Even thinking about starting any type of business can be exciting as well as overwhelming. Having your own courier company provides an opportunity to be your own boss, meet new people and earn an income. In fact, if forward estimates (2023 onwards) are anything to go by, then, the entire courier and logistics industry is expected to experience exponential growth in United Kingdom. This means one thing “now is the best time for setting up a new courier company in UK”.
Prerequisites for Starting a Courier Business
You already know that when it comes to operating a courier company, initial planning and preparation is needed. Even if you want to start as an owner driver, or you want to pickup and deliver documents or small items using a motorcycle, building a sustainable courier business will first require thoughtful research, analysis, planning and required resources. This you already know and perhaps are here to learn the ins-and-outs of setting a courier company in Great Britain.
Since we’re here to ensure your success, before we share useful insights for how to start a courier business in UK, do keep this in mind that for any form of delivery business to succeed, the more important prerequisites are not business name or the type of vehicle you use but rather “discipline, responsibility, friendly attitude, love of people, hard work, and determination”. These are the keys for success in a courier industry. Now that we know this, let’s navigate through the courier business eco-system.
Find Your Niche
Before you jump into the oceans of delivery business, decide on a specific target area and speciality of the service. Basic example: Same Day Couriering in Leeds or Express B2B deliveries throughout the City of London England. This approach is better than trying to handle deliveries nationwide. This does not mean that you can not cater for shipments throughout UK, but initially, you should start by catering for specific area before you embark on regional deliveries. This will also allow you to see the bigger picture for future expansion and growth.
Identifying your niche and target audience also means that you can better understand the demand that exists and the level of competition on that particular location. Whether a local businesses requires daily delivery of items locally or there is a business to business delivery need, analyse service demand (and potential for growth) and find out which courier companies are currently operating in your target location.
Furthermore: understand that there are many different types of service you as a courier can offer. For example: same-day, next-day, overnight, document delivery, B2B commercial deliveries, medical items, refrigerated deliveries, eCommerce shipments and others. Initial research and brainstorming will no doubt set your new business up for long term success.
Legal Structure
Although we can not provide legal advice, establishing a business in UK is a straight forward process. What’s important is that you are familiar with the difference the type of business you register requires.
Think of it like so: if you are going to start as an owner-driver with your own courier vehicle (that usually means that you will not initially hire other drivers to begin with, and also you are personally responsible for the entire business, as such you may start as a sole-trader). Visit this link to learn how to set up as a sole trader. On the other hand, registering as a company requires different approach.
Useful links for getting help and support for your courier business (England Scotland Wales and Northern Ireland)
- Information for Setting up a Business
- Business Support Helpline
- Business and self-employed
- Local Growth Hub Contacts
- VAT Notice 744B
Necessities of a Courier
Whether you already saved your hard earned money to invest in starting a courier business, or you are going to get a finance, you’ll need a courier vehicle. Depending on the way you decide to setup your new courier business, office supplies, computer, warehouse for storage, packing materials may need to be purchased. However, don’t be overwhelmed because with just your own vehicle, courier vehicle, smartphone and laptop coupled with an integrated courier management software such as Delivery Master Courier Software, you can start operating.
Delivery Management System
With everything set to start your courier business in UK, it is extremely important to set up a system that ensures smooth flow of operations. Getting a customised delivery management software built from scratch according to the business needs may be quite expensive. Especially when you actually do not need one developed from scratch because Delivery Master back-office system, driver mobile application coupled with customer web portal means that order taking from customers and managing deliveries can be accomplished with ease.
A reliable software will help identify and plan routes, assign drivers, assist with order and fleet tracking, communication and invoice payments. Manually handling tedious tasks a courier service offers is just a bad business decision because automation is simpler process saving resources. Courier management software will not only help you in the management of day to day couriering operation but will also reduce the overall costs.
Surely, investing is needed at the start, but saving money, finding opportunities for reducing costs, avoiding miscalculation and delivery inaccuracy will ensure cash flow, particularly important when starting out in this exciting industry.
Time to Market Your New Courier Business
No one will use a service if they don’t know about it or they can’t find it. Luckily for you, marketing a courier service doesn’t need to be expensive. You can even begin by word-of-mouth telling family and friends, or approaching local business communities introducing yourself and business will get the ball rolling.
Apart from that, having an online presence and digital marketing is also affordable in 2022. Good highly targeted marketing can do wonders for your brand new courier service irrespective of whether you choose to outsource your marketing needs or build an in-house marketing team. Depending on your target audience, you can choose to go for social media marketing, email campaigns, referral programs or advertising.
If anything, have in place referral program from the word get go. Especially important since you’ll be providing great customer service, each valued client you sign up to your service will act as your service ambassador. Before long, you’ll be looking to purchase new fleet and hire more staff helping fulfil even more deliveries.
Final notes: do not delay starting a courier business in United Kingdom. Be prepared for the learning curve and experiment with fresh ideas. Approach a new any challenges come what may, stay the course but above all else, enjoy these exciting times beginning your new journey as a successful UK courier.