential Equipment
One of the major advantages of starting a delivery business is that there are minimal startup costs involved.
That said, you will need to purchase a few pieces of essential delivery equipment. The type of equipment you need will depend on the services you offer. The more equipment and tools you have, the more delivery jobs you will be able to accept.
Most delivery companies require a dolly or a hand truck to lift large items. You will also need ratchet straps and tie-downs to secure items during transport and delivery.
Think carefully about the equipment that you will need to keep items safe and protected. It is cheaper to purchase additional security measures rather than replace broken items.
Obtain Business Insurance
Business insurance is a must when you start a delivery business. As a minimum, you should apply for vehicle insurance and cargo insurance. This will make sure that you are covered if you are in a road traffic accident or if the cargo is damaged during transit.
You might also want to consider taking out general liability insurance to cover things like personal injury and defective products. Failing to take out adequate insurance is likely to damage the reputation of your business.
Many customers will avoid using a delivery company that doesn’t have insurance cover in place. Your business insurance cost will depend on multiple factors, including your location, your hours of business, and the delivery services you provide.
You can compare delivery insurance providers online and find the best deals.
Join An Online Load Board
Joining an online load board is one of the easiest ways to build knowledge and expertise in the delivery sector.
Becoming a load board member can be especially beneficial if you are just starting in the delivery business. You can use load boards to research local courier rates, find job opportunities, and network with professionals in your industry. Load boards also provide the opportunity to partner with other companies in the delivery industry, such as brokers and shippers.
A load board can optimize your delivery process by ensuring that your van or truck is full when you are out doing deliveries. This will help you grow your business and increase your bottom line.
Market Your Delivery Company
As mentioned, there is a high demand for courier services, but there is also strong competition between delivery companies. Most people would rather use a well-known delivery company that they know and trust.
The world’s top courier services include UPS and FedEx, and XPO. These companies dominate the logistics and transportation sector, but there are still plenty of opportunities for small delivery services.
When you first start your delivery business, you must focus on getting your name out there and building awareness around your services. Build a professional website that is mobile-responsive and user-friendly.
Make sure that your site can be easily found on Google by optimizing your web pages and regularly updating your web content. You should also set up social media accounts for your delivery business on platforms like Facebook, Instagram, and Twitter.
Maintain an active presence on social media and start building a following. Encourage your family and friends to support your new business by sharing your content on their social accounts.
Offline marketing tactics can also be an effective way to attract business in your local area. You could hand out business cards or post leaflets to help build local brand visibility.
Hire A Team Of Drivers
One benefit of starting a delivery business is that you have the option to save money by doing everything by yourself. However, you will likely need to hire a team as your business expands.
Having extra drives will help you increase profits as you will have the capacity to take on additional jobs. You can either recruit permanent delivery drivers or hire independent contractors.
According to advice on recruiterbox.com, you should check that drivers have vehicle auto insurance and a clean driving record. Remember that your drivers will represent your brand, so they must have a positive attitude and good customer service skills.
Starting a delivery business can be a great option if you’re looking for more freedom and flexibility in your working life.
There are minimal startup fees, low running costs, and the opportunity to earn a decent living doing something that you enjoy. Reliable courier services are in high demand, and there’s never been a better time to start a delivery company.
Use the above tips to guide your startup and help you build a profitable delivery company.