The Upside of Shared Warehousing

Every business has differing needs and when you are searching for a solution to store your products and meet storage requirements, there are two types of warehouses to examine. There is the dedicated warehouse, often a perfect solution for the bigger, long-standing business and the shared warehouse.

The dedicated warehouse is a space owned or rented solely by your company. The rent is the same amount every month. You and your company are responsible for the overall operation and are in complete control over the space, including the managing of staff and overhead costs.

These costs are fixed regardless of the volume of orders.

The shared warehouse is a space where more than one company stores their products and it is managed by a third party. Many smaller companies may look toward the advantages of a multi-client warehouse because it offers cost-effective and flexible storage.


You may have reservations about sharing space with other companies in a shared warehouse, however, there are more advantages than disadvantages. Here are three of the advantages:


The costs for the warehouse space, including personnel and facility management, are shared by all the companies using the space. You pay for the space that you use; no worries of a half empty warehouse taking up resources.
Shared warehouses eliminate the need for you to hire employees to pack, store and ship your products. You are not paying full-time wages if there is only part-time work. Costs can differ between dedicated warehousing companies, too.

Continue reading