I am writing about "How to make money by your Logistics Company". Here I will explain how easy to open Logistics Company and earn money through Transportation. If you are interested in Transportation of goods, then read this blog and become one of the best transporter of the country .You can earn 1000 crore within five years. I have personal experience of software implementation of more than 100 Logistics Companies. I am sharing only my experience for you.
What is a Logistics company?
Logistic company known as Transport company, it pay a big amount to Govt agency, but some people called it Lifeline of customer service because it work with FMCG. Supply chain management. It just like our veins and arteries which carry forward our blood from heart to other parts of body. Logistics company Transport object from one place to other place, from one state to other state, from one country to other country. Goods transportation work is 24x7 in 365 days. It is essential service for milk product, Food product and security products.
Transport company also keep your goods safe in warehouse godown. It also provide warehousing facility to Factories. You can hire warehouse for storing your factory products.
Logistics company used Trucks, Rail service, Cargo shipping service and Aero plane for air service from one country to other country goods Transportation.
What is Ware House?
Warehouse service is storing factory product in a big godown in optimum temperature. There are three type of warehouse L1 Type,L2 Type and L3 Type. You can hire these warehouse from Logistics company for storing your product.
There are Four Type of Transportation mode.
- Aviation, Transportation by Aero Plane .
- By Road,Transportation by Truck.
- By Rail,Transportation by Train.
- Navigation, Transportation by Ship.
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| How to make money by your Logistics Company Ultimate Guide |
If you want to Transport Parcel Service or light weight goods international Transportation then use Transportation through Aero Plane it is costly. If you want to Transport heavy goods in one Nation Transportation then use Road Transportation it is cheap service. If you want to Transport heavy goods in Transportation then use Goods Train Transportation it is cheaper than Road Transportation service and safer than Road Transport.
If you want to Transport heavy goods in International Transportation then use Ship Transportation it is cheaper than Aero Plane Transportation.
How to open Logistics Company?
- Open new office and create Unique Name of your Logistics Company.
- Register Unique Name of your Logistics Company by CA as per company Law registration.
- Take GST Registration no for your Logistics Company by Govt GST Registration website.
- Take PAN No of your Logistics Company by Income Tax Department.
- Open Current Account in Bank with your Company Name.
- Print stationary: Builty Books, Challan Books, Billing Books, Trip sheet Books, Delivery Book.
- Purchase Logic Software for centralised operation control and report.
- Consult Chartered Accountant for Registration of Company and Learn the company Law,Take GST Registration number.
Here I am explaining only Main points:
Parcel Service:
Parcel Service is Courier Service for small Light weight goods. Costing of Transportation is. Rate of Transportation depend upon distance and door delivery facility.
1.Transportation Cost = Weight x Rate.(For Solid Goods/Document)
2.Transportation Cost = Volume x Rate(For Bulky Goods large volume)
For Urgent delivery of light weight goods/Documents use Flight.
For Normal delivery of light weight goods/Documents use Truck/Train Service.
Road Transport Service
A Big Transport company Provides all the Four Mode of Transportation but small Transport company initially used Road Transportation mode. Goods transport from one place to other place by Road. Transport company used 10 Tyre Truck for small 15 TON goods and used 12 Tyre Truck for 18 TON Goods.
Rail Transport Service
Rail transport service used where Road is not good and Truck service not available. Rail transport is faster than Truck transport it take less time than road transport service. Rail Transport service is cheaper than road transport service.
Rail Transport service is safer than road transport service less damage goods due to rain or Fire. Casualty is lesser than road transport. Book V.P of trains coach and reserve coach for destination point. Send your goods by rail service. It is joint collaboration with Logistics companies and Railway department.
Air Transport Service
When transportation from one country to another company and goods are lightweight and very costly then Logistics company transport it through aero plane. Air Transport is very fast service. It takes less time from Road Transportation and Rail Transportation.
Air Transport service is costly than Road Transportation and Rail Transportation service. Air Transport service is more safe than Road Transportation and Rail Transportation service.
Working of Transport company?
1.Regular Transportation of clients Factory goods:
Transport company makes contract agreement with clients for monthly billing system and payment will be received after submission of Bill to the client. Big Factory use this type of billing system with weekly or monthly payment system. Transport company generate bill of transportation and submit to client with original POD document, after submitting the bill to client on regular basis then transport company generate weekly outstanding of pending bill payment to client.
On the basis of Bill submission and proper verification of delivery of goods at destination place when client find it correct then client issue payment of the pending bills through cheque or RTGS. If any good short or damage found then client deduct the damage goods cost.
2. Small items transportation will be To Pay Basis, in this type of booking payment received by Transporter at delivery point when goods delivered, There are also two Type of Delivery
A. Door Delivery. Deliver at Client address.
B. Godown Delivery. Deliver at your Destination Godown party will receive goods by Godown and give payment after delivery.
3.Small items transportation Paid Basis:
Party Paid the Transportation Charge at booking point then goods delivered at destination point.
Working Module of Transport company
Transport company centralized controlling system process:
1.ADMIN MODULE
2.OPERATION MODULE
3.BILLING MODULE
4.ACCOUNTS MODULE
5.MARKETING MODULE
6.FLEET MODULE
7.REPAIR AND MAINTENANCE MODULE.
8.STORE AND INVENTORY MODULE
9.HR MODULE
You must purchase Logics Software for centralized controlling system. There are two type of software:
1.Customised Software.
2.Readymade Software.
Working Process
5 Steps of complete operation :
- Builty Booking
- Create Challan of booking goods Lorry wise .
- Trip sheet generation for calculation of Income(Freight) and expenses in the way trip wise by driver.
- Arrival Report generation at destination and unloading report of goods.(Short/Excess report for damage or theft of goods)
- POD Proof collection with sign and stamp of party.
- Invoice generation and billing to Party with original POD proof.
- Payment collection by Party and MR generation.
For regular customer generate trip wise Invoice of all expenses and submit to Party HO. and collect weekly payment by Party. If any dispute then solve by customer care department help.
I hope that this Blog How to make money by your Logistics Company you must like this Blog. I always try to give complete information about article so that reader never go to search other site or Internet.
It will save readers time and readers receive all information at the same place. If you have any doubt or want to modify the article, then please comment below.
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