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Starting Your Own Logistics/ Delivery Outfit With Less Than 300k - Business (2) - Nairaland

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Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by ubergold(m): 7:40am On Feb 01, 2017
cheesy
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by ubergold(m): 7:48am On Feb 01, 2017
obiaguna:


How much did it cost you in starting cos from my calculations it cost quite a lot. How is business down south?

To be honest with you, I started just like that. No bikes, no office, just a couple of guys with back packs. I had to get bank reference letter, TIN cert and some supporting docs submitted to a couple of the companies I work with. Apart from 2 major companies that have a big website, the rest of my clients are mainly individuals that sells stuffs through social media platforms. Business is good.... Except for clients that reject items, tell you they no longer need it or just won't pick your calls when the items they ordered have been sent to me.

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Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by INDESTRUCTABLEX(m): 2:07pm On Feb 01, 2017
ubergold:


Yes I do. Mainly for small online stores for now. With time I hope to expand and start working with the likes of jumia and konga when my capacity increases

That's lovely. I ran for a while but just couldn't keep up. It was killing - Waka4u. You may have heard of us.

1 Like

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Mcleo007(m): 2:47pm On Feb 01, 2017
Are you an online merchant, selling on Konga or run your own store? Let IBL LOGISTICS handle your deliveries via our free warehousing. We do drop off/actual konga deliveries.


For enquiries-
Phone/WhatsApp: 07033801718.
Website: www.iblplsng.com
Email: iblplsng@gmail.com
Nairaland; https://www.nairaland.com/1943083/ibl-logistics-pickup-free-warehousing

1 Like

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Mcleo007(m): 3:35pm On Feb 01, 2017
ubergold:


To be honest with you, I started just like that. No bikes, no office, just a couple of guys with back packs. I had to get bank reference letter, TIN cert and some supporting docs submitted to a couple of the companies I work with. Apart from 2 major companies that have a big website, the rest of my clients are mainly individuals that sells stuffs through social media platforms. Business is good.... Except for clients that reject items, tell you they no longer need it or just won't pick your calls when the items they ordered have been sent to me.



Keep it up Bro, don't be discouraged.



INDESTRUCTABLEX:


That's lovely. I ran for a while but just couldn't keep up. It was killing - Waka4u. You may have heard of us.


Awwww.. . You got discouraged, I see. I understand tho.

1 Like

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Mboi2: 5:07pm On Feb 01, 2017
I have a cargo van(a small bus with container body). I want to be using it for goods delivery for companies to their customers within Lagos. Is there anyone that knows how and/or the companies that will need the services of such vehicles.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by INDESTRUCTABLEX(m): 5:14pm On Feb 01, 2017
Mcleo007:




Keep it up Bro, don't be discouraged.






Awwww.. . You got discouraged, I see. I understand tho.

Haha, I didn't. It became the demanding - employee palava. Sometimes 40 deliveries a week.

1 Like

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by esorison(m): 8:03pm On Feb 01, 2017
DealFinder:

Nigeria currently has about 90 million internet users, out of which half have carried out at least 1 online transaction within the past 12 months. A clear picture of the potentials in Ecommerce business and the growth prospects. This is even as the economy seems to be contracting due to fall in crude oil prices, and the crashing of the naira against the dollar.

Statistics like these have given rise to a number of Ecommerce businesses rising to service this growing market. Online retail stores and marketplaces are a common site, and anyone can mention some of them off the top of the head. With these come opportunities for other players in the sector, and one such opportunity is logistics.

It may surprise you to note that the bane of most Ecommerce stores is logistics. When you hear that an online store is downsizing, laying off staff, retrenching, the root cause most often is logistics. And it is always obvious in the way they eventually restructure their organization.

First it was Konga, where they separated K-express services from the Konga online stores. They had initially wanted merchants to pay before shipping their orders, but the negative response made them change their mind. Jumia used to do pick up from the merchants' location, but now you have to drop off in their warehouse closest to you. Dealdey had a warehouse where merchants supplied products ordered, but now it's a case of self fulfillment.

The list goes on and on. An experienced IT personnel once stated that if you can get logistics right, you'll do excellently in Ecommerce. There are huge prospects in Ecommerce logistics and delivery. I would like to highlight certain information required to get you started in this business, and if properly managed, will ensure financial success.

Logistics, simply, is the branch of business that deals with the management of procurement, distribution, inventory, maintenance and replacement of personnel, materials, information to achieve an organization's goal. It deals with all the actors and activities involved in getting products and services from a supplier to the consumer. It is also actively involved in the manufacturing and production processes.

However, logistics in Ecommerce does not include production, just the movement of products and services from the seller/ merchant to the buyer. It includes information/ communication with buyer, movement of products, inventory, cash handling, between the seller (or outsourced logistics/ delivery outfit) and the customer.

Logistics requires quite a substantial outlay of capital for equipment and man power, but a scaled down version can be started with less than N300,000. With this amount, you can buy or build a cargo bike, get mobile phone(s) for communication, stationery and other items needed for keeping your records.

With between N220k to N250k, you can get a good motorbike equipped with the plastic container to carry the products. Driving around Lagos is quite hectic, but with motorbikes, one can easily meander through the traffic. After the motorbike, the rider is the next most important factor to consider.

The rider is so important that the person you choose may make or mar the project. The rider has to be ready to work, conversant with Lagos cities, possess good phone manners (you'll have to train him), must be honest cause he'll handle cash, and also products.

You need at least 1 mobile phone for the rider to make contact with the buyers. If you're the one managing the outfit, you'll also need to be in constant touch with the rider in case the need arises. Other stationery can be acquired along the way. If you have more to invest, you can consider getting a space, computer, software and 1 or 2 more staff.

From my discussions on a logistics trainer/ consultant, it is possible to deliver an item anywhere in Lagos at the cost of N200. With the added benefit of delivering in volumes, this cost can be conveniently reduced as the cost would be spread out. If you have a smart and efficient rider, you can considerably reduce overhead expenses.

A typical Lagos delivery cost N500. The logistics outfit charges that much to deliver around the state. Some charge more to deliver at the extremes of Lagos eg. Ikorodu, Agege, Okoko, Alaba International. As a new entrant, you can maintain a flat rate of N500 for the time being.

Good places to get sellers who will use your service are Konga, Kaymu and Dealdey, where merchants are allowed to self fulfill. For instance, 2 of my stores sell an average 100 items monthly. The delivery outfit handling this just needs to get 9 more customers like this, and they're sure of about 1,000 deliveries monthly.

There's an arrangement with Dealdey, and the delivery company charges between N300 to N400 for 1kg delivered around Lagos. That translate to

1,000 (deliveries) X N300 (minimum delivery charge) = N300,000

monthly in revenue. Of course expenditures like fuel, oil, recharge cards, bike maintenance , rider's salary, miscellaneous will be deducted from revenue. If you're able to beat down cost efficiently, it's possible to go home with between N50,000 to N150,000 a month.

For your marketing, you have to devise creative ways to reach out to online merchants. You are only limited by your imagination.

Many thanks for the write-up. One seem-to-be challenge i have been harbouring within me is Licence. I feel you need to be licensed by a certain body before you can operate. Please, can you help put my mind to rest in the aspect of licence? Thank you!
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by ubergold(m): 8:35pm On Feb 01, 2017
grin
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by obiaguna(m): 9:17am On Feb 02, 2017
ubergold:


To be honest with you, I started just like that. No bikes, no office, just a couple of guys with back packs. I had to get bank reference letter, TIN cert and some supporting docs submitted to a couple of the companies I work with. Apart from 2 major companies that have a big website, the rest of my clients are mainly individuals that sells stuffs through social media platforms. Business is good.... Except for clients that reject items, tell you they no longer need it or just won't pick your calls when the items they ordered have been sent to me.

Lol wonderful. No bikes.. No bus.. Just bagpacks.. Wait so they trek or enter public buses. I'm very confused. That issue of customers rejecting items is a huge bottleneck and the only way it can be resolved is making customers pay for items before it is shipped. I don't know you but I love your resilience already. Lol

2 Likes

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by obiaguna(m): 9:21am On Feb 02, 2017
esorison:


Many thanks for the write-up. One seem-to-be challenge i have been harbouring within me is Licence. I feel you need to be licensed by a certain body before you can operate. Please, can you help put my mind to rest in the aspect of licence? Thank you!

Licensing for courier businesses in Nigeria is handled by the Courier Regulatory department under the Nigeria Postal service. It costs 2million to get the license but prior to that you have to obtain a licensing form for 20k and also present an insurance policy of up to 500k, a registered business name and a legal office Address that's backed by a certificate of tenancy. When you present all this they then grant you a license. Note that for small courier business you are mandated to pay 350k every year for renewal of license whole big courier companies especially those that ply intertstate pays 1-1.5m or so (not so sure).

1 Like

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 3:58pm On Mar 15, 2017
for partners to handle your e-commerce stores if still available ,call 08027366498 or send us a mail to info@jdgalaxyintegratedservices.com . we have the capacity to get the job done.
DealFinder:
Why did I put up this thread?

To get people more aware about this need that needs to be filled. And considering the fact that it doesn't take as much money as previously thought to set up.

Secondly, and very importantly, I'm in need of a logistics outfit that can handle my teeming orders, as it seems that the current one I use isn't as efficient as it used to be. Especially with our Ecommerce store set up with lots of orders to handle
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by kevwemanuel: 8:45pm On Mar 15, 2017
ubergold:


Great thread. I presently run a door-step delivery service outfit in Port Harcourt. We handle deliveries within Rivers States for now and occasionally to yenagoa in special cases. I hope to spread operations across the south-south States soon. It's not easy but as the day goes by, it gets very interesting
Please can you inform me of the registrations you did to get started and their cost?
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Roseey0(f): 10:43pm On Mar 15, 2017
Nice
Runing w successfull business in naija is real hard work.
Imagine the alarming amounts for licencing..
God help entrepreneurs

6 Likes

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by router123(m): 10:56pm On Mar 15, 2017
Pls if any one need a dispatch rider in Abuja. Here I am. But don't I have a bike but a very good rider
Whatsapp. 08131360160
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by emeliaingram: 5:00am On Jun 02, 2017
Starting your own logistics is not that easy you need to be very knowledgeable and informed about risks and procedures. In starting your own logistics company you need to now the risks first and then examine the risk in order to find a solutions when the problem comes. Right procedure and guidelines is a key for you in order to be successful in this kind of business.


Regards,
Emelia I.
BR International Value Added Logistics
http://www.brint.com.au/warehousing-distribution/china-value-added-services
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Harpesin(m): 12:24pm On Jun 23, 2017
Do you still need one? If yes can we have your request in our mail box (labfolablogistics@hotmail.com) Thanks.


DealFinder:
Why did I put up this thread?

To get people more aware about this need that needs to be filled. And considering the fact that it doesn't take as much money as previously thought to set up.

Secondly, and very importantly, I'm in need of a logistics outfit that can handle my teeming orders, as it seems that the current one I use isn't as efficient as it used to be. Especially with our Ecommerce store set up with lots of orders to handle
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Mcval(m): 12:21pm On Jun 30, 2017
I'm about to start a delivery service for my business and I need a delivery box for my bike. Where can I buy one? Please help me.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 7:59am On Jul 10, 2017
Please go to oyingbo,you will get one for 26000.Thanks
Mcval:
I'm about to start a delivery service for my business and I need a delivery box for my bike. Where can I buy one? Please help me.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by Paentera(m): 7:13am On Aug 02, 2017
Mcval:
I'm about to start a delivery service for my business and I need a delivery box for my bike. Where can I buy one? Please help me.

Contact Lara on 08088911361, the courier delivery boxes are N24,000.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 12:01pm On Aug 27, 2017
share your experiences on the business.whatsapp 07037510366
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 4:57pm On Sep 27, 2017
I am seriously in need of partnership from dispatch owners in Lagos.If you are afraid of going into the business,i wish to offer a partnership for interested owners.
I have overwheming customers that currently i am unable to meet their request and as such i wish to give an olive branch to business owners.
Contact me via whatsapp-07037510366.
All bikes would be inspected at my office.Riders must have a good knowledge of Lagos route. For any owner who dont have a rider,we can provide one.
For consulting to intended persons in this field,contact me with the above.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by nicoleswizzi: 8:13pm On Feb 26, 2018
Palantir:
@Dealfinder Took your advice and have started a delivery service attached to my business. Thanks for the tip
please can you tell the total sum you spent on setting it up because I want to do same for my business.... A private delivery bike for my business.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by kuroben4real: 9:31pm On Feb 26, 2018
How Can I Supply Waste Papers To Waste Paper Recycling Plant

Goodday nairalanders,i have a business model to supply waste papers to waste paper recycling plant but i am yet to know:
1.Location of these waste papers recyling plant in any part of Nigeria.
2.The specific waste paper to be supplied and
3.weighing scale/ prices for each waste paper supplied.
pls i would really appreciate every meaningful suggestions from nairalanders. Thanks in anticipation of your favourable replies.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by imessenger247: 10:22pm On Feb 26, 2018
We do delivery within and outside Lagos. Contact us
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by adejo007(m): 12:27pm On Apr 07, 2018
[/b]My Ordeal With Mr Johnson Edache of Skynet Logistics [b]
I was introduced to the above logistic company and I forwarded 8 orders for delivery about three weeks ago. Some of the buyers have messaged me that they have gotten their goods but the rogue has refused to pay me my money uptill now. Please beware of this Mr Johnson as he is a dishonest person. I have been calling him but he is not picking up my calls. I'm in portharcourt and I need a reputable company that can deliver. If you have one please let me know. Attached below is the pic of the thief.

Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by OAKSFIVEFARMS: 12:55pm On Apr 07, 2018
Hello,
Please follow my new blog where I talk about Uber, Taxify and other ride sharing apps in Nigeria.
I give out free stuff all the time.

www.taxiappguy.WordPress.com

Twitter: @taxiappguy

Facebook: taxiappguy

Instagram: taxiappguy
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by utepu: 7:12pm On Aug 05, 2018
Really insightful
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 11:59am On Aug 13, 2018
Logistics (Dispatch services )is a very lucrative business in Lagos today.The majoy problem associated with this business is operators lack of knowledge of its ups and down.How well you know a business will define how far you will go
Attend our online training on STAYING HEALTHY IN RUNNING A DISPATCH SERVICES IN Nigeria.
This training covers
-set up of a dispatch services
-types of dispatch services
-Pricing
-How to employ a dispatch rider
-know your rider
-Riders risk
-Operational manual in setting up of a dispatch service

whatsapp 07037510366 or call 08027366498
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by pclever1(m): 12:25pm On Oct 05, 2018
Grab your Dispatch delivery startup manual for N5000.Read and be informed on set up ,customer acquisition etc call/whatsapp 07037510366
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by CallysTony: 11:47pm On Dec 28, 2018
I'll recommend Pellucid Logistics to anyone interested. The company covers the South East states, South South states, Lagos and Abuja. The company numbers are 07062694448, 08054523042 and the company website is www.logistics.pellucidprime.com

The company is owned and currently managed by a Transport and Logistics Professional.

We've been in partnership with the company for 2 years now and it's been very smooth so far. Give them a try.
Re: Starting Your Own Logistics/ Delivery Outfit With Less Than 300k by biosilicon: 3:05pm On Jan 12, 2019
pclever1:
All you need to start a delivery business for company is get an office space,buy a dispatch bike 200c as required by the LSG. WRITE A LETTER TO THE lagos state ministry of transportation to collect the OK( The OK PAPER IS GIVEN BY THE MINISTRY OF TRANSPORTATION) Its an inspection by the VIO. ONCE you get that paper,you can now proceed to register your bike with any of the vehicle registration center close to u.
Note- The process of getting this OK is very cumbersome as you would have to take the bike their for inspection.
Don't be deceived,to get the Lagos state spec,you need a minimum of 360,000 for the purchase and your advised to run a comprehensive insurance on the bike to avoid a lot.
For more Info- contact 08027366498

Secrets of Overcoming client droughts in operating dispatch services in Lagos.The market is their,lets walk you through the pathway.Join us every saturday(STAYING HEALTHY IN RUNNING A DISPATCH SERVICE).Book your spot now-whatsapp 07037510366

But what about the Nipost licence? are you saying it is not necessary?

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