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There are clear signs that show it is time to outsource third party logistics companies! Read and discover when is the right time!
Whether you are considering starting an online business or you have been selling products for some time now, we assume you’ve thought about shipping, warehousing, and fulfillment.
Concluding sales is the fun part, but what happens when a customer places an order? You need to find a way to deliver the product to the customer.
In order for something like this to happen, you need to sell a product from a drop shipper who will complete orders for you, you fulfill your own orders by yourself or with a team, you work with a logistics company who can handle the fulfillment or warehousing.
 
Most companies usually start out fulfilling their orders and after some time add a third-party solution. The biggest problem is that it is too difficult to know when to make the right switch.
Businesses of all sizes can enjoy the benefits of warehousing and fulfillment services as there are many third party logistics companies to choose from, some of which specialize in different operations. Keep on reading to find out what is a 3rd party logistics company? and when is the right time to choose one.
Wondering when is the right time to outsource third party logistics companies? There are some clear signs that show it is time to consider outsourcing:

UNEVEN SALES:

If you notice that the number of orders fluctuates throughout the current year, it doesn’t make sense for you to consider running your own warehouse. Hiring a third party logistics company is a better option. The company can adapt to your needs.

YOU DON’T HAVE TIME TO DEAL WITH ORDER FULFILLMENT:

If you are focused on running your own business and coming up with all kinds of strategies to promote your new products, we assume you don’t have time to deal with order fulfillment. If you are too busy, you also don’t have time to focus on growth which means it is time to outsource. As an entrepreneur, you need to be able to devote time to marketing and sales.

LACK OF INFRASTRUCTURE:

If you notice that you are expanding or growing quickly, keep in mind that you may outgrow the infrastructure before you adapt to your new business size. Believe it or not, this can add extra stress. When outsourcing third party logistics companies, they will be equipped to adapt to the changes scale as your business grows.
You need to understand that third party fulfillment and warehousing isn’t the right option for everyone, however, if you find yourself in one of these 3 situations, it is definitely a time to start chatting with 3PL companies.
No single 3PL solution is perfect for every business. For example, there are situations when using such company doesn’t make sense, regardless of the size of your business:

LIMITED CASH FLOW:

If you don’t have the fund available, you need to do everything by yourself. In some situations, the biggest resource is time and you as a business owner have to work with what you have.

HIGHLY SPECIALIZED BUSINESSES:

Not everyone can find a company that can do exactly what they need. For example, if your business has specialized needs, it makes more sense if you take care of the fulfillment process internally.
If you found yourself in these two situations, it is better to think carefully, consult, and do your research before outsourcing third-party logistics companies.
It is important to make the right decision that will help you improve your business processes and simplify your daily responsibilities.
Take your time and decide what is best for you and your business!

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