With rising storage, labour, and shipping costs, Canadian businesses are being squeezed out of their capital a lot faster than ever before. Managing your own in-house warehouse, especially in expensive metropolitan cities, can drive higher rent prices, labour costs, and operational overhead. Businesses looking to scale while saving some money in the long-run should look into a Canadian 3PL company that offers order fulfillment and pick & pack warehousing. Investing some of your capital into these services can be a strategic, cost-saving solution in the long run. Oursourcing warehousing can lower your fixed costs, allowing you to scale your business much more efficiently. Reach out to LinksCorp today to get started.
Here are some areas where Canadian warehousing can save you money.
Eliminating High Commercial Lease & Facility Costs
Unless you are dealing with a small order volume, you likely have a commercial facility that stores and ships your inventory. Renting or leasing these spaces in Canada can be extremely expensive. On top of monthly rent payments, you have to pay for all of the utilities, insurance, property taxes, and maintenance. This can be a real financial burden, especially for start-ups.
When you work with a Canadian 3PL that specializes in warehousing, you totally eliminate the need for your own warehouse and the costs associated with running it. 3PL companies spread rent and utility costs across all of their clients, making it more cost-effective.
Reducing Labour Expenses
When you warehouse and ship your own goods, you also have to pay out salaries to those running your facility and working on inventory management. You’ll need to have at least one person each for managing, picking, packing, operating forklifts, and labelling orders. As you scale your business, you will need to hire even more personnel. With warehousing, you also have the burden of payroll, taxes, benefits, and training.
When you invest in 3PL services and pick & pack warehousing, you do not need to worry about managing employees or their salaries. This not only saves you money, but it also gives you back a lot of your time as well.
Lower Shipping & Freight Costs
Many third-party logistics companies reap the benefits of volume-based carrier discounts, decreasing your shipping costs per order. When dealing with experienced carriers, you also reap the benefits of faster shipping times and delivery.
Outsourcing shipping services also reduces time and labour hours spent on packing, shipping, and navigating international shipping requirements and paperwork.
When working with a professional 3PL company, you also reap the benefits of their experience and streamlined processes. Costly mispicks and shipping errors are much less common with these professional services. This can help you save money on returns and refunds.
Save While You Scale with a Canadian 3PL Like LinksCorp
If you feel like the costs of operating your business’s warehouse are getting excessive, chances are you are not operating efficiently. When you outsource pick & pack warehousing, shipping, and inventory management from a Canadian 3PL, you can save on rent, warehouse operating costs, labour salaries, shipping, and much more. Leaving these tedious tasks to professionals also gives your business more time that could be spent on scaling and promoting your business further. Save while you scale your business with LinksCorp.
