Delivery businesses are cashing in due to the harsh effects of the Coronavirus pandemic. If you are considering starting a small delivery business to get a piece of the action, you can do so without spending a fortune. Here are some helpful tips to get you off the ground.

Get a reliable vehicle

Depending on your clients and the items they seek to have delivered, you may need various vehicles at your disposal. The best investment to make in this regard is getting a pickup truck, a box truck, or even a cargo truck. You do not even need to own these vehicles; you can rent them or partner with another company to lease them out to you then you split profits. If you are sticking to just small parcels, a regular sedan should suffice.

Legalize your operations

The moment you decide to run a business, you must legalize it and ensure that the relevant documentation is done. Take into account all the requirements needed to get a business license and make sure you satisfy and adhere to them. Also, decide if you want to set your business up as a sole proprietorship or as a limited liability company. 

Other necessities

You will need a dolly to help you easily move around items that are quite heavy, decreasing your cost of labor. You will also need a set of ratchet straps to keep the items in place and reduce the risk of damage. You need to have a cellphone that will serve as a business phone.

Getting started

When you are done with the necessary logistics and required legalities, the next thing to do is to structure your business model. Mind you, a business model is not the same as a business plan. If you do not already have a business plan at this stage, you are setting yourself up to fail. A business plan is a document that showcases the strategy of the company and its projected financials. On the other hand, a business model represents the approach the business will use when conducting its daily activities.

Things to consider when putting together your business model should include setting boundaries. As a small business, you cannot afford to stretch yourself thin with limited resources. It is best to set boundaries in which you can operate effectively and satisfy your clients’ demands. This will aid you in reducing expenditure and give you a concentrated customer base.

Also, settle on working days and hours, so that you can have time for yourself and your family. If you do work with other people, they will also appreciate it. Another thing to look at is solidifying your customer base. You can do this by creating a list of potential businesses or individuals who will appreciate your business and will need your services.

The next step is to make a formal approach to these businesses and offer them your services at a reduced rate. After that, begin to advertise your business using various avenues such as posting flyers, and handing about business cards. You may also want to consider using social media to create some exposure. Facebook offers some great marketing and advertising resources you should take advantage of.

Do the financials

Creation of a budget will help you identify your expenditure and profits. It will also enable you to properly price your rates and indicate which areas you need to restructure. Aside from these, you need to consider the cost of fuel, insurance, vehicle maintenance, rentals, possible expansion, and other special requests by clients such as out-of-state shipping. If you do need some help, you can get instant shipping quotes using this freight class calculator.

Establish working relationships

A good working relationship ensures repeat business and keeps both parties happy. One way to achieve this is by ensuring that you fulfill your end of the contract by delivering items on time and in pristine condition. Your excellent service will make your clients develop affection and even loyalty to you and will help you grow by recommending your services to others. You may also want to give back to your customers through loyalty programs, discount coupons, and in some cases, free deliveries. Identify your customer’s needs and use that to offer suitable solutions for them.