The Courier Service Business Idea That Gets Better and Better With Time
Kenya’s business climate has undoubtedly improved over time, and numerous investors have opened up shop in all of the major cities in the nation. This has further increased demand for quick delivery of packages and goods, which the national postal service has not been able to adequately meet.
The few huge courier businesses that govern the sector on the other hand have not been able to match the efficiency that most clients are seeking for.
Customers are searching for courier services that are both large enough to deliver goods the same day, even at unusual hours, and small enough to give individualized services, according to study. Very few of the big corporations fit these criteria — and here lies a modest chance for
The Courier Service Business Idea That Gets Better and Better With Time
The most crucial resource you’ll require is a solid clientele and a solid reputation. Building a solid clientele shouldn’t be too difficult as long as you provide honest services and a decent value proposition. You don’t need any training to get started because it’s an easy business to establish and run.
Step 1: Commencing
Three motorcycles and a modest stall (office) in the town are good places to start. Depending on the town, renting a good stall may cost you between Ksh. 7,000 and Ksh. 20,000 per month. A brand-new motorcycle would set you back about Ksh. 100,000. As an alternative, you can purchase one motorcycle and a small used car (Toyota Vitz, Suzuki Alto, or Toyota Passo).
As this is not primarily a walk-in business, you can search for an office in higher floors or anywhere outside of the Central Business District. That could save you money on expensive rent and goodwill expenses.
Additionally, use this chance to register your company with the Attorney General’s office or the Huduma Center that is closest to you.
Step 2: Make equipment purchases
You may make sure you’re ready for the market by doing a little preparation ahead of time. You must first mod your motorcycle (or vehicle) by fastening the container for a little package to it. Additionally, you may brand the bike and print some flyers, business cards, delivery notes, and other materials.
Step 3: Obtain a license
The Communications Authority of Kenya oversees the regulation of courier services in Kenya. First of all, you can apply for the Ksh.30,000 intra-city license. With this, you will be able to distribute packages both inside and across Kenya’s largest towns.
Motorcyclists might wish to think about applying for a “town operators” license, which likewise costs Ksh. $30,000. Larger businesses can apply for a Ksh.50,000 regional license.
Add the yearly fee of a single business permit, which is around Ksh. 20,000. In addition to licensing, you should consider getting liability insurance.
Step 4: You’re all set to go!
Prospecting is one of the least expensive yet most successful ways to acquire new customers. In an effort to establish a network, this entails making cold calls and knocking on the doors of possible clients.
Reassure prospective customers that you would offer more individualized services compared to the big-name businesses. Present your business cards to them.
Moreover, make arrangements with busy local retail establishments to allow you to leave a stack of flyers about your business for frequent consumers to select from. Creating connections with online retailers can also be facilitated by a little social media marketing.
Step 5: Expand greatly
Your organization must expand as much as it can in the courier industry while retaining the agility of a small operation. Consider purchasing a basic website.
Consider purchasing a couple t-shirts with logos. Purchase a couple additional vans and hire a few more riders. To draw in more clients, you can also include the errand-running business in the original model.
How Much Should Be Anticipated
Your price strategy and the kind of customers you draw in will determine your returns. Larger shipments can cost Ksh. 500, while little letters can cost Ksh. 250. Delicate freight and sensitive documents can cost more than Ksh. 1,000. More fees may apply to larger and heavier bags.
A modest courier service company that serves up to 50 clients a day can bring in Ksh. 300,000 in sales on average per month.
Last Remark
This type of business has a very promising future. Africa and Kenya are growing. The best chance for you to grow is as more and more local and global investors open their doors. Additionally, this opportunity’s desirability increases over time, much like wine does.
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The Courier Service Business Idea That Gets Better and Better With Time
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