Courier companies are a big help to both business owners and ordinary citizens. In the past, parcel deliveries were challenging and usually take time to complete. Today, their services enable items to be delivered to the customers quickly with less hassle.
Sending and receiving packages are now a part of our routine. What would the world be without our trusted couriers? And, their services are more in demand than ever. It’s no wonder why more and more people are also investing in a courier business for sale Sydney franchisers offer.
So, is this business path also something that you want to pursue? Read on to learn more.
The Current Courier Industry in Australia
The country’s courier, express, and parcel (CEP) market has been a thriving industry. In fact, ReportLinker research shows that it is projected to register a compound annual growth rate (CAGR) of 5.46% up to 2024.Â
Because of the COVID-19 pandemic, the demand for parcel delivery also went higher. Australia Post, a government business enterprise providing postal services, said that there was a 20% growth in their services in 2020. The said organization reveals to have delivered 52 million parcels in December 2020 alone.
E-commerce is the number one contributor to the continued success of the parcel shipping market in Australia today. Consumers became accustomed to the seamless experience of placing orders through online marketplaces. Before, they would usually go to the nearest grocery store to buy essentials. Now, they no longer need to go out, as they can just make their purchase in the comfort of their homes.
Even before the onset of the COVID-19 pandemic, courier companies have already taken advantage of the CEP market demand. With that, aspiring entrepreneurs also want a piece of the pie, so many people are now looking for a lucrative courier business for sale Sydney franchisers offer.
Important Tips on Buying a Franchise Courier Business
Starting a courier business from the ground up is rewarding. But it can be tough, most especially for new business owners. The easier route is to deal with a reputable company that is franchising delivery businesses.Â
Here are some smart tips to keep in mind to make the best decision for this venture.
Do the Math
Inquire about how much the start-up courier business franchise costs and what the financial projections are. It’s important to know how much revenue you can expect and how quickly you will break even.
A good courier franchiser should be able to offer you financial assistance with fixed costs, such as cars, fuel cards, uniforms, phones, and more.
Review the Franchise Agreement
The franchise agreement is a document indicating the details of the business, including the royalties and fees you have to pay. When checking this contract, try to see if the terms and conditions are fair to both parties. You can also ask your solicitor, or perhaps a legal consultant, to be sure that the investment you’ll be making is good.
Check the Level of Support
In comparing courier franchises for sale, look for the one that offers maximum support to their franchisees. Make sure that they will be there to guide you, not just in training, but throughout your operations. Observe their ways before investing.
Know the Exclusive Territory Terms
Does the company offer exclusive territory? This just means that there will be no similar franchise business operating in the same area. It will be tough on your part if there is no exclusive territory in the contract as you will be competing with other franchisees in your chosen location.
Learn How They Keep Up with Industry Trends
Does the courier business for sale Sydney franchisers are offering keen on innovation? Technology is constantly evolving, and as a business, couriers also need to keep up with the changes. Check if the franchise business you are considering is regularly updating its capabilities to meet consumer demands and achieve competitive pricing.
Conclusion
Courier franchising is a rewarding business. People rely on delivery services most especially during these times when people are asked to refrain from going out to prevent the spread of the COVID-19 virus. So, you can assure yourself that it will be lucrative.
Just take note of the tips on how to start a courier business in Australia, and you’ll be off to a good start to having a successful venture.
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