I recently received a question from someone interested in my courier ebook. He asked about where and in what ways I am continuing to grow Quick Time Courier, my own courier company. It’s a great question so I wanted to share my response in this post.
Since forming Quick Time Courier in early 2009, I am very pleased and blessed to have experienced compounding annual growth, year after year. I attribute our continued growth to many variables to include our local growing markets and industries, various helpful staff and employees who help in serving and promoting our company, and much more. But one key strategy I would like to focus on in this post is my expansion into new service opportunities by adding a box truck.
After reading “How to Build a Local Moving Company with 69.1% Profit Margin” and learning how Dexter leveraged his NEMT service to build a completely new business, I saw the possibilities of further diversifying my company by offering a larger and more robust deliver services.
In my courier ebook I discuss a host of strategies to include partnering with larger companies serving as a subcontractor for their rural and overflow work. I used to witness this all the time when I was working for UPS and then served as a subcontractor with Quick Time Courier.
Now, after learning of Dexter’s success, I thought to myself it’s time to “Go BIG or Go Home!” With a box truck I can go after even bigger jobs and increased opportunities – and that’s exactly what I did in going after large trucking companies such as Averitt Express, UPS Freight, FedEx Freight, and more.
There are a couple primary reasons why these large trucking companies are viable strategic partners for smaller courier services.
First, most of these large freight trucks don’t can’t easily access many residential and urban areas. They simply can’t “fit” in such neighborhoods or navigate urban traffic.
Second, it is cost prohibitive to send large freight trucks into rural areas. Also a challenge for navigations purposes, delivering to rural areas simply are not profitable for larger vehicles.
The solution for these large companies is to deliver shipments to centralized distribution centers and leverage smaller, more mobile subcontracting services. Smaller services with box trucks can back box trucks up to the loading docks of these distribution centers. This is a huge convenience for the large companies as well as the subcontractors with box trucks.
Like anything, the greater the volume, the greater the capacity, the greater the profit earning potential. Quick Time Courier illustrates that with a box truck you can definitely increase capacity and profitability. A single active moving box truck can yield between $2,500 – $3,000 per week. That’s between $10,000 and $12,000 per month with a single vehicle. When you consider that good, reliable used box trucks are exceptionally reasonable in price, it further increases your incentive to invest.
I purchased my first used box truck for a measly $3,500. And honestly, the reason why I invested so little is because I wanted to proceed with caution and ensure that such diversification was going to work. But, obviously, I made my money back a hundred times over. In fact, since purchasing my first used box truck, I have invested in two more!
If you’re new to the courier and delivery industry, I would suggest starting gradually and follow the strategies and principles I outline in “How to Start a Successful Courier and Small Package Delivery Service.” As you begin achieving success and gaining in experience then I would suggest graduating into a box truck. The reason is simple. With a box truck and larger deliveries you will most likely need a second person, a helper. With a standard courier and small package delivery service you can start and operate independently.