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Order fulfillment services frequently prioritize larger businesses, making it more challenging for smaller operations to find a service that fits their needs. Factors like minimum order volumes and product types can impact which fulfillment companies are willing to work with you. But you’re in good company. Our internal data shows that 90% of companies looking for outsourced fulfillment ship fewer than 500 orders per month. We’ll help you navigate the options and find a provider that aligns with your business size and budget. Complete a brief form to get connected with our expert-vetted providers.
To give you a clearer picture of what to expect, here’s a summary of the typical pricing, fees, and rates you might encounter when searching for order fulfillment services as a small business owner.
Order Fulfillment Pricing, Fees & Rates for Small Business & Startups
This mock proposal reflects the typical quote from fulfillment companies, including average costs from our latest warehouse survey, updated in May 2024.
How To Find the Best Order Fulfillment Companies for Your Small Business
Finding the right order fulfillment partner is a two-way evaluation. While you’re assessing them, they’re also screening you. Follow these steps to navigate the process independently, including key considerations, what to look for, and how to present your business effectively. Or, if you’re ready to simplify the search, you can work with us directly. Complete a brief form to get connected with our expert-vetted providers.
1. Look for Small Business-Friendly Providers
- Target companies that are “startup friendly” with low or no minimum order requirements.
- Prioritize “boutique” single-location providers, which are often more cost-effective than multi-location firms.
- Ensure they offer flexibility for unique packaging, custom branding, and special product handling needs.
2. Present Your Small Business Professionally
- Have the basics in place: a business name, email, phone number, and a simple website or “coming soon” page.
- Be prepared to discuss your inventory needs, including expected volumes and anticipated date of delivery of first inventory.
- Clearly outline any special product requirements, such as temperature control or fragile packaging.
3. Demonstrate Your Startup Potential
- Fulfillment companies want to see stability and potential for growth.
- Share your formal business plan if possible—this shows you’re committed to long-term success and have done your homework.
- Emphasize your market demand and plans for scaling, which can make you a more attractive partner.
4. Determine if You Meet Inventory Requirements
- Minimum Order Volumes – Common requirements include a set number of orders per month, such as 50-200 orders (or a plan to get there), to justify the partnership.
- Minimum Monthly Spend – Some providers charge a minimum monthly fee (e.g., $500), regardless of actual order volume, to cover their operating costs.
- Minimum Storage Requirements – For warehousing, there may be a requirement for a minimum number of pallets per month.
- Long-Term Commitments – Some companies work exclusively with long-term projects, making them unsuitable for one-off fulfillment needs.
- Trial Period – Some companies won’t charge minimums for 3-6 months to give you time to ramp up your sales volumes.
5. What to Ask and Look for in Fulfillment Providers
- Pricing and Flexibility – Look for competitive pricing that fits your budget and flexibility in terms of services offered, like using your own logos or packaging.
- Dedicated Support – Opt for providers that offer a dedicated service representative or single point of contact who understands your business and can quickly address your questions or concerns.
- Entrepreneurial Alignment – Consider companies that are founded with an entrepreneurial spirit. They’re often more adaptable and can offer valuable insights to help you grow your business.
- Strategic Location – Look for companies on the west coast if your goal is to reduce inbound freight from the Far east, east coast if you’re trying to minimize inbound freight from Europe, central US if your goal is to equalize outbound shipping costs and transit times, and near your location if you absolutely have to be close to the fulfillment center.
We’ll Help You Find the Right Warehousing Solution
Our network is built on honest reviews and feedback collected since 2005, making us the only unbiased source for fulfillment matchmaking. Fill out our form or call us to find your best matches.
Why Fulfillment Companies Hesitate to Work with Small Business
Many fulfillment companies avoid working with startups due to the high risks and challenges involved. We’ve found that an average of 47% of all fulfillment companies offer NO monthly minimums and work with startups and small businesses, whereas 53% charge monthly minimums and choose not to do business with smaller clients.
- High Turnover Risk – Startups have a high failure rate, with many businesses shutting down within the first few years. Fulfillment companies face the ongoing challenge of filling their pipeline as they continually lose clients that don’t make it long-term.
- Time-Intensive Setup – Startups often require the most time and resources to onboard. They typically need extra guidance through setup and ongoing support due to their limited track record and inexperience, making them more demanding compared to established businesses.
- Low Profitability – Emerging companies usually have limited orders and funding, meaning they generate minimal revenue for fulfillment partners. Fulfillment is a high-volume, low-margin business, and low order volumes from startups often don’t justify the effort.
- Financial Stability Concerns – Fulfillment companies prefer partners with financial stability, proven demand for their products, and sufficient order volume to maintain profitability. Startups often lack the sales history and financial resources that fulfillment providers look for in a reliable client.
- Cash Strapped – 3PL companies recommend startups perform in-house logistics if they don’t have enough cash on hand to pay outsourced providers and need to capitalize on leveraging the owners’ time without official pay.
Connect with Trusted Warehouse Services Today
Don’t rely on search rankings alone—many top listings are paid placements, not the best options. Our curated network, built on unbiased reviews since 2005, connects you with reliable warehouse services. Fill out our form or call us to get your tailored matches today.
Small Business Order Fulfillment FAQs
How do I choose the best location for my fulfillment center as a small business or startup?
Choosing a fulfillment location depends on your inventory source and where your customers are concentrated. If your inventory is imported, opt for fulfillment centers near major ports like Los Angeles or New Jersey to reduce inbound shipping times and costs. For domestically produced goods, selecting a warehouse close to your primary customer base or a centrally located facility can minimize shipping expenses and enable faster delivery.
Is it better for my startup to use one fulfillment center or multiple warehouse locations?
Multiple fulfillment centers can reduce shipping costs and speed up delivery times by positioning inventory closer to customers. This is useful if you serve a nationwide audience. Managing multiple warehouses requires more advanced logistics coordination and an abundance of order volume to justify additional costs. Starting with a single, strategically placed fulfillment center might be more manageable for small businesses until order volumes grow enough to benefit from a multi-warehouse strategy.
What minimums should small businesses or startups expect from fulfillment companies?
Fulfillment companies often set minimums like 200 orders per month, $500 in monthly spend, minimum pallet storage, and long-term commitments, making them less suitable for startups with low volume or short-term needs. Complete a brief form to connect with our small business-friendly providers.
Do startup-friendly fulfillment companies exist?
Yes, there are fulfillment companies designed specifically for startups and growing businesses. These providers offer flexible terms and cost-effective services tailored to smaller volume shippers. They’ve built specialized systems, processes, and technology that allow them to aggregate smaller clients, collectively achieving high shipping volumes similar to larger-scale operations.
Are there fulfillment centers for very small e-commerce businesses?
Absolutely! Some niche fulfillment centers and emerging providers specialize in working with “super” small e-commerce businesses, offering solutions that are less common and can be harder to find. Partner with a small business like ours to connect with expert-vetted providers who get what it means to have big aspirations.
Should small businesses use 3PL services?
If shipping takes your time away from core activities like sales or marketing, 3PL is worth considering. For example, a business owner handling shipping personally may struggle to find time for growth-focused tasks. Outsourcing to a 3PL can help reclaim that time.
When is the right time to reach out to fulfillment companies?
Reach out when your products are ordered, arrival dates are set, and your website is live. This shows fulfillment companies that you’re ready to do business, making them more likely to offer competitive quotes. Work with us to connect with providers who are more inclined to support small businesses like yours.
Last Step
Since 2005 We’ve Been Helping Companies Just Like Yours
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YOU have control over your contact details:
- No unwanted contacts – you control how vendors respond to you
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- No commitment to choose any of our vendors
- Ask our 3PL Warehousing experts any questions you have!
Location:
Pico Rivera, CA, USA 
Location:
Pico Rivera, CA, USA 
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