A 3PL, or third-party logistics provider, is a company that handles warehousing, order fulfillment, and shipping on behalf of another business. This means the business does not have to lease its own warehouse, hire warehouse staff, or manage shipping operations independently.
For a growing ecommerce brand, working with a 3PL usually means outsourcing everything from receiving and storing inventory to packing and shipping individual customer orders.
Links Corp has provided Canadian warehousing services since 1999. We operate two Health Canada-certified, food-grade facilities in the Toronto area, located in Vaughan and Concord. Our cloud-based inventory system gives clients 24/7 visibility into their stock and shipments.
Here is what a 3PL actually does and the signs that it may be time to consider one.
What Does a 3PL Actually Do?
At its core, a 3PL takes over the physical and logistical side of order fulfillment. Services typically include:
- Receiving incoming inventory
- Storing products securely
- Picking and packing individual orders
- Shipping orders to customers
- Handling returns
- Managing inventory counts and locations
These services allow a business to understand what stock it has available and where it is located without managing the warehouse directly.
Why Canadian Businesses Use a Canadian 3PL
Storing inventory domestically instead of relying on cross-border shipping can simplify many of the challenges involved in serving Canadian customers, including delivery times, duties, and returns handling.
Canadian ecommerce fulfillment through a domestic 3PL can keep orders moving faster and give businesses a local point of contact instead of requiring them to manage logistics across a border.
Our article on why Shopify sellers are choosing Canadian 3PL fulfillment partners explains how warehouse location can affect delivery speed and the customer experience.
Signs Your Business Might Need a 3PL
Several patterns tend to appear when in-house fulfillment begins to strain a business. These may include:
- Shipping delays that keep getting longer
- Order errors becoming more frequent as volume grows
- Employees spending more time managing logistics than growing the business
- Seasonal order spikes overwhelming available staff or space
- Inventory outgrowing a garage, office, or self-managed warehouse
Outgrowing your available storage space is often the clearest sign, especially once inventory begins competing with the room your business needs for its everyday operations.
What to Look for in a Canadian 3PL Partner
Warehouse location is important for delivery speed because a facility close to major shipping hubs can reduce transit times to customers.
Beyond location, consider the provider’s inventory technology, returns process, communication responsiveness, and experience with your product type. Relevant experience may be especially important for cosmetics, general retail products, and regulated categories such as natural health products.
Take Your Operations to the Next Level with Links Corp
Links Corp has provided Canadian third-party warehousing and ecommerce fulfillment since 1999. We operate two Health Canada-certified facilities in the Toronto area and use a cloud-based system designed for ecommerce brands that need real-time visibility into their inventory and orders.
If you are deciding whether a 3PL makes sense for your business, contact Links Corp. We can explain what your fulfillment process could look like with our team.
