How to start a courier or box truck delivery business

Delivery covers very different businesses. Pick where you are starting:

• Same-day courier: documents and small parcels across town, often for law firms, print shops and offices.
• Medical courier: lab samples, prescriptions and equipment, with handling and timing requirements.
• Business-to-business: regular runs between warehouses, suppliers and stores.
• Final-mile: furniture, appliances and large items delivered to homes for retailers.
• Freight with box trucks: palletized loads for distributors and manufacturers.

Regular contract runs give you steady revenue to cover vehicle payments. On-demand work pays well per job but is harder to predict.

A vehicle’s gross vehicle weight rating (GVWR) decides which federal rules apply. The Federal Motor Carrier Safety Administration (FMCSA) sets these:

• 10,001 lb GVWR or more, used in interstate commerce: you generally need a USDOT number, and drivers must meet federal medical and record-keeping requirements.
• 26,001 lb GVWR or more: drivers need a commercial driver’s license (CDL).
• For-hire carriers hauling regulated goods across state lines generally also need operating authority (an MC number).

Many states apply similar rules to trips that stay inside the state. Cargo vans fall well under 10,001 lb. Box trucks vary, and many 26-foot trucks are rated just under 26,001 lb so they can be driven without a CDL. Check the GVWR on the door sticker of any truck before you buy it, and confirm your obligations with the FMCSA and your state DOT.

Delivery businesses usually need several policies. Commercial auto insurance covers the vehicles, and personal policies generally exclude business use. Cargo insurance covers the goods you carry. General liability covers damage at a customer’s property, such as a scraped wall during a furniture delivery. Larger shippers will ask for a certificate of insurance before giving you work, so have one ready.

A delivery price has two parts: getting there, and what you are carrying. Start with distance, as a per-mile rate by vehicle type or fixed rates between areas you serve often. Then add the load:

• Per piece, per pound or per cubic foot, whichever matches how your customers ship.
• Handling charges for heavy, fragile or awkward items, stairs, or liftgate use.
• Waiting time at the dock beyond an agreed free period.
• Extra stops, after-hours delivery and rush jobs.
• A minimum charge per job, so short runs are still worth doing.

As with any transport business, count the empty miles back to base in your costs. They are part of what every job costs you, even though no customer sees them.

Write each job down as a list of items: quantity, weight and dimensions per piece. A note that says “some boxes” leads to the wrong vehicle being sent and a price that doesn’t cover the job. Record two contacts for each delivery: the person handing the goods over and the person receiving them. Add delivery instructions such as the dock number, the buzzer code, or where to leave the goods.

Most delivery disputes are “it never arrived” or “it arrived damaged”. Settle them with proof taken at the drop-off: the name of the person who received it, a signature, and photos of the goods where they were left. Attach the proof to the job and to the invoice, so the shipper has it without asking.

Look for businesses that ship something regularly and are let down by their current carrier: furniture and appliance stores, medical labs and pharmacies, print shops, building supply yards, and local manufacturers. Offer a short trial on a few runs. Most of these customers want one invoice a month instead of a payment per delivery, so be ready to bill on account.