Courier Business Plan Template [Updated 2024]

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I. Executive Summary

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

Business Overview

[Company Name] was formed two years ago to meet the pressing need for solutions in reliable, on-time courier deliveries. Courier services have been traditionally represented as the perfect solution for deliveries that are time-sensitive or valuable; however, [Founder Name] noted as a courier within the industry that deliveries had a dismal yearly on-time record of only 69% throughout the industry. Moreover, not surprisingly, customer satisfaction reviews were low across the industry board. [Founder Name] decided it was time to offer a better level of courier service with improved delivery records and higher customer satisfaction levels.

When [Founder Name] first began to consider starting his own courier delivery business, he knew how the courier delivery companies operated; however, he had two major challenges to face: First, he did not know which, if any, of his theoretical solutions would become successful for potential clients and, second, he did not know how to start a courier delivery company. To meet these challenges, [Company Owner] first took the advice of his attorney and friend [Founder Name], who became a shareholder within [Company Name].

The first challenge, that of testing theoretical solutions that could improve delivery services, was met by forming four informal focus groups. Each group had members who represented three to four courier companies. Two of these groups were formed in the northern part of the state and two groups were formed in the southern part of the state. In this way, the four focus groups covered the courier delivery territory under consideration. The groups were given sets of questions regarding delivery failures (why/why not), customer satisfaction, and proposed solutions. Findings were then tabulated, compared and a plan was formed by [Founder Name] and [Founder Name].

The second challenge, that of forming a company, was met by [Founder Name], who, as an attorney, took on the incorporation forms and tasks to create [Company Name]. When initially created, [Company Name] projected the first two years would not be profitable; however, [Company Name] has already reached profitability and is positioned to grow further with an infusion of funding to widen our delivery boundaries, increase staffing levels and add real-time delivery software throughout our onboard courier laptops.

Products Served

At [Company Name], our services include statewide direct courier services with on-time deliveries. The process of successful on-time deliveries begins with the invitation by [Company Name] to try the services offered, utilizing various promotions and social media call-outs. Potential customers are invited to work with Customer Specialists who finalize times for pick-up and deliveries and complete the process within the guaranteed results time frame.

Services are customized according to the customer needs, including live pet deliveries, luxury jewelry, cash, stock certificates, or other specialized needs. Potentially lethal items, such as firearms, are not included in courier delivery options.

While services are the main offering of [Company Name], we also offer various products that may be purchased to accompany courier deliveries. These may include floral arrangements, gourmet food items, holiday-themed decor, etc. Packaging items are also sold by [Company Name], including fabric-lined gift boxes, ribboned boxes, oversized envelopes, and respectfully-distinctive boxes for cremated remains.

Customer Focus

At [Company Name], our customer focus is represented in our logo, “Your delivery on-time, all the time.” The customers of [Company Name] view an on-time delivery as a higher priority than the cost of that delivery. For this reason, our courier services are positioned at a higher cost/greater value customer proposition and the results have validated this structure.

Potential customers can contact [Company Name] by phone, email or text; however, our preference is that the customer speaks directly with a Customer Specialist to ensure all details of the courier delivery services are confirmed. Data on each customer is retained for future use. Our customers are the main point and focus of [Company Name] and, as a result, special courier deliveries are offered from time-to-time. For example, when a Customer Specialist becomes aware of a terminally-ill patient who urgently needs medication, courier services are provided at no charge.

The demographics of current and potential customers within the statewide territory:

  • Individuals with high-net income levels (26.5% of population)
  • Individuals who use courier services (17.3% of population)
  • Companies who utilize courier delivery services (38.3%)
  • Corporations on yearly courier delivery contracts (banks, mortgage companies) (29.4%)

Management Team

[Founder Name] and [Founder Name] started [Company Name] two years ago. [Founder Name] worked as a courier for a major courier delivery corporation for fifteen years before forming the concept for [Company Name]. During that time, he noted the areas where typical courier services did not meet customer expectations and his goal became the creation of a company that would solve the problems to meet every customer expectation with each delivery. [Founder Name] joined [Company Name] as a minority shareholder when the company was formed. His background is in business law as an attorney at a large stock brokerage for ten years.

[Founder Name] is the president and CEO of [Company Name], while [Founder Name] is the Vice President and COO of [Company Name]. The company was formed as a C corporation with a Subchapter S designation. Members of both founders serve as shareholders and sit on the Board of Directors.

Additional staff include the executive directors for administration, human resources, marketing and sales, operations, and facilities and maintenance. [Company Name] currently has 103 couriers with a plan to add an additional 125 couriers within the next eighteen months.

Success Factors

Within the first twelve months of business operations, the customer base grew 512% from the start-up base of 52 customers. This was achieved by a targeted promotion to customers within the state who typically use or are contracted with courier services.

The growth rate of customers brought opportunities to improve services faster than anticipated. After fifteen months of operations, [Company Name] invested in twenty-two additional delivery vans and laptops for each van in operation at that time (43 total)

Couriers, when encouraged and incentivized with increased pay and position opportunities, performed beyond expectations to successfully deliver over 25,400 items within the first two years of business.

Financial Highlights

The financial success of [Company Name] is a direct result of our couriers, who each made it their personal responsibility to deliver items on time, all the time. Given proper support from [Company Name], excellent vans for use, proper tools, and bonuses upon performance, the couriers of [Company Name] are the true stars of this courier delivery business.

At start-up, [Company Name] had a 6-month reserve and limited access to additional funding for future months to come. After 24 months, [Company Name] has generated over 4.8M in revenue, with profit margins of 38% or more.

While [Company Name] is in a solid position to continue with the status quo, the executive team recognizes that the company is in growth mode and needs to take advantage of the opportunity to increase the staff, add to the software capabilities, further train staff members and increase options for delivery vehicles.

Based on the above, [Company Name] is seeking funding of $725,000 for the purpose of:

  • Purchasing real-time software programs for all delivery van computers. $79,000.
  • Increasing administrative staff to retain high customer satisfaction levels $60,000.
  • Adding 125 couriers within 18 months ($262,000).
  • Adding 22 vans within 6 months ($229,000).
  • Increasing vehicle maintenance staff ($81,000).
  • Add leadership training for qualified couriers ($12,000)

Top line projections over the next five years are as follows:

Financial SummaryFY 1FY 2FY 3FY 4FY 5
Revenue$560,401 $782,152 $1,069,331 $1,379,434 $1,699,644
Total Expenses$328,233 $391,429 $552,149 $696,577 $776,687
EBITDA$232,168 $390,722 $517,182 $682,858 $922,956
Depreciation$7,000 $7,000 $7,000 $7,000 $7,000
EBIT$225,168 $383,722 $510,182 $675,858 $915,956
Interest$6,016 $5,264 $4,512 $3,760 $3,008
Pre Tax Income$219,152 $378,458 $505,670 $672,098 $912,948
Income Tax Expense$76,703 $132,460 $176,985 $235,234 $319,532
Net Income$142,449 $245,998 $328,686 $436,864 $593,416
Net Profit Margin25%31%31%32%35%
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