Getting started in you own courier business is simple, and you will have the advantage of a quick profit since there are no overheads. Nevertheless, there are a few things to know before you get started. You will need to know pitfalls to avoid when you decide to become your own boss in a courier business.
First things first, you need a vehicle. The vehicle you designate for your courier business should be no older than six years, but can really be any size you choose. However, if you are serious in your ventures as a courier business owner you may be better off to invest in something a little bigger than a hatchback car, so you will be able to transport bigger loads and charge more for doing so.
Next, you will need to invest in cellular phone service, especially for new courier business owners. Now-a-days, people without mobile phones are somewhat of a rarity, so this should not be much of a problem. It is important to keep in touch with your employees when they are one the road.
One of the most important things you need to know about starting your own courier business is what type of courier insurance you need to protect your courier vehicles. With all of the options that are available, it can get quite confusing.
There are three main types of courier insurance with which you should become familiar: vehicle insurance, goods in transit insurance, and public liability. Courier insurance is of great importance to anyone new to owning their own courier business.
Any vehicle driven on the roadways must have some form of vehicle insurance. This is a requirement of which many people are not aware. When you talk to your provider, you will be tempted to tell them that you are going to use your vehicle for a business; however, you need to specify to them that you plan to use it for a courier business. The difference being that you will be responsible for transporting goods that belong to other people for a profit. This will have an affect on both your initial cover quote as well as any claims you make on the policy.
It will be worth it to pay the extra money for goods in transit insurance. This will cover everything you carry against damage and loss for goods valued at 10,000 or less. Your usual insurance provider may include this, but if they do not, you should have no problem obtaining such cover from providers specialising in courier insurance. This is important for new owners because you will appear more legit and people will be more likely to be willing to do business with you.
Public liability may not be as important as vehicle insurance and goods in transit cover, but you should still consider it. This cover will protect you against issues with your customers in case of accidents.
Although this cover is not strictly insurance as such, it is also important to mention since you will technically be self-employed. New courier business owners will need to get their taxes and arrange any credits to which they may be entitled. It may be in your best interest to employ an accountant, which will save you money and have an understanding of which expenses you are able to claim.
Author: Rakesh Galkwad
Technorati Tags: courier business