Know your cost base
Estimate monthly fixed costs including insurance, finance or depreciation, maintenance provision, software and administration. Add variable costs such as fuel, tyres, tolls and parking. Use your own records rather than a universal per-mile figure.
Account for empty miles
If you travel 20 miles to collect, carry a load 70 miles and return 60 miles without a booking, the job uses 150 miles of vehicle time and cost, not just the 70 loaded miles. Return loads can help, but never assume one will exist.
Set a minimum and waiting policy
Short jobs still require booking, travel, loading and invoicing time. A minimum charge protects that effort. Explain when free waiting ends and how additional waiting is charged.
Think in hours as well as miles
A city-centre delivery can consume more driver time than a longer motorway run. Compare estimated total job hours against your desired earnings after costs.
Quote clearly
State collection and delivery locations, service level, vehicle type, price, VAT treatment where applicable, waiting, parking and cancellation terms. Keep records of agreed changes.
Review your margins
Compare estimated versus actual miles and time after each job. Adjust pricing for the work you genuinely win. Courier management software can help keep customer-specific rates, job records and invoicing together.
Useful official references
Check current requirements for your particular circumstances with GOV.UK: Set up a business, vehicle insurance, employers’ liability insurance and goods vehicle operator licensing. Regulations, insurance cover and tax treatment depend on the work and vehicle.
When you're ready to manage bookings
Speedy Courier Software helps independent courier companies manage jobs, drivers, customer bookings, tracking, proof of delivery and invoicing. Explore the software when it fits your business.
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