The fees associated with fulfillment services

The fees associated with fulfillment services

Fulfillment services are a great way for a company to reduce costs by not having to manage their own warehouse (which can skyrocket costs by having to hire a crew, pay union fees, utilities and much more). However, there are still many fees associated with fulfillment services, so when choosing an Arizona distribution center, make sure to get a full and complete estimate.

MANY COMPANIES ADVISE YOU TO EXPECT TO HAVE A CONTRACT WITH MULTIPLE TYPES OF FEES BUILT IN, SUCH AS SET-UP FEES, RETURN FEES, PROCESSING FEES, ASSEMBLY FEES, STORAGE FEES, CREDIT CARD PROCESSING FEES, ETC. FULFILLMENT SERVICES CENTERS WILL WANT TO BE COMPENSATED BASED ON THEIR COSTS, SO EXPECT ANY SERVICE THAT COSTS THEM MONEY, TO COST YOU MONEY. MAKE SURE TO RECEIVE DETAILED ESTIMATES BEFORE YOU START, SO EVERYONE’S EXPECTATIONS ARE IN LINE.

Not all companies are like this, of course – some waive the majority of fees or even give you a 30 day free trial with the company.

By the way, you will want to pay your fulfillment company immediately after you get paid, while they will likely want to be paid sooner. If you can’t negotiate ideal payment terms in the beginning, once a credit history has been established, it is reasonable to build in a structure with more favorable terms over a period of time.

Always make sure you get the best deal and understand what each fee is for. Sometimes you can avoid unnecessary time and money by just getting a clear explanation.

fulfillment services