It’s true what they say: size doesn’t matter. At least not when to comes to developing a 3PL partnership. Every business no matter how big or how small wants to have the flexibility to scale up or scale down and to maximize earnings. For small businesses on the verge of expansion, finding a shipping partner willing to take on small accounts used to be a problem. That’s no longer true thanks to the flexibility offered by 3PL companies in Canada.
Third Party Logistics Companies Are Open for Business
At the end of 2019, there were 1.23 million employer businesses operating in Canada. A full 97.9 percent of those were classified as small businesses, while 22,905 (1.9) percent were medium-sized businesses. Logistics companies in Canada would have to be out of their minds to ignore small and medium sized businesses as potential customers. Small and medium sized businesses, on the other hand, have to recognize the potential value of a 3PL partnership when it comes to expanding their business. Finding the right ratio of transportation costs to sales revenue is contingent on finding the right third party logistics companies to work with. Changes in the industry that have helped 3PL companies in Canada become more efficient have also made it more feasible for small businesses to reap the benefits of 3PL service providers. By leveraging technology and the economics of scale being funded by a community of shippers, a 3PL operation can work with small and medium size businesses to develop efficient shipping programs that can help those small businesses remain profitable. Just the emergence of LTL trucking companies alone has made it economically possible for small businesses shipping products across the country to compete with large companies doing 100 times the volume.
Working with logistics companies in Canada, small and medium sized businesses can gain access to shippers offering zero fees and reduced freight rate. Whereas companies used to require the IT infrastructure and staff to handle their transportation management systems, they can now work with 3PL companies offering solid technology solutions at affordable prices. A 3PL partner like NATS Canada, for example, can help companies of all sizes achieve their short and long-term business goals by satisfying their shipping needs. NATS Canada offers access to a wide range of qualified carriers that can handle shipping from Canada to the U.S. and shipping from the U.S. to Canada. More importantly, NATS Canada can offer reliable service and competitive rates, with capabilities of handling crisis situations like the sudden increase in shipping demand brought on by the pandemic.
Operating a small or medium business in Canada has its challenges, especially given the government red tape, excessive taxation and strict compliance regulations that drive business owners crazy. Working with 3PL companies in Canada, small businesses can enjoy volume-based rates similar to what large customers would receive. With NATS Canada, customers will enjoy logistics expertise on demand from a company with a sterling reputation for service across North America.
