Launching A Business Without A Warehouse: Use A Fulfillment Center
Anyone that has ever considered launching a their own business knows there are various
hurdles that have to be overcome before you can even get started. One of the major hindrances to aspiring businesses entails storage and shipping. Traditionally, businesses needed enough warehousing space to hold sufficient quantities of whatever products they dealt in. This often also required hiring staff to store, handle, pack and ship these products. Building, buying or renting a warehouse, along with hiring the neccessary staff members to run the operation would be too costly for many new businesses. At one time, launching a business without a warehouse was unthinkable.Remove the Expense of Operating a Warehouse
Fortunately, there is now a solution to this problem. You no longer need your own warehousing facilities, and you don't need order pickers to be able to start up a business any longer. Instead, you could use a fulfillment warehouse or drop shipping service. Fulfillment centers take care of many of or all of your warehousing and shipping needs, saving you not only expensive labour costs, but also the expense and hassle of running your own warehouse.
Focus on Your Business, Not on Shipping
Starting a business without having your own warehouse can actually have several advantages, some of which are more apparent than others. A new business using a fulfillment center will receive instant benefits by being able to focus on the things they do best, creating and marketing high quality products that ensure a strong consumer base. The storage, packing, shipping and inventory are left to the experts. You save time in using a fulfillment center, and you also save money in labor costs.
A Fulfillment Center Delivers Versatility
But using a fulfillment center or drop shipping company can also provide other benefits which you may not be aware of. Firstly, you only pay for the storage space that you need, instead of having a sizeable warehouse that is half empty most of the time. Utilizing a fulfillment center allows you to be flexible concerning the space you need with the changing needs of your company. If you do require more space, you won't need to erect another building; you can simply hire extra space when needed. You will also enjoy huge savings in your shipping costs by qualifying for bulk rates long before your company's shipping would normally be eligible for such savings.
Use a Fulfillment Center and Get Better Rates
Fulfillment centers can help you reduce your shipping costs in a number of different. Firstly, fulfillment centers buy shipping materials (like envelopes, tape and boxes) in large quantities, making them eligible for discount rates. Often this saving is passed down to you, the client. Additionally, courriers offer fulfillment centers a considerably better rate than other businesses. This is because they ship more parcels than any other kind of business. Because fulfillment centers take care of the shipping for a lot of businesses, they are able to negotiate a cheaper per package price from leading parcel carriers like UPS and FedEx. Once again, most of these savings are passed on to you, the business owner.
With all the money you can save when starting your new business without a warehouse, it simply makes good sense to contract a fulfillment center. Leave your handling and shipping to those that do it best, and focus on more important things: building your business.
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