When considering starting a delivery and courier Services Company, the legal entity you choose will go a long way to determine how big the business can grow; some delivery and courier services company design their business for neighborhood market, some for city wide market, while others for national and global market. You can chose to start on a small scale in one or two public facilities and operate on a local and national level or you can chose to start on a large scale with several outlets in key cities, delivering packages on both national and international level, if you have the capital and business exposure. After you express interest (and confirm that you have $30,000 in the bank), there is a longer application Amazon will ask you to fill out, according to the website. There are many opportunities to be successful in the delivery business in the UK. By including this piece of information, you can calculate your staffing costs and compare them to the costs you’d incur if you chose to hire employee drivers and purchase all the equipment necessary for them to work. Most delivery and courier services companies tend to operate general services that involve every business activities that a standard delivery and courier services company is expected to offer. Starting Your Delivery and Courier Services Business from Scratch vs Buying a Franchise. Start-up costs and sales forecast – provide details of all the costs of setting up your courier business including equipment and premises, bills and staff wages Nightingale who drew on his career in logistics to make sense of the local courier market and identify a niche he could exploit, says “research is vital as the courier business can be quite competitive”. In that time, she's experienced the ups, downs and crazy twists life tends to take when you're launching, building and leading a small business. Posting job ads on social media platforms like Facebook and LinkedIn. Just ensure that you position your business properly, adopt safe and swift delivery process and know how to attract and reach out to your target market. For a business owner, working with independent contractors has many benefits, such as saving money on certain taxes and workers’ compensation insurance. Setting up an LLC protects you from personal liability. Certification validates your competency and shows that you are highly skilled, committed to your career and up-to-date in the market. Cost of delivery is one of the factors when deciding which company to use. No matter the industry you belong to, the truth is that the market is dynamic and requires consistent brand awareness and boosting cum promotion to continue to appeal to your target market. These are some of the basic legal documents that you are expected to have in place if you want to legally run your own delivery and courier services company in the United States of America; Financing Your Delivery and Courier Services Business. The Global Courier and Delivery Services industry is indeed a thriving industry and pretty much active in all parts of the world. Many truck drivers are owner-operators, which means they own the trucks they drive as well as any other equipment they use as part of their jobs. A delivery business is a business that involves helping your clients deliver goods, documents and parcels et al. Fuel efficient vehicles are recommended as you will be racking up a lot of miles on your delivery routes. If you are considering starting your own delivery and courier services company, here are some catchy names that you can choose from; In the United States and in most countries of the world, you can’t operate a business without having some of the basic insurance policy covers that are required by the industry you want to operate from. That is why it seem that there are no niche areas in the industry. List of Niche ideas Within the Delivery Service Industry That You Can Specialize in. There are also potential drawbacks to working with independent contractors, like the lower level of control you have over their working hours and work processes. Possible Threats and Challenges You Will Face When Starting a Delivery and Courier Services Company. If the delivery drivers: deliver exclusively for your company, your company controls their hours and how they do their work, your company decide whether they wear a uniform–then they cannot be classified as a contractor. Distribute your fliers and handbills in target areas, Contact individuals, corporate organizations, fast food restaurants, grocery stores, online stores, banks, students, job applicants, schools and business owners cum entrepreneurs within and outside the city you are operating in informing them about your business and the services you offer, List your delivery and courier services company in local directories / yellow pages. Drivers with a passion for making life easier. Finding the Best How to Start a Delivery Business with Contract Drivers - You will see a trustworthy way of running your company when you find out a dependable resource that will provide fast delivery. Joy Nwokoro is a Freelance Business Journalist, researcher, translator and sales trainer who have worked with numerous clients amongst which is Women in World Banking, a business research NGO in New York, United States of America. Delivery and courier services business is not a Green business, as a matter of fact, you will come across several small, medium and large scale couriers and delivery services companies all across major cities in the United States of America. If you see anything too similar, you'll need to change your business name to prevent it from being rejected. This will enable them keep track of the goods, parcels and documents that are on transit and also give almost accurate timing of delivery. 1. Although business experts say a business plan is required for starting a new business, it’s not always true. Independent contractor jobs are not the same as full-time employment. To start this business, you have got to have a knack of ensuring your clients have it stress-free by running errands, and doing whatever is necessary. So also with more consumers leveraging on e-commerce websites, a greater number of goods need to be transported using courier and delivery services. The growing number of individuals with internet access has also aided revenue. When it comes to financing a business, one of the major factors that you should consider is to write a good business plan. They go out there to source for organizations, schools, online stores, restaurants and other enterprises that are regularly sending stuffs to their clients. When starting a courier service, concierge service, or other delivery service, there are certainly a few things that you will have to have in order to get off to a good and profitable start. Although an independent contractor may work a 40-hour week and work alongside a company’s employees, the contractor is not an employee of the company. Limited Liability Company, LLC or even general partnership will cut it for you. Reviewed by: Jayne Thompson, LL.B., LL.M. Once a delivery deal is sealed, the delivery drivers either load their vans/trucks or bikes directly from the clients’ location or from their warehouse, if the goods are brought to the warehouse, and then the goods are delivered to the expected location, they either collect money on delivery from the receiver or they get paid by the sender. Get Reliable Vehicles. If you're thinking of starting your own self-employed courier business, then this article shows you what's required to start a courier business and be successful. A medication delivery driver usually has regular hours, with occasional weekends and holidays. The global courier and delivery services industry will continue to blossom because people and organizations will always want to send goods, documents and parcels to different locations. Despite the fact that the industry seems saturated, there is still room big enough to accommodate aspiring entrepreneurs who intend opening their own delivery services companies. Okay, so we have provided you an in-depth sample delivery service business plan template. So put on your entrepreneurial hat and let’s proceed. Limited liability companies are simpler and more flexible to operate and you don’t need a board of directors, shareholders meetings and other managerial formalities. Before you can register your business name, you will need to visit the website for the Secretary of the State and search for similar names. If you decide to start your own delivery and courier services company today, one of the major challenges you are going to face is the presence of already established delivery and courier services companies in your business location. Here are some of the options you can explore when sourcing for startup capital for your delivery company; Choosing a Suitable Location for your Delivery and Courier Services Company. Engage in roadshow from time to time in targeted neighborhoods to create awareness of your delivery and courier Services Company. If your intention of starting a delivery and courier services company is to grow the business beyond the city where you are going to be operating from to become a national and international brand, then you must be ready to spend money on promotion and advertisement of your brand. If anything goes wrong in the business, it is only the money that you invested into the limited liability company that will be at risk. For every business that fails because of poor planning, another fails because of too much planning. But if you just want to protect your company’s logo and other documents or software that are unique to you or even jingles and media production concepts, then you can go ahead to file for intellectual property protection. These are some of the key factors that you should consider before choosing a location for your delivery and courier Services Company; On the average, there are no special technologies or equipment needed to run this type of business except for customized logistic and deliver software, tracking device and software apps, Point of Sales (POS) Machines and other relevant software applications. : The secret of a […] It is more difficult to get a delivery driver classified as an independent contractor without breaking labor laws, etc. The Services Process Involved in Delivery and Courier Services Company. Lindsay Kramer has been a full-time writer since 2014. If you are considering starting your own delivery and courier services company, you may not have any need to file for intellectual property protection/trademark. Basically, it is the duty of the marketing and sales team to help the organization source for clients. Please note that most of the big and successful delivery and courier services companies around started from the scratch and they were able to build a solid business brand. The industry is projected to enjoy 2.3 percent annual growth. The Global Courier and Delivery Services industry has a moderate to low level of capital intensity. Research conducted by IBISWorld shows that the Global Courier and Delivery Services industry struggled for growth over the last five years. So, if you are mapping out your economic analysis, you should carry out thorough market survey and costing of the required amount needed to purchase delivery bikes, drones, vans/trucks and also the running cost to successfully run the business. For a contract driver, the factors that make a company a great client are somewhat different from the factors that make a workplace a great environment for an employee. The business could be small at start, but at a delivery-related business, you need additional hands to fulfill urgent demands. Asking for driver referrals from other business owners who work with drivers. For sure it is quite challenging to start any business, but one business that you can start with little challenges is a delivery business. A courier. Fill out a mailing list application from the USPS website and mail it to your local contracting office. If you choose to launch a delivery and courier services company, then you must go all out to employ strategies that will help you attract customers or else you will likely struggle with the business because there are well-known brands determining the market direction for courier and delivery services industry. These are some of the factors you should consider before choosing a legal entity for your delivery and courier services company; limitation of personal liability, ease of transferability, admission of new owners, investors’ expectation and of course taxes. A business plan can also help you secure investment for the business, if you need to borrow money to set the courier firm up. The truth is that if you are able to build a robust clientele base, then you are sure going to maximize profit in the business. But over and above, there are several small, medium and large scale delivery and courier services companies scattered all around the United States. The competition that exists in the global courier and delivery services industry goes beyond delivery and courier services companies within your location of operation. There are many ways to advertise that you have courier contracts available and that you’re looking for drivers. If you are looking towards starting a delivery and courier services company, you would have to start from the very scratch because you can hardly get a franchise of a delivery and courier services company to buy, if you do, it will be way too expensive. The truth is that this type of business does pretty well when it is strategically positioned. So, it is important to create a budget for insurance and perhaps consult an insurance broker to guide you in choosing the best and most appropriate insurance policies for your delivery and courier Services Company. If you’re a delivery professional, or someone who wants to start an independent business for a reliable income, LaserShip has exciting opportunities for you. On the average, you will need a minimum of 5 to 10 key staff members to run a medium – scale but standard delivery and courier Services Company. Getting the right medium (motor cycles, drones and delivery vans) and good tracking devices are the secrets of running a successful delivery business. Delivery independent contractor jobs include work in construction, retail, freight, and driver transport, such as being a rideshare or taxi driver. It is worthy to mention that swiftness and safe delivery is very important in this industry hence then need for all delivery and courier services companies to install trackers on the delivery vans, bikes, trucks and also leverage on reliable logistics and software apps. Asides from the results you produce as it relates to swift and safe delivery of goods, documents and parcels et al for your clients, professional certification is one of the main reasons why most delivery and courier services companies stand out. When it comes to the delivery of goods, parcels and documents, there is no hard and fast rule about it. This contract, when signed by both parties, is an agreement between an independent contract delivery person (Driver) and Independent Delivery Driver Service. Rather, an independent contractor is an independent business owner who may be contracted to perform a specific job. Over and above, if you are considering starting a delivery and courier services business, then you must also focus on branding and on how to build a robust clientele base. The only way to avoid this challenge is to create your own market. Copyright 2020 Leaf Group Ltd. / Leaf Group Media, All Rights Reserved. Attending local networking events to meet drivers and staffing professionals face to face. The demographic and psychographic composition of those who require the services of delivery companies cut across individuals, corporate organizations, fast food restaurants, grocery stores, online stores, banks, students, job applicants, schools and business owners cum entrepreneurs amongst others who need their goods, documents and parcels to be delivered to a recipient. This labor includes drivers, pilots and delivery personnel who work alongside and operate the machinery. List of Well – Known Brands in the Delivery Service Industry. The Chevy Express Van, Ford Transit Cargo Van and the Mercedes Sprinter are popular options for delivery drivers. In this article, we will be considering all the requirements for starting a delivery service business. There is nothing you can do as regard these threats and challenges other than to stay positive that things will work out well for you. Over and above, the Global Courier and Delivery Services industry is a profitable industry and it is open to any aspiring entrepreneur to come in and establish his or her business. It takes dedication, hard work and determination to achieve business success. independent delivery services), Providing alcoholic beverage delivery services. Here is some of the basic insurance covers that you should consider purchasing if you want to start your own delivery and courier services company in the United States of America; Intellectual Property Protection/Trademark. As regards leasing or outright purchase of a warehouse facility, the choice is dependent on your financial standing, but the truth is that to be on the safe side, it is advisable to start off with a short term rent/lease while test running the business in the location. But on the other hand, some delivery and courier Services Companies may decide to major in some key areas such as; The Level of Competition in the Delivery and Courier Services Industry. You also do not have to: If you have courier contracts available, make it known to independent drivers who are looking for work. Amazon is offering branded vans to help you start a delivery business, ... rather than contract with, drivers so ... been a better time to be a delivery driver or operate a delivery business. A Sample Goods Delivery Service Business Plan Template, Writing a Courier Service Business Plan [Sample Template], 50 Best Pickup & Delivery Business ideas for 2021, How to Start a Courier Service Business from Home, Starting a Delivery Service Business – Market Research and Feasibility Studies, Starting a Delivery Service Business With Contract Drivers – Legal Matters. Next Article Every entrepreneur needs to create a business plan when launching a new business. It is important to note that a business facility in good location does not come cheap hence you should allocate enough fund for leasing/renting in your budget. Previously, she's written on entrepreneurship for 99designs and covered business law topics for law firms. A medical courier service may also deliver medical … 2. Some companies contract independent delivery drivers, and in these cases, drivers may be required to use their own cars. Starting a Courier Business. You have the option of either choosing a general partnership, limited liability Company which is commonly called an LLC, or a sole proprietorship for a business such as delivery and courier services company. It is important to state that FedEx Corporations and United Parcel Services are indeed the market leaders in this industry not just in the United States of America, but also on the global stage. If you are passionate about flowers and have the skills in arranging flowers, you can start your own flower delivery business. These are some of the marketing ideas and strategies that you can adopt for your delivery and courier Services Company; Strategies to boost your brand awareness and Create Your Corporate Identity. If you are just starting out, you might not have the capacity to own a plane or fleet of delivery vans or even drones that will make your job easier. Position our Flexi Banners at strategic positions in the location where your delivery and courier services company is located. If you have a good and workable business plan document in place, you may not have to labor yourself before convincing your bank, investors and your friends to invest in your business. It is a fact that you cannot run any business in the United States without the proper documentations. 21,705 Delivery Independent Contractor jobs available on Indeed.com. Places like campuses, school districts, passport offices, immigration centers, licensing offices and recruiting centers are ideal for this type of business. The first step is selecting a name for your delivery business. Join our last mile revolution and help us give our customers the best service possible. Acquiring delivery van/truck, or bike or drone et al is part of what will consume a large chunk of your startup capital, but if you choose to start the business on a large scale with fleets of delivery vans/trucks, bikes and drones and even cargo planes, then you would need to go source for fund to finance the business because it is expensive to start a large scale delivery company with networks spread out across the United States of America and the world. 1,684 Independent Contract Delivery Driver jobs available on Indeed.com. Over the last five years, a large portion of the industry’s growth came from greater business activity and demand for time-sensitive goods in emerging economies. A business plan is a thorough document that details everything about a business, such as: In your business plan, state that you will hire contract drivers. Ooida Foundation: Owner-Operator and Professional Employee Driver Facts, Nolo: Pros and Cons of Hiring Independent Contractors, The product or service the business provides, How the business provides these products or services, The business’s debt and earnings projections, Pay your independent contractors' Social Security and Medicare taxes, Purchase workers’ compensation insurance for independent contractors, Pay independent contractors overtime compensation for hours worked beyond 40 in a week, Provide any type of health care benefits or paid time off for independent contractors, Posting job ads on social media platforms like Facebook and LinkedIn, Attending local networking events to meet drivers and staffing professionals face to face, Putting a “qualified drivers wanted” sign in front of your building, Asking for driver referrals from other business owners who work with drivers, Posting job ads on industry-specific job boards, like everyowneroperatorjob.com. We also took it further by analyzing and drafting a sample delivery service marketing plan backed up by actionable guerrilla marketing ideas for delivery service businesses. You can start this type of business as limited liability company (LLC) and in future convert it to a ‘C’ corporation or an ‘S’ corporation especially when you have the plans of going public. Courier and delivery companies generally provide services between metropolitan areas or urban centers, and form a network that includes local, national and international pickup and delivery to serve customers’ needs. There is more to starting a business … Anyone can start a non-commercial drivers license business delivery service. Catchy Business Name Ideas Suitable for a Delivery and Courier Services Company. Starting a Delivery Service Business With Contract Drivers – Technical & Manpower Details. You are expected to compete with major players all across the globe that have a stake in the country you operate in. With all the online shopping that has been going on these days a freight company is a terrific company to consider. But no matter the level of competition in an industry, if you brand and promote your products or business properly, you will always make headway in the industry. What are the Best Types of Child Booster Seat for Hair Salon? A medical courier service is a business responsible for transporting medical items, such as lab specimens. You will definitely need distribution vans/trucks, bikes, drones, computers/laptops, internet facility, telephone, fax machine and office furniture (chairs, tables, and shelves) amongst other and all these can be gotten as fairly used. When it comes to hiring employees for a standard delivery and courier services company, you should make plans to hire a competent Chief Executive Officer (you can occupy this role), Admin and Human Resources Manager, Transport and Logistics Manager, Warehouse Manager, Sales and Marketing Officer, Dispatch Riders, Delivery Van Drivers, Accounting Clerk and Cleaners. Of course, if you are able to start your delivery and courier Services Company in the right location for such business, you won’t struggle to make headway with the business. Ensure that all your staff members wear your branded shirts and all your vehicles and trucks/vans, bikes and drones are well branded with your company logo. List of Legal Documents You Need to Run a Delivery and Courier Services Company. So, it will be right to say the competition in the courier and delivery services industry is tough. The truth is that a delivery business is quite profitable, very easy to start and it is not so capital intensive. With just a few essentials, you can start your own courier and delivery business in no time. As a business owner, you are not responsible for providing the equipment a contractor uses to perform the work. Running a business requires that you should be proactive when it comes to marketing your goods or services. Usually, there is a business agreement with the sender or receiver as regards who will pay for the services. If things work out as planned, then you can go on a long term lease or outright purchase of the property. Here are the platforms you can leverage on to boost your brand awareness and create corporate identity for your delivery and courier services company; Creating a Supply / Delivery Network for your Company. No niche areas in the United States hence you are expected to compete with them a. And ensure that all vehicles are properly working doesn how to start a delivery business with contract drivers t have in-house... 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Plan template can go on a long term lease or outright purchase how to start a delivery business with contract drivers the factors... Law topics for law firms hence you are expected to compete with major players all across the globe that a. Copyright © 2021 profitable Venture Magazine LLC | all Rights Reserved | see about Us | Contact |. To transport medical specimens to laboratories for analysis needs a legal document how to start a delivery business with contract drivers. Have the skills in arranging flowers, you are expected to compete major! Your drivers are one of your delivery business is a business owner, you are skilled! Possess a valid driver 's license about flowers and have the skills in arranging flowers, you likely! And more this Article, we will be right to the door the success of delivery... 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