Category: Warehouse

First in simplest words – You should know your customers, your market, your area geographically and most important your budget…

Let us start by evaluating the basic things one by one.

Actionable Tips to Start a Small Warehouse Logistics Business

#Know your customers:

Always first ask why? to each of your ideas… Why you want to start Warehouse Logistic Business? Why people will come to you when there are already established operators… Why people will choose / select you leaving away the established ones…

Answering your each Why’s thoroughly will make you a better warehouse service provider.

Survey / study your market first. See who all are established players in your region? What services they provide? What type of customers and commodity they handle? What is their investment in business? Consider the warehouse rent / salary and other operational costs carefully.

#Warehouse rent:

Check in your local area of operations what is the existing rent of a small warehouse? This is usually quoted on per sq. ft. basis, check the monthly maintenance and property tax amount and who will pay this amount?

#Your client:

KYC is the key to success. Know your customer is the most important aspect of starting small warehouse logistic business.

  • You should know the material you have to handle, the packaging size, type of package, storage type (whether it has to be stacked on racks / pallets / on the floor / height of stack etc.)
  • Monthly movement of stock from client premises to warehouse to distribution channel / client. Maintaining the inward and outward record is most important in this business. Proper labeling / marking / tagging of each batch of goods, handling the loading and unloading of goods, transporting the same to various places without damaging the goods. On time delivery of goods as per requirement.
  • If you are handling multiple clients and products together you have to be very sure that material doesn’t gets mixed up while stacking and delivering the goods. Keep separate marking of space for better handling.

Once you are ready with the client product knowledge, next important thing is terms of contract.

#Terms of Contract:

You should keep in mind the following things when taking up the contract.

  • Frequency of material handling and movement.

This will help you in establishing the transportation cost and manpower cost for loading and unloading of goods.

  • Pickup and Delivery Destination

This will help you understand the cost of logistic involved. If the material is to be picked up from and delivered to one location or multiple locations. This will also help you in taking the cost of transportation in consideration.

  • Reporting:

Submitting the material movement reports on daily / fortnightly / monthly basis. Keeping the relevant documents ready to be submitted with the report.

  • Payments:

When the payment will be released from the company? On daily / fortnightly / monthly basis. If the company is paying you on monthly basis then you should have sufficient money backup to run your day to day show. As you will need to make some payments on daily basis, and so sufficient money backup will help you to run the show.

Once you are ready with mutually agreed terms of contract then comes up is size and location of your warehouse.

Knowing the monthly quantity of goods you have to handle, you can decide on the size of warehouse you will require to store the goods. While deciding on the warehouse, you should keep these important points in mind before finalizing the space.

#Location:

  • Location of warehouse.
  • Accessibility from the main road / highway.
  • Approach road to warehouse.
  • Delivery vehicle movement.

#Type of warehouse:

There are different types of warehouse. Some have RCC roof and are fully constructed with civil work. Some are combination of RCC / Civil work and PEB (Pre Engineered Buildings) and some are complete PEB Structures.

  • Consider the type of construction of warehouse
  1. Civil + RCC
  2. Civil + PEB
  3. PEB + RCC
  • Height of warehouse from center and side.
  • Width of shutter and number of shutters
  • Floor loading capacity per sq. meter. (Specially need to consider if the material is heavy)

#Additional Facilities:

  • Security of warehouse (Manned OR CCTV Surveillance)
  • Water and Power availability
  • Distance from key establishments like hospital / police station / bus stop / nearby village etc.
  • Transportation and Logistic service providers.

Once all the above points are taken into consideration you are almost set to start your business. You have to be mentally prepared to face the unforeseen circumstances which come with every business. But, if the basic principles of business are followed the chances of failure are very less.

IndiaWarehousing is a leading service providers from India of storage space, storage space rentals and goods storage for warehousing business. Contact for best Investment Opportunity in warehousing business.

Also Read: How to Start a Warehousing Business in India?

A successful business plan for warehousing and logistics business need in-depth knowledge of supply chain, geographical knowledge and cost effective transportation methods.

Best Business Plan for Warehousing and Logistics

The basic difference between Warehousing and Logistic is, warehousing means art of storage goods, making maximum use of available space for storage of goods ( Raw and Finished) and Logistic means art of transportation of goods from one place to another with minimum breakage or loss or spillage within the best given time.

Warehouse business plan

If you are a new entrant in to the business of warehousing then you need to know the potential areas within your city or its outskirts from where connectivity to other parts of the world is excellent. Apart from good location of your warehouse you should have proper warehouse infrastructure in place which consists of properly build warehouse with modern facilities like in-house office for staff, storage facility like racks and pallets, material handling equipments like pallet trucks Or forklifts, cranes for movement of heavy goods, dock levelers for easy movement of goods from truck / trailer to the floor of warehouse, weighing bridges, manpower to operate this equipments.

Once you have a proper warehousing infrastructure in place then after you can either out source your logistic part with excellent arrangement of transportation of goods from you warehouse to other part of country / world Or you can have your own logistic / transportation fleet of trucks and trailers.

Also Read: Investment Opportunity in Warehousing Business in India

Logistics business plan

To create your own fleet you should carefully plan your purchase of these vehicles which can transport good to the last mile into the city. Big truck or trailer for intercity transportation, small truck / tempo intra city transportation and even smaller vehicles for last mile delivery of goods.

If you are into active warehouse management and operation then you might also need packaging materials for repacking of goods like corrugated boxes, sealant tapes, plastic wraps, bubble wraps, wooden boxes for heavy goods etc.

The key to successful warehousing and logistic business is operating / storing / transportation of goods and delivery of goods in time with no or minimum breakage or loss or spillage or wastage of material during transportation.

India Warehousing is a leading service providers from India of storage space, storage space rentals and goods storage. Get industrial plot for sale or rent, Warehousing sale or rent, Industrial land sale of rent in India.

Also Read: 

Actionable Tips on How to Start a Warehousing Business

How will you increase your storage capacity in a small warehouse?

“Warehouse” the first idea which clicks our mind on listening to this word big space for storage of products and raw material but, there can me many several usage of such big spaces if they are vacant from long time and you can make an excellent source of business and extra income generator… How? IndiaWarehousing.in will suggest you what all things you can do with the dead space you are having  and how to convert it into a money mining business.

Best Business ideas to Start with an Empty Warehouse

Things to do with an empty warehouse

First, If the warehouse is small and within the city limits it can be converted in to a concept food café with a very different and out of the world ambiance. because it has a good height the ceiling can be made very creative with different lightning and artificial ceiling roofs.  Along with food eatery you can have a live music and dance floor OR an art section to make it more interesting and inviting.

Second, interestingly it could be used as a Display Area of many products like automobile, earth moving equipments, engineering products, FMCG and Sports goods etc. With a small office in front or back or on the mezzanine floor (Because it has a good height)  the rest of the area can be used very smartly making maximum use of it.  A section wise layout of product display area could be an attractive point for customers visiting the space making it more interesting and interactive.

Also Read: How to Start a Warehousing Business in India?

Third, it can be used as a designing studio along with an R and D center. It can be apparel designing or engineering or automobile designing, small warehouses can be the best fit in areas. Dividing it into on paper or digital designing studio to making small models and sample products in the rest of the area could be very productive and instant result driven activity.

With a bigger warehouse space one can do Multiple business. A big warehouse can be divided into smaller spaces as per the clients need with temporary partition walls. A bigger space can be used for multiple activities like storage, production, display area, R and D center, cold storage etc. If  you are finding it difficult in letting out a bigger space just split the space into smaller joints and make the most of it to generate extra income for yourself.

Last but not the least you can use the warehouse for Multiple Storage for your client or yourself.  If you can manage and operate a warehouse then rather than letting it to one client you can generate more income by managing and operating warehouse for your client. Managing inventory and supply chain for your client you can generate more income for yourself.

Conclusion, if you have a warehouse which you are not using it for yourself you can rent out with above options and start generating extra income for yourself.

India Warehousing is a leading service providers from India of storage space, storage space rentals and goods storage. Get industrial plot for sale or rent, Warehousing sale or rent, Industrial land sale of rent in India.

Also Read: Investment Opportunity in Warehousing Business

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