How to start a courier business

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Written By FredrickHobbs

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This industry was in decline for some time due to the advent of e-mail and other digital methods of sending documents. However, a courier’s ability and flexibility to handle multiple delivery jobs and work irregular hours can make a difference and help to break this trend. It is important to work in an area that has a lot of commerce and can deal with fluctuations in gas prices. Although hazardous or medical material delivery can help increase profits, this usually requires special licensing. It is best to start with simple package conveyance.

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What you’ll need

  • You will need a well-defined delivery area, especially if you live in large metropolitan areas.
  • You will need insurance for your vehicle as well as a valid driver’s license. Check with your department of motor cars to see if you are required to have a commercial license.
  • You will need a business license. Check with your local chamber for details
  • To promote your business, a website, vehicle signage and flyers are all necessary.

Software package for courier services that will help you manage the business side of your business. Often available online for no cost

Use a GPS device to locate clients and map the best routes

For all business operations, a dedicated mobile number is available. This includes calls en route as well as reliable handsets and earpieces.

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Adequate auto insurance

  1. Research

Establish a competitive rate. Ask around to see what the current rates are for couriers in your region. Some charge per-mile plus a fee to transport gasoline or vehicle wear. Others charge a flat fee. Rush jobs are usually more expensive. You can get a head start by using the right formula that considers traffic, distance, vehicle wear, competition, and courier services.

  1. Advantages

If you enjoy driving, this is the right business for you. If you already own a reliable car, your startup costs will be minimal. However, it is worth reviewing your auto insurance policy to ensure you have sufficient liability coverage and that you are covered in the course of business. You have an advantage over franchises with set hours. However, it can cause disruption to your personal and/or family life. Profits could be affected by unpredictable gas prices or traffic issues. You might need to replace your tires sooner than you thought.

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  1. Success

Priority Express Courier was founded by Rob Johnstone, an ex-IBM salesman, in 1994 to serve New Jersey and Pennsylvania. According to an entry on the Messenger Courier Association of the Americas website, Priority was listed on Inc. Magazine’s list of fastest-growing companies as well as in its Inc. 500.