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Old 11-16-2005, 01:15 PM   #1 (permalink)
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I need some advice

Hey guys,

I have currently decided to start my own courier service. I think that this may a profitable but inexpensive venture. The only problem I have, is the fact that i am very unexperienced in this business. Can anyone give me any advice on where i should start to make this idea a reality?

I have found a location, and I have a vehicle... where do i go from here?
How do i advertise my services...and do i need to worry about any legal aspect of it yet?
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Old 11-16-2005, 01:57 PM   #2 (permalink)
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Wow...yikes. This is dangerous ground. I don't know where you are from or will be based, but in the UK and USA the courier market is saturated. Large Companies dominate the market and because of economies of scale are able to offer their services at extremely cheap rates. It will be very hard for you to penetrate this market and make any significant profit. You should really make an appointment with a business advisor who will be able to give you more accurate advise based on where you are located.
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Old 11-16-2005, 04:59 PM   #3 (permalink)
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Location: In my Apartment floating in the beautiful city of Toronto, Canada, Earth, Galaxy, Universe
Cool

I use to have an idea that's close to a courier company, and researched into the industry a bit.

You could choose to be an complete independent courier if you have some customer base. However, if you don't have any connections, and don't have a large budget for advertisement, Joining a network or courier Association might be a good start.

These associations will help you to network with other courier companies, and better understand the courier industry. If you create a great relationship with them, they will give you deliveries whenever they received too much orders.

Here is a canadian one:
http://www.canadiancourier.org
And here is a uk one:
www.nca.couk.com
The U.S one here:
http://www.mcaa.com

THis might be a good start, but delivering for other companies will not make you rich, but it'll be a great start if you have no clue about this industry.

Good Luck with the business.
Cheers,
Nick
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Old 11-16-2005, 10:01 PM   #4 (permalink)
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Thanks for the advise guys i really apreciate it.
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Old 11-17-2005, 09:04 AM   #5 (permalink)
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Location: Edmonton, AB
Quote:
Originally Posted by GriZzly
Large Companies dominate the market and because of economies of scale are able to offer their services at extremely cheap rates
Actually that's not true in North America. Apparently the majority of courier service in North America is still done by local mom/pop shops, while FedEx, UPS, etc. have large but ultimately minority positions. I believe this is due to the large geography in North America that makes it uneconomical for the big boys to go everwhere for a reasonable price. Urban Dispatch (http://www.urbandispatch.com/index.html) is a company whose business model is based on that fact. The company provides software that will get your package from anywhere to anywhere for the best price, using its database of all the couriers small and large.

I think skatewhale and grizzly are right on the mark - look into the particulars of your location. Another idea would be to look at working with one of the big companies first and then decide if you want to go on your own. I believe most of UPS's trucks are owned and operated by independent contractors. However, you can do really poorly (< $20K net/yr) to really well (> $100K net/yr) depending on your location.
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Old 11-17-2005, 04:29 PM   #6 (permalink)
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jdoc I will trust you on the North America part. I am British and have no knowledge of the American Courier market. In the UK the market is dominated by several major couriers.
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Old 11-28-2005, 07:25 PM   #7 (permalink)
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IMO your best bet is to target small towns and regions and make quality service your selling point. other than that I cant really see anyone competing with UPS etc...
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Old 11-29-2005, 12:04 PM   #8 (permalink)
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are we talking motor bike or van?

motorbikes definately have an advantage with speed, there is always some business to be had. However you are hardly going to be able to take on huge assignments
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