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logistics company

How To Start a Logistics Company

Posted on March 7, 2022October 11, 2022 by safwankhan

Establishing and starting a logistics company does not have to be as complex, or as difficult as you think. Breaking down the process step by step will ensure that the process is as smooth as possible. So, just what steps do you need to be following and why? Getting to grips with things early on will enable your new company to get the best start.

Start By Researching the Technology on Offer

Technology can help to get your logistics company off the ground. You can use technology within your office, and you can also use it within your warehouse or within your fleet. For example, you could use technology to aid your warehouse movements and management or you could find that you use technology such as Mobileye 8 Connect within your trucks and cabs to reduce distractions, and also to reduce the risk of collisions. Technology should be integrated and used early on in your setup to ensure that you get the most benefit.

Find Your Core Market (Your target market)

Getting your premises sorted, deciding on what trucks to buy, and even choosing a name for your new company. However, do you know who your target market is? Who are you going to be targeting your services to – where and why? The more that you know about your target market then the more successful your new company will be.

Get Your Funding in Place

Logistics companies can rarely be started on a shoestring budget. It is important that you get the required funding in place for your business as soon as possible. You will need your funding to cover your new fleet, location, daily running costs, insurance costs, and staffing costs. Adding everything up will show you how much funding you will require for at least the first 12 months of starting up. 

Create a Structured Business Plan

To start your company the right way, you need to ensure that you follow a plan as much as you can. A business plan will give you structure, and it will give you a guideline to work from. Without a business plan to follow, you may well find that your business does not achieve what you thought it would.

Establish a Pricing Strategy

You are not the only logistics company around, and it is important that you establish what your pricing strategy will be. How much are you going to charge your customers? Are you going to work on fixed prices, or are you going to go down the quote route? How are you going to establish your prices – and have you taken into account all of your overheads and costs to ensure that you can still make a profit.

Look At Our Competition

You will have competition, and your competition will be both direct and indirect. Getting to grips with your competition and knowing what they offer (and at what price) is important. If you do not know a lot about your competition, then how can you expect to remain competitive, and build a customer base in the process?


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