Starting a 3PL company

**bibison** · 08-23-2009 03:41 AM

Hi,

I'm looking forward to start a third party logistic company. I'm just in the progress of writing up the business plan. Does anyone have any advice of warning regarding to this field? I'd appreciate if I could get some feedback on what I should watch out for.

Thanks!
Ben

**peteyflow** · 08-23-2009 03:54 AM

Have you taken a research on this field? I'm definitely new to this business, but if you can specifically tell us what kind of third party logistic company you are looking forward to start, then maybe someone in this forum who is expert on that field can help you out?

As far as I know, there are many 3pl companies that deal with consolidation and distribution for specific materials, and there are companies that only service small to medium sized businesses.

**laurieming** · 08-31-2009 02:54 AM

the 3pl market is really very ferious

**rpermana** · 08-31-2009 04:08 AM

im working in this field. I can give you some advise.

1. You need to understand shipping term such as DDP, CIF, Ex-work. So you know your responsibilities, cost and risk during shipment.

2. Be extra careful on DDP term, it involves custom clearance. Custom clearance procedure and charges are different in each countries.

3. Before quoting, please ask your customer for item details and MSDS data sheet. Who knows it might be controlled / banned items in the importing country.

4. Since you are doing outsource, you need to secure your shipment volume per month or per year. No transport / shipping companies will give you a good rate if you can't give them good volume.

I don't know about your logistics knowledge, and what you need to know. Hope it helps