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Outsource operations to a 3PL

Almost all companies just getting started don't have the necessary capital expenditure (capex) to build out the physical assets necessary to power their operations. It's best to go from your garage to a 3PL who can take your inventory, fulfill orders, and ship to customers.

3PLs have been a vendor category since forever. There are thousands of options. Some are historically good, while new entrants do a good job of being tech-forward. Pick one that best fits your inventory mix along with customer and shipping profiles.

Be conscious of how 3PLs price their services. They are delivering value for you, but how they charge for that value can greatly differ. One 3PL might attempt to make a profit by upselling storage of your inventory then hook you on cheap fulfillment prices or shipping labels. Meanwhile, others might play the shell game and upsell shipping labels while making storage free. Consider how they charge and if it fits your business.

  • $1M annual online sales
  • 1,000 monthly shipments
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