Courier Service Contracts: Everything You Need to Know

Creating courier service contracts can help grow your business. A courier service is a type of business that can literally be started overnight.3 min read

Creating courier service contracts can help grow your business. A courier service is a type of business that can literally be started overnight. The straightforwardness of a courier service makes it an ideal business to start if you have limited startup capital. All that's usually required to begin is a few hundred dollars, a reliable vehicle, and a cell phone.

Steps to Starting a Courier Business

The steps below will guide you through the process of starting a courier business:

  1. Select the appropriate vehicle: Having a reliable mode of transportation is the most important requirement for starting a courier service. One of the best options is usually a cargo van, mainly because it provides the largest amount of cargo space for transporting customers and packages. In cases where you are not able to purchase a cargo van outright, there's also the possibility of:
    • Leasing a vehicle.
    • Purchasing a used cargo van.
    • Purchasing a pickup truck with a covered bed.
  2. Purchase the ideal equipment: Having the best equipment for the job will make deliveries more efficient and help prevent injuries. Your equipment requirements will depend on your vehicle and the type of cargo that the business plans on delivering. Courier services that focus on boxes or packages may simply need a hand truck or a dolly. A standard dolly can be purchased at a big box retailer for about $20. Other standard shipping equipment includes:
    • Moving blankets.
    • Tape.
    • Cargo straps.
  3. Name the courier service: One of the most exciting moments in starting a new business is naming it. Remember, the name of the business will represent you, your mission, and your values. Before officially finalizing the name, it's a good idea to contact your secretary of state office to determine if the business name is available. After naming the business, you should decide on a legal entity. Most small businesses with only one owner will select to be run as a sole proprietorship.
  4. Insure the business: It's a good idea to make sure your vehicles and business are properly insured in case an accident occurs. In most cases, you'll also need to insure the cargo. Carrying the appropriate amount of insurance is essential to building trust with your customers. Many individuals and businesses will stay clear of courier services that are not properly insured.
  5. Market the business: Start by communicating with friends and family on social media. Let them know that you just created a courier business and ask them to pass the word around. To increase sales, you may need to begin contacting potential customers directly to inform them of the service that you provide, along with pricing information.
  6. Save all receipts: In most cases, the expenses related to operating your courier service may be used as a tax write-off, including:
    • Gas.
    • Lease payments.
    • Equipment.
    • Cell phone.

Ways to Get All The Courier Delivery Jobs You Can Handle

There are five main ways to increase business:

  • Custom notepads: You can increase business by simply handing out notepads with your business's contact information on it to your current and prospective customers.
  • Magnetic signs: A magnetic sign on the back of your vehicle is the ideal way to advertise your business for a low cost.
  • Hospital and medical buildings: Hospitals and other medical buildings are notorious for needing quick and reliable courier service. Take the time to create a business plan that will benefit both parties and you will see a dramatic increase in sales.
  • Press releases: The minimal cost of a press release makes it an ideal way to communicate with prospective clients about your new business. In the press release, be sure you identify how your courier service stands out from the competition.
  • Seniors: As people age, they may become more dependent on others to run their errands. They may need things like groceries, dry cleaning, or medicine delivered directly to their door. A senior errand service can be extremely profitable and fun.

What Is a Same-Day Courier Service?

Same-day courier services are similar to messenger services. Both are generally used as a quicker alternative to the United States Postal Service and other mainstream parcel organizations, like UPS or FedEx. Same-day courier services are used by many businesses or individuals who need time-sensitive deliveries made.

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